5 Reasons Your Business Might Be Losing Customers

Gaining new customers is important for any business, and retaining those customers is equally (if not more) important. Although it is inevitable that some of your customers no longer need your product, or give another option a try, if you notice an unusual decline in customers there might be a bigger issue at hand. Often, businesses overlook things that might seem trivial but can actually be driving away your customers. Here are five of the top reasons you could be losing customers.

Over-Promising:

Over-promising and under-delivering will put you on the fast track to losing customers. You can’t make everyone happy, so do not promise your customers that your product will deliver results that it does not. There is nothing more frustrating for customers than getting a product that doesn’t deliver. Instead, focus on the best part of your product, and be honest about who it is best suited for. No matter how great your product is, it won’t be the best fit for everyone, so focus on the customers who will actually benefit from it!

Poor Customer Service:

Customer service makes a huge difference in the customer’s overall experience. If a customer has a question or issue, the last thing they want to do is jump through hoops to reach a resolution. Even if you implement AI (like chatbots) into your customer service strategy, make sure that there is a way for customers to reach an actual representative. Have your contact information (customer service email, phone number, etc) displayed where it is easy for the customer to find. At BMT Micro, we have an actual representative assist each customer to help resolve any issues as quickly as possible.

Impractical Pricing:

If you do not correctly price your items, it can drive customers away. Value is an important factor when deciding how to price your products or services, and customers want to feel as though they are getting a good deal. If your pricing does not reflect your customer’s perceived value of your products, they will search for something that they believe is more worth their money. See how your competitors are pricing their similar products, and read reviews to see where your products might be lacking in your customer’s eyes. The same can be said about pricing your items too low- if you are offering what appears to be too good of a deal, your customers might think they are getting scammed.

Unwillingness To Change:

If you have had your business for a while, change can be hard. Your loyal customers know you, your brand has grown and done well, and you do not want to change what has been working for you. While you don’t need to give your brand a major overhaul every few years, you do need to stay updated. That might mean adding new features, updating your website, branching out to a new platform, or updating your logo. Eventually, everything gets dated, so keeping true to your brand while offering a fresh new image that reflects who you are currently encourages customers to continue doing business with you. Change can be scary, but you can update your brand without becoming unrecognizable.

Not Learning From Your Mistakes:

Everyone makes mistakes, but not owning up to them can drive customers away. Maybe you ignored or deleted negative reviews, or had a product that didn’t perform as advertised. Whatever the mistake is, acknowledging it and rectifying the situation however you can will help build your customer’s trust. As long as you make the situation right, you’ll find that much of your audience will be willing to give you a second chance!

Losing customers is frustrating, especially if you do not realize that you are making any of these mistakes. Doing a brand analysis, listening to your customers, and correcting your mistakes will help you keep your customers and win back the ones that left.