The Importance of Customer Loyalty in SaaS Companies
When you are in the SaaS, or software as a service industry, it can be very easy to not be worried about the long term loyalty of your customers and whether they choose to continue to do business with your company. You have an excellent customer service department, in large part because you use superior configurable customer support software, and because the industry is having such a tremendous boom right now, there is simply nothing for you to worry about. After all, the industry is constantly expanding, and even if you were to lose a few clients, there would be half a dozen more to replace them right around the corner, right?
This is a very easy trap to fall into, but make no mistake, it is a trap nonetheless. Creating loyalty among your customer base is absolutely vital to the success of any business, but it is especially true for software as a service companies. This is because the cost of retaining an existing client is significantly less than onboarding new ones. Over a long period of time, it makes far more sense, for fiscal and other reasons, to focus on retaining the clients which your business already has.
Fiscal Safety and Stability Help Ensure Continued Growth and Success
There are a multitude of benefits to cultivating customer loyalty over a long duration of time, but the first and foremost of them is that fiscal stability will allow your company to grow at a much faster rate than it would if you were constantly having to ask where the next paycheck was coming from. It allows for the opportunity to hire full-time staff members, who are excellent imperative assets, as they are more fully devoted to the company’s success, instead of freelancers, who are often forced to treat their jobs as temporary positions by their very nature. This means the overall quality of the company’s work, as well as its output, will increase significantly.
Long-Term Customers Become Friends, and Friends Provide Feedback
Another excellent thing about cultivating long-term customers is that, over time, the relationship becomes more genial and rooted in an actual friendship of sorts. When this happens, it opens up opportunities for honest, actionable feedback about the product that you may be able to implement, thereby cementing the relationship even further. Information from such sources as data reports can be very useful and is often times helpful, but customers provide a vantage point on your product that you will simply never be able to see. It is, simply put, impossible to put a price on that kind of feedback.
Long-Term Customers are a Valuable Type of Informal Reference
In addition to all of the aforementioned benefits of cultivating loyalty in your customers, one benefit that is not brought up as often is the fact that you can list your regular clients on your website as testimonials. This is particularly helpful if the company is well known and has a highly recognizable logo, as people will trust it more.
If you want to work with a team that is passionate about cultivating customer loyalty with our configurable customer support software, then contact PhaseWare through their website or by phone today.