Why does community management matter?
Investing in customer relationships is so important. According to a 2023 survey by Sprout Social, consumers are 77% more inclined to increase their spending with brands they feel connected to.
Building a loyal community is the most effective way to expand your reach and rapidly increase your engagement. Actively engaging with your followers and participating in conversations are key to an effective community management strategy. Prioritising proactive engagement reinforces community strength and can expand your overall reach.
Loyal customers become repeat customers which play a pivotal role in your business's success. Studies show that existing customers spend 67% more than new ones, potentially increasing profits by 25% to 95%. Loyal customers often become brand advocates, amplifying your reach organically through word of mouth by sharing their experience with their family and friends. It's also worth noting that acquiring a new customer can be five times more expensive than retaining an existing one, which shows how important it is to strengthen and build your long-term relationships.
How can you build a community?
Rewarding your loyal followers, responding to comments, and actively engaging with your community, including relevant creators in the industry, are all effective strategies. Surprisingly, engaging with competitors or businesses in your sector can also foster a supportive network that actively engages and shows interest in your business. Cultivating enduring relationships with your customers increases the likelihood of repeat and loyal patronage.
Asking for feedback is also a good way to cultivate a healthy relationship with your customers. It shows that you care and value your customers’ feedback and creates trust between you and your customers. 77% of consumers say they favour brands that ask for and accept customer feedback. Accepting customer feedback is one of the best ways to grow your business effectively. There are a number of ways you can ask your customers for feedback. You can encourage customers to leave your business an online review, send out an email survey or through social media channels. You can find creative ways on social media channels to ask and receive feedback such as creating interactive polls, Q&A, or even competitions to encourage customers to leave reviews / feedback.
"86% of consumers say authenticity is crucial to deciding which brands to like or support. People buy from people, and they can smell a fake when it is paid advertising. So building that strong voice and and authenticity is important" - Ryan, Head of Meetings & Events at HeadBox
Crafting a Crisis Management Strategy:
Having a crisis management strategy in place is critical for all businesses. It's inevitable for businesses to encounter unhappy customers or service-related issues—mistakes happen. However, it's your response that truly matters. Research indicates that 45% of consumers are likely to share a negative experience on social media. Therefore, addressing and responding to criticism promptly is essential. Negative reviews or situations can spread as quickly through word of mouth as positive recommendations. Approximately 53% of consumers expect brands to address negative experiences within a week. It's crucial to be responsive, maintain a positive and professional tone, and offer appropriate solutions to retain customer trust.
“You want to be as reactive as possible. Because if I go to a restaurant and have a bad experience, I will tell fifteen people. If I have a good experience, I'll tell one person.” - Ellie, Head of Sales & Events at Exhibit Bar & Mamma Dough