In the contemporary corporate world, most businesses have a customer-centric approach and they aim to serve their customer in the best possible manner. This helps them to create a loyal customer base, which in turn increases the Customer Lifetime Value (CLV). CLV refers to the total worth of a customer over its lifetime association with a business. Sustainable businesses like digital commercial lending solutions have started focusing on increasing the CLV. Profit is not solely used as a metric of growth and succession. Read on to know more about how commercial lending solutions are creating customer longevity.
Understanding customer longevity
Traditionally, businesses have been solely focused on gaining new customers to maximize sales and profit. However, they often neglect an important element, i.e., customer retention. Businesses should be equally focused on retaining existing customers. This will increase customer longevity and will also be a source of recurring sales from an existing customer. Most commercial lending solutions aim to make the process convenient for their customers by addressing the challenges of traditional banking and financial institutions.
Tips to create customer longevity
Here’s how digital commercial lending solutions are boosting customer longevity.
- Consistency across different touchpoints
Using digital financial software solutions requires a certain level of technical understanding that helps users to operate an application. The latest generation has the technical know-how because they are used to this thing. However, the older generation users follow a learning curve to use the same. Now, a digital payment or lending infrastructure is more than just an application. Multiple digital channels are being used by financial institutions to serve customers. Maintaining consistency across different touchpoints is important to retain customers in the long run. They should not be overwhelmed with new and unfamiliar elements across different touchpoints.
- Personalized customer experience
If you are still offering services by following a ‘one-size fits all’ approach, you are doomed to fail in the long run. It will be hard to retain customers for a long period, as they will be attracted by personalized offerings from your competitors. Most digital commercial lending solutions are offering personalized services by leveraging AI & ML technologies. Personalization of communication across different channels along with services is key to retaining more customers today. Using historical customer data can help you capture untapped opportunities for personalization.
- Adopt the latest financial technology
Technology is ever-evolving and you must try to adopt the latest technologies if you want to stay relevant in the long run. Better technology will not just help you deliver a great customer experience but will also ease your challenges. You will need less time and resources to get a job done. Traditional banking solutions are outdated today because they are reluctant to adopt the latest technology. Some industry standards for the financial technology domain include mobile payment applications, biometric login for security, and voice identification & control.
- Self-service options
Today, customers don’t prefer to wait in line for assistance, rather they prefer self-service options that can help save their time. Adopting self-service technology should be your priority as a digital commercial lender because it improves the customer experience. Using interactive chatbots to answer customers’ generic queries is also recommended to deliver an exceptional experience. Create FAQs based on your past customer’s queries to ease the experience for your new customers. A ‘Do It Yourself’ approach will be very helpful in retaining more customers.
- Use technology for data collection
Collecting relevant data from your prospective customers can be a game-changer for any business in the digital world. Most businesses are leveraging high-tech data analysis and collection tools to create products and services which are more suitable for customers. Having a large reserve of customer data can also help you personalize services and messaging across different platforms. It will help you get useful insights needed to serve the customers better. Besides this, you can even leverage data to use AI & ML technologies for automating the repetitive process. This will help you reduce your cost and save plenty of time.
Final words
There are plenty of ways in which digital commercial lending solutions can create customer longevity. The primary emphasis should be laid on adopting solutions that can address challenges faced by your customers.
