For eCommerce stores, acquiring new customers and increasing customer base is important. But did you know online businesses earn the maximum profits from repeat customers?
65% of business comes from existing customers.
Loyal customers spend 67% more than new customers.
Customer retention is 7x cheaper than customer acquisition.
So wouldn’t you rather focus on boosting customer retention?
In this blog, we’ll show you seven simple ways to increase reorders and repeat sales, and boost customer retention.
But before that, let’s understand what is reorder and how it can benefit your Shopify store.
A reorder is a buyer buying the same product again after having bought and used it once. When a customer reorders a product, it means they are satisfied with the product and want to purchase it again from your store.
Another reason for customers to reorder items from the same store is the satisfactory purchase experience they had on the site. So, if more customers place reorders on your site, it means they like your product, your site, the price and/ or the experience of buying from your site.
But why are we talking about reorder? Because it has many benefits for eCommerce stores.
- You’ll have to spend less on acquiring new customers every time
- You can boost customer retention rate
- Your eCommerce site will have a lower churn rate
- It can lead to higher customer lifetime value
- It has a positive impact on your brand loyalty
Today’s customers want ease and convenience when they shop online. Now, there must be some customers who purchase the same items from your store on a regular interval.
For example, people tend to buy things like medicines, wellness products, beauty and self-care items, etc., at regular intervals.
To ensure that customers keep buying from your store, you can reach out to them through automated reminders. Because if you don’t, they might simply forget about your store and buy the items from another site.
Here’s what you can do:
- Analyze your customers’ order history from the customer account page
- Observe repeat purchases and the intervals at which the orders were placed
- Make a note of these customers
- Set up automated reminders for them on different channels – email, SMS, web push, WhatsApp, Messenger, etc.
- Personalize the reminder messaging to maximize the results
Here’s an example of an automated email reminder.
Discounts and deals have a psychological effect on consumers. They make us feel good about paying less for a product of a higher value. Did you know, 93% of people prefer to make purchases when there are discounts on products.
To encourage customers to place reorders, you could try incentives such as these:
- Free shipping on re-orders
- Fixed price discount
- Same day shipping
- Faster delivery
By offering such incentives, the chances of your customers buying the product from another site can be reduced. It helps you boost customer retention.
When customers know they can buy a product from your site at a discounted rate, or get it delivered faster, why would they buy it from another site? Unless, your competitors are offering them something you aren’t. Hence, keep an eye on what your competitors are doing and what kind of incentives they offer for reorders.
Pro tip: Offer store credits on reorders to ensure they make a purchase from your store. Learn more about store credits here.
According to a report by PwC, experience is everything! Even though customers may have liked your product or your brand, one bad experience is enough to drive away 59% of customers. Take a look at the graph below.
A good experience is not only about the ease of purchase, a quick checkout process, and fast website loading, it also includes how the customer feels after making a purchase. We mean the post purchase experience.
Some ways to offer a good post purchase experience:
- Reach out to the customer with a thank you message
- Offer assistance to the customer after they bought a product
- Make them feel that you care about them by asking for feedback or a review of the product
- Send them a reminder for buying the same product if the product is such that requires replenishment
A satisfactory post purchase customer experience is a must if you want customers to come back to your store. This is especially important when you want them to buy the same products from your site repeatedly and boost customer retention.
There’s a lot of competition in industries that have a high repeat purchase rate – groceries, wellness, pharma, health, etc. And so, you must ensure your customers come back to you and don’t go to your competitors. Providing a good post purchase experience is one way to increase reorders on your Shopify store.
Some customers have a lot of questions about products. 83% of customers need assistance to complete an order. For example, when they want to reorder an item, they might want to know if there’s a better alternative to the product or they might be looking for a combo.
For customers, the best way to get this info is through customer support. eCommerce stores offer customer support in different forms – live chat, email, SMS, phone call, Messenger, etc. Ensure you make support available to your customers.
Customer support can not only help you increase repeat sales, it can also boost customer retention. Here’s how it works:
- When customers reach out to you or your customer support team reaches out to customers, you can create opportunities to entice them to place orders. You could do so by offering discounts, deals, and explaining to them the benefits of the product that they’re interested in reordering
- When you offer help and support to your customers, they feel good about their experience on your site. And when customers have a good experience, they prefer to stay loyal to the brand. This helps boost your customer retention rate
A Neilsen study shows ease of buying is the top most reason people make purchases online. Among factors such as low prices, fast delivery, and large selection of products, easy order-placing was on top of the list in the findings.
Consider this: 83% of customers said ease of buying is the most important factor.
So what would ease of purchase mean when customers want to reorder an item from your Shopify store? There are a few different ways for customers to go about reorders:
- When customers want to place repeat orders, they usually go to their order history to find the item. Rarely do they go to the product pages to search for the item and then place a fresh order
- In the order history, customers can click on the item and go to the product page to place a repeat order
- The other way, the easiest, is to provide a ‘reorder’ button in the order history page. Customers can simply click the button and reorder within a matter of seconds.
Which of the above methods do you think is most convenient and easy for customers? The one where they have the convenience of a ‘reorder’ button. It can help increase repeat sales.
To provide the reorder feature, you’d need to have a customer account page. One of the best Shopify customer account apps is Flits. With its features such as order history, you can simply add the ‘reorder’ feature to make it easy for customers to place repeat orders.
One way to gain enough insights on customers’ purchase behavior and patterns is to make them register on your site through a customer account. The customer account page can provide information about their order history, the products they reorder, the intervals at which they make purchases, etc.
With every order that customers place, you can learn more about their shopping patterns and more. You can use this information to create cross-selling and upselling marketing campaigns. Moreover, you could offer discounts or other incentives to increase reorders.
Don’t have a customer account page on your Shopify store? Install the Flits app now.
Some of your customers who are not internet savvy, might spend a considerable amount of time figuring out features on your site. Actions such as login, browsing order history, selecting payment options, and referring to recently viewed products shouldn’t feel like a hassle to them. You can make these actions easy for them.
How? By having useful features on your customer account page. Some features to make customers’ reorder and purchase experience better are:
- Enable social login to make it easier and faster for customers to login every time they want to place a reorder
- Similarly, selecting a payment method and filling in details during every purchase can get cumbersome. Make payments easy by saving their preferred payment methods
- Make store credits a part of your customer account page so that customers can easily refer to the available store credits when they place repeat orders. This feature will also help increase reorders on your site as customers can use credits to make purchases
The above are simple ways in which you can boost repeat orders. And one of the first things to get started is to install a comprehensive customer account page with useful features that make it easy for customers to place reorders. One of the best customer account apps for Shopify stores is Flits.