Client Retention in Interior Design Business

It’s every business owner’s wish to have their initial customers turn to repeat customers and even be referees to their friends and families. It is also true that a satisfied customer is a better customer. So, how can interior designers in small businesses retain their interior design clients? Let’s find out how you can retain your cherished customers for more growth.

Importance of Customer Retention to Interior Designers

You can only weigh the quality of your customer service through customer retention. Repeat customers’ trend implies they are satisfied with your services and are happy to have regular services and products.

Some customers are keen on how they are treated and would rather begin with your services before they seek alternatives from other retailers just in case you do not have the products suiting the functionality they require at a particular time.

1. Customer retention is cheaper than acquiring new customers

Econsultancy report indicates that 82% of interior business owners save more on repeated customers than building trust in new clients. New customers require you to pay attention and convince them to adapt to the business.

It may take calling, reaching out via podcast or emailing them occasionally and informing them when new services and products are available to make them your potential clients. Remembering important aspects such as their favorite colors and preferences can wear you down especially if you have to do it daily.

2. Increased spending

Loyal customers may purchase products from your business and with more convincing they may purchase extra mixed products that complement them. They have already built trust with your interior business and are comfortable exploring other products with your assistance. Nurturing them with quality services has created a strong bond and they would rather purchase the products from your business than from your competitors.

3. Brand ambassadors

It is normal wanting to associate with competent and quality brands. Likewise, a satisfied client will not hesitate to advertise your interior business to their friends and relatives. Quality and better experiences from a customer are a priceless gem to an interior design business. It builds rapport and attracts more from referrals.

4. Increased profits

More spending equally means more profits to a business. Regular consumption also implies more profits. Therefore, retaining your customers only yields benefits and expansion.

5. Increased average order value (AOV)

The more trust is built from retained customers, the more they will be willing to spend in your interior design business than an average customer.

Interior design business is built on relationships. When you want to build your relationships and retain clients, it is crucial to choose the right customers. For example, a young, growing family who has just purchased a house will visit regularly for your services than a retired family. They are both equally important but the ones requiring more nurturing are the younger family.

Blending your personal and professional life is equally important for an interior designer. It, therefore, means spending time with the right people. It only makes sense to work with customers who are friendly and understanding. Dealing with complicated clients can be frustrating and ineffective communication can weigh down your energy and business name.

Compromised relationships can affect your reputation leading to losing already established clients. It’s essential to assess clients in terms of design vision, timeline, cost, and availability. Taking time in understanding each other’s projects will strengthen your discerning power on the right customers.

It’s equally critical to know how to balance and to know when to be a boss and when to be a friend. Once you get a client and decide to commit, it is wise to make sure you give it your best shot in ensuring the vision comes to reality.

Your interior design task will involve working closely with contractors to oversee the quality of the building and installation. Trusted connection with the contractors and the builders is critical as you will want to be part of the process fully and avoid wastage that may be costly to your business and the client. You will also need them for successive tasks, therefore, better relationships will go a long way in meeting your goals.

Communicate with the client throughout the process to manage their expectations and lessen their worries. Being emotionally sensitive to your clients and discretion will build on loyalty and trust. They may even open up on their personal lives as you partake in the journey to make their spaces efficient and adorable.

Therefore, friendliness and sensitivity to their perceptions are crucial. However, lay a boundary so that your first task is being the interior designer followed by being a friend. Boundaries will ensure you both serve the purpose and none takes advantage of the other through compromised payments.

Participate in community events like sports and charity galas to maintain visibility. Remember to also keep in touch with your clients as out of sight is definitely out of mind. Be a cheerleader of your clients by congratulating them on their job promotions, attending their birthdays, sending gifts, attending weddings, and grieving with them when in loss too.

Being social will build trust and confidence in your personality and will also boost confidence in your interior design business. A good personality is a reflection of your professionalism. Being authentic will motivate you to always do your best hence, attracting more loyal customers.

Calculating Your Customer Retention Rate

Customer retention rate(CRR) is attained by getting the difference between the customers remaining at the end of the period and the new customers acquired. The number is then divided by the initial number of customers then multiplied by a hundred to get the percentage.

Customer Churn Rate

It indicates the percentage of customers lost during a certain period. It is unfortunate but sometimes circumstances are different but, accepting the reality and making amendments where possible is essential.

It is attained by getting and dividing the number of customers lost by the number of customers you began within the period then multiplied by 100 to get the percentage. There are different ways of calculating the churn rate and you can base on either the number of customers, the value of recurring business lost, and the percentage of recurring value lost.