The customer value that your company provides is a major factor in the longevity and success of your brand. SMS marketing is a way for you to provide the best possible value to your customers by staying in tune with their experiences and being there to engage with them every step of the way.
Community offers the platform and technology you need to cultivate authentic relationships with your customers. These genuine relationships will ultimately breed brand loyalty and create a stronger overall reputation for your company.
Here’s how you can use Community’s Features to maximize the value and ROI your consumers get when they purchase with your company.
What Exactly Does Customer Value Mean?
Let’s start with defining what exactly customer value means. Customer value is the measurement of a product or service’s perceived worth compared to its alternative options. It is a value that determines whether your product is a good investment for the customer. Good customer value means that the value gained from having your product exceeds the price consumers paid to have it.
Having poor customer value is related to experiencing buyer’s remorse which can happen if your audience feels like the total cost outweighs the actual benefits. Providing more benefits that consumers perceive as positive is essential to balancing the customer value formula.
If you have competitors with similar products and pricing, then prioritizing customer value is imperative to the longevity of your company. Community’s tools give you the power to monitor your customer satisfaction by interacting with each audience member directly.
In this article, we’ll discuss the contributing factors to customer value, how to calculate it, and how to use Community’s SMS marketing to maximize the ROI for your audience.
Stay Connected with Community’s SMS Technology
Community is unlike any other SMS marketing platform. Why? Because instead of focusing on the use of automated chatbots, Community places the focus of all its functionality on having real, two-way conversations.
With features like our Clustering response management that lets you send one text to groups of similar messages simultaneously or our Communities (customizable audience segmentation) tool, you can provide the best possible customer experience to optimize customer value.
Let’s jump back into what factors contribute to determining customer value and how you can increase yours.
Costs and Benefits to Consider
Here are some things that go into identifying what your overall customer value is. There are some easily identifiable and tangible factors and some that are less easy to define. All costs—whether tangible or intangible—will be subtracted from any positive benefits your product or service provides. So the goal is to see where your company can maximize the benefits it's providing and minimize any unavoidable costs.
Take a look at some of the costs and benefits below to see what makes the most sense for your company’s specific product. Evaluate where you can improve your overall customer experience and where having a Community custom phone number can help you provide value to your customers.
- Cost to Purchase Your Product or Service
- Cost of Installation, Training, or Other Onboarding Process Needed
- Cost of Product or Service Maintenance
- Cost of Renewal
- Time Spent Learning About and Buying Your Product or Service
- Stress Caused by Buying, Obtaining, and Installing Your Product
- Any Negative Parts of Your Customer experience
- A Bad Brand Reputation or Bad Reviews
- Any Inconveniences in the Purchase Process
Benefits That Help to Offset Costs
- Product Quality
- Excellent Customer Service or Experience
- Strong Brand Reputation
- High Social Status of Your Product or Service
- The uniqueness of Your Product or Service
- Convenience Customers Receive by Using Your Product or Service
Customer Value Formula
Like any equation that determines the value of something, the customer value formula can be understood generally as the benefits minus the costs.
When written out, it looks like this:
Total Customer Benefits - Total Customer Costs = Customer Value
B - C = CV
To determine your company’s unique customer value, evaluate how well you perform in each of the benefit categories above, then subtract any costs. It may not be your typical math equation with a perfectly quantifiable integer. Still, it helps understand the overall impression that most of your customers are left with after purchasing.
Community’s SMS marketing channel is a platform for your company to add positivity and personalization into your customer experience, leading to higher perceived customer value. Check with your customers, via text message, and every step of their buying process to ensure your product and company meet their needs.
Request feedback with convenient text polls to improve any areas that may need improvement. Engage with every member of your audience on a personal, authentic level to increase the value customers receive from doing business with your company.
By maintaining an open and convenient connection to your audience, you can stay in the know when they have any concerns or issues. Here are some more ways to maximize the ROI of your customer base using your custom Community text number.
Maximize ROI For Your Customers
There are a couple of ways to ensure your customers are getting the best bang for their buck. When you increase the customer value of your product or service, you provide a better ROI for your audience.
Community’s texting platform lets you track the success of your campaigns and engage with customers directly so you can stay in control of your customer value.
Focus on Providing a Positive Customer Experience
A positive customer experience is vital to increasing customer value and ROI. Research shows that 84% of companies that work to improve their overall customer experience reported an increase in their revenue.
That’s because customer experience matters. With your Community phone number, you can send welcome text messages, exclusive promotional offers to encourage engagement and have real conversations with your audience members to make sure they’re feeling taken care of.
Prioritize Personal Connections
Community’s audience segmentation feature, Communities, lets you create groups based on demographics, interests, and anything else that can help you provide a personalized experience to your members.
A study showed that 91% of consumers said they were more likely to shop with brands that provided offers they found relevant—which means personalization is key to building lasting connections. Personalizing the content you text is a simple way to increase the ROI for the customer.
The Keywords tool in your Community account gives you the option of assigning special words to help categorize contacts that use them into their appropriate audience segment. Use Keywords to learn about your members’ interests and group them into categories for sending them personalized content, promotions, and texts that they will find relevant to their lifestyle.
This will help you maximize the ROI they receive from engaging and purchasing with your company, increasing customer value.
Monitor Your Insights and Gather Feedback
A survey done by SurveyMonkey showed that the longer the survey was, the less time respondents took to answer each question, which can lead to inaccurate answers.
Short texting polls or surveys are quick, convenient, and show your customers that their opinions (and time) matter to your brand. This is a simple way to improve your customers’ ROI and improve the processes within your company.
Be Competitive Where You Can
For certain products and services, competing on price is not always an option. Sometimes there just isn’t room to budge on the price, whether it be the cost of labor or the wholesale cost of the product you sell, or any other number of reasons.
If that is the case for your company, compete where you can—in the uniqueness of your purchasing experience, excellence in your customer service, or a convenient form of customers contacting your company. These are benefits that increase your customer value. And these can all be achieved through the use of a text platform like Community.
Giving your audience the option to text an actual human is a great way to provide a convenient, unique, and excellent customer experience. The Clustering response tool will ensure no one’s message slips through the cracks, so you can truly connect with every member and provide them with the value they’re hoping to receive.
Summary on Customer Value
The customer value that your audience receives from your product or service can be increased when you incorporate SMS marketing. The unique ability to connect directly to your audience members will open the door to conversations that help you better understand your customers’ needs and interests.
With Community’s audience segmentation features, Demographic Filters, Clustering response management, and Keywords, you can provide members with the personalized and excellent experience they need to improve your customer value.
50 Stats That Prove The Value Of Customer Experience | Forbes.com
50 Stats Showing The Power Of Personalization | Forbes.com
17 Customer Feedback Statistics You Need to Know | Outcry.io