How a Call Center Increases Customer Lifetime Value
Customer Lifetime Value is the total revenue a customer generates for a business for as long as they remain a customer.
For instance, if the average customer in your jewelry online store remains your customer for one year and spends $15 a month in your store, then their lifetime value is $15 multiplied by 12, which equals $180.
When Customer Lifetime Value is calculated alongside Customer Acquisition Cost and Cost to Serve, businesses can determine how much profit they make from one customer and how to scale their efforts to grow their business.
Brands measure past, present, and future CLV. It also includes other measurables apart from direct revenue—measurables like referrals and social posting.
In this article, we will discuss how a call center can increase the average customer lifetime value for your business.
Major Ways a Call Center Increases CLV
The best way to increase the CLV of a business is to increase the rate and duration of customer retention. A call center helps you to do that by:
Making it Easy to Report Issues
Customers experience usage issues from time to time. A call center makes it easy for customers to pick up the phone and call. They have direct contact with an agent who immediately forwards their issue for processing. Sometimes, the problem gets solved on the phone.
The ease of reaching a call center boosts CLV because the customers become repeat buyers who trust the brand.
Boosting Customer Satisfaction and Loyalty
Great call center support makes a customer feel valued, drives them to purchase more from the brand, and builds brand loyalty. Ensure your staff is trained to adequately cater to the needs of customers because the call center is a great opportunity to prove how valuable a customer is to you and convince them to buy again.
Personalizing Follow-UPS and Proactive Outreach to Customers
A call center provides the personal touch that a support ticket or email cannot. It’s not just knowing the customer’s name. The center allows a call agent to establish a personal rapport with the customer. Therefore, call center follow-ups are effective because the customer is open to talking. A highly trained support team can also utilize the call center to proactively reach out to customers.
Boosting Customer Retention
A call center boosts the rate of customer retention. Customer retention comes with several benefits. For example, repeat customers are willing to spend more and are easier to market to.
A call center boosts customer retention rates by increasing customer satisfaction and loyalty. By proactively reaching out or following up, they can solve problems and streamline product issues before they become mainstream.
Personalizing Cross-Selling and Up-Selling Strategies
Cross-selling and upselling strategies allow companies to increase the customer lifetime value of an average customer by offering additional services. When you cross-sell or up-sell a customer over the phone, you get the opportunity to overcome customer objections on the spot and guide them through to purchasing.
Personalizing Targeted Marketing Campaigns
A call center allows your company to personalize marketing campaigns to suit what each customer needs to hear. With a highly trained call center support team, you can drive targeted and personalized marketing campaigns directed toward your existing customers.
Boosting Brand Trust and Reliability
81% of customers buy from brands that they trust. Several factors drive brand trust – product quality, purchasing convenience, and the ease of solving purchasing problems. A call center boosts brand trust and lead generation, and retention efforts.
Conclusion
It is five times easier to retain an existing customer than it is to acquire a new one. Also, current customers spend more money and say more positive things about your brand.
If you are looking to hire a competent call center support team to increase the CLV of your customers, reach out to Vcaretec for high-quality call center services.
Contact us today for a free quote.