Customer Engagement

What is customer engagement? Explain the benefits and methods of increasing. With the expansion of the Internet, customer behavior has become more complex and competition with competitors has intensified.


What is Customer Engagement?

Simply put, customer engagement is the strong bond between a company and its customers. Customers with high engagement feel a strong sense of trust, familiarity and attachment to the company, and become fans of the company.

This is because customer satisfaction is basically an index that indicates customer satisfaction with the products and services they have used, but customer engagement is not limited by the presence or absence of such usage experiences.

To give an example, some fans of a luxury car with a strong brand may include people who have never owned the car. However, even those people follow information about the brand on the web and in magazines, get excited among the fans, and save money to buy a car from the brand.

In addition, if customers are satisfied with the product or service itself, they can easily switch to another company when similar or cheaper products appear. However, customers with high customer commitment will buy the product "because of the brand" and will not easily leave the company.

In other words, customer commitment is a concept that can be approached in a broader way, emphasizing the direct connection between the company itself and the customer as opposed to customer satisfaction.

Why customer engagement is important

The main reason why customer engagement is so important today is that the expansion of the Internet is changing customer values and buying behavior. At first glance, customer engagement may seem synonymous with customer satisfaction, but the two are different concepts.

Now that it is easy to gather information and purchase products on the Internet, customers now have many more choices than ever before in their shopping activities.

To retain customers with diverse choices, you must differentiate yourself from your competitors. This is where the concept of customer interaction comes into focus.

Especially in recent years

The number of subscription-type services has increased and the era of the sale is disappearing. To maintain a good relationship with customers as long as possible, it is necessary to approach them from the customer's point of view.

Therefore, today, in contrast to the one-sided focus on print media, an increasing number of companies are using the Internet and social media to build interactive customer relationships and improve customer engagement.

In such a business environment, it is necessary to implement a customer engagement strategy to strongly retain existing customers.

Therefore, in this article, we will start with the basics of what customer engagement is and explain its importance, benefits and ways to improve it.

Benefits of improving customer engagement

The first benefit of increasing customer engagement is the stabilization of sales. Improving customer engagement means, in other words, that your company becomes an irreplaceable presence for your customers.

A customer engagement strategy is the key to maintaining good relationships with existing customers and turning them into loyal customers who will bring great benefits to your company.

The second benefit is receiving customer feedback. Customers with high customer engagement tend to be responsive to company initiatives and are willing to communicate with them.

For example, you can expect them to carefully complete questionnaires and reviews on products and services, and promote favorable products on social media and word of mouth.

The third benefit is improved competitiveness. With the above two benefits, companies can generate effects such as differentiation from competitors, increased word-of-mouth generated by customers, and improved quality of products and services.

All these factors contribute to improving your company's competitiveness and surviving fierce competition from your competitors.

How to increase customer engagement

So what can you do to actually increase customer engagement? Here are four ways to improve customer engagement.

Collect and analyze customer data

Collecting and analyzing customer data should be your top priority. To increase customer engagement, you need to deeply understand your customers and implement a customized approach according to their characteristics.

Therefore, it is important to collect various customer data such as age, gender and purchase frequency.

By analyzing the data collected here, you can gain a deeper understanding of customer behavior and attributes, which facilitates the development of effective measures.

Creating customer journeys

The second method is to create a customer journey map. A customer journey map is a series of processes in which a customer recognizes a company or service, compares it to other companies, makes a purchase or contract, actually experiences the service, gives feedback and comments, and decides whether to continue using it or stop using it.

By creating a customer journey map, we incorporate the flow of customer "behavior," "thought," and "emotion" into the map in chronological order to understand the customer's brand experience as a kind of story.

By using a customer journey map, you can review the validity of your approach from the customer's perspective and improve your customer engagement strategy.

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