Infographic: Why Does Your Business Need a Customer Database?

We all know that advertising to potential customers can get really expensive and only increases your bottom line in the short term. However, advertising to your current customers, people who already love your business, is what brings in the extra foot traffic.

Download our free retail customer loyalty success guide to learn how to drive customers back 2x more.

If you want to bring your best customers in the door faster, you need a way to communicate with them

Check out part one of our infographic series and learn why it’s so important to grow your current customer database. It’s the only way you will be able to continually communicate with your customers!

Why Does Your Business Need a Customer Database?

You want to tell your customers about:

Sales Announcements
Special In-Store Events
Customer Loyalty/Retention Programs
Promotion Reminders
Daily, weekly, or monthly Specials
Happy Hour Deals or Whisper Codes
Coupons or Time Sensitive Promotions
Maintenance Reminders
Prompt website or social media page visits
Last minute specials
Customer feedback or reviews

A customer database helps you do that. Here’s how!

1. Text Message Marketing

91% of people keep their phones within 3 feet of themselves 24/7
76% of cell phone users actively text message with an open rate of 95%
32% of U.S. mobile customers prefer offers by text over mobile web, apps, or voicemail
Average click through rates for text message marketing = 14.06%, Conversion rate = 8.22%

2. Email Marketing

44% of email recipients made at least one purchase last year based on a promotional email
7 in 10 people say they had made use of a coupon or discount that they had learned about through a marketing email in the prior week or month
40% of customers claim to enjoy getting lots of marketing emails from their favorite brands each week

3. Social Media Marketing

27% of total U.S. internet time is spent on social networking sites
85% of fans of brands on Facebook recommend brands to others, compared to 60% of average users
Companies that generate more than 1,000 Facebook Likes also receive nearly 1,400 website visits a day
Approximately 46% of online users count on social media when making a purchase decision

4. Word of Mouth Marketing

90% of consumers say they trust recommendations from people they know.
70% of consumers trust other consumer opinions posted online.
In face-to-face interactions, people are motivated to talk about what is top of mind.

5. Customer Loyalty Program Marketing

Data shows that loyalty programs can increase customer visits by 20% or more
Businesses with loyalty programs, on average, are 88% more profitable than competitors who do not.
80% of your sales comes from 20% of your customers
Customer loyalty is the single most important driver of growth and profitability.
It is 6 to 7 times more expensive to acquire a new customer than to retain an existing one.

To do this, your database needs:

Phone Numbers
Emails
Customer Names
Birthdays
Anniversary Dates
Customer Favorite Items or Services
Mailing Addresses
Customer Twitter Handles

Fivestars is pioneering customer loyalty automation for small businesses and makes it easy to build up your customer database, right on your point-of-sale. Want a free demo? Click here.

Sources: