{"id":189434,"date":"2019-07-30T13:51:21","date_gmt":"2019-07-30T13:51:21","guid":{"rendered":"https:\/\/webkul.com\/blog\/?p=189434"},"modified":"2019-12-10T12:29:12","modified_gmt":"2019-12-10T12:29:12","slug":"store-credit-a-solution-to-customer-retention","status":"publish","type":"post","link":"https:\/\/webkul.com\/blog\/store-credit-a-solution-to-customer-retention\/","title":{"rendered":"Store Credit: A Solution to Customer Retention"},"content":{"rendered":"\n

When you start dipping your feet into the eCommerce water, the one chunk of advice that you’ll receive from every dimension is CUSTOMER LOYALTY.<\/p>\n\n\n\n

And why not, customer loyalty is the code to customer retention but what if the race of sustaining this loyalty starts hitting your revenue? <\/p>\n\n\n\n

Let me put it this way:
Being in an eCommerce ecosystem to maintain healthy customer relationships, merchants look forward to providing the best customer support, best product quality and on top of all the best return-exchange policies.<\/p>\n\n\n\n

Since the issues related to return-exchange is an ongoing process, working on this, many merchants find themselves under the weight. This is somehow affecting their revenue & not working in their favor even after providing the A1 services.<\/p>\n\n\n\n

Here, the concept of STORE CREDIT comes to the rescue!<\/p>\n\n\n\n

\ud83d\udcc3 Further Reading<\/strong><\/p>\n\n\n\n

Acquire customers with customer loyalty programs- Explore!<\/a><\/p><\/blockquote>\n\n\n\n

\"eCommerce<\/figure>\n\n\n\n

What is Store Credit?<\/h2>\n\n\n\n

Offering your customers value for making a purchase on your store is generally said to be STORE CREDIT. <\/p>\n\n\n\n

Store credit can be used on one particular store only (the one who has provided it), i.e., it can’t be used to make a purchase on different brands. <\/p>\n\n\n\n

Store credit is a powerful tool to boost customer retention and revenue. Many thriving retailers like Amazon, Wallmart, etc. have implemented this strategy in their stores.<\/p>\n\n\n\n

Customer Retention<\/h2>\n\n\n\n

Store credits are a great way to proffer your customers a ‘thank-you’ gesture for using your brand & letting them know that we wish to have you again!<\/p>\n\n\n\n

According to IBM reports: \u201cThe more you\u2019re tied to a brand, the more likely you are to be a brand advocate.\u201d<\/p><\/blockquote>\n\n\n\n

This will make your customers happy and moreover, make them visit your store again for making the purchase instead of going somewhere else.<\/p>\n\n\n\n

Increase Average Order Rate<\/h2>\n\n\n\n

By providing store credits, you can encourage your customers to purchase more and spend again on your brand. Thus hiking up your average order value.<\/p>\n\n\n\n

\ud83d\udcc3 Further Reading<\/strong><\/p>\n\n\n\n

Average Order Value by Product Bundling- Explore!<\/a><\/p><\/blockquote>\n\n\n\n

Moreover, this is a proven fact that providing store credits increases the number of visitors to your store. <\/p>\n\n\n\n

Store credits act like just another online payment option. Thus, providing your customers flexibility to pay using the eWallet.<\/p><\/blockquote>\n\n\n\n

Don’t lose out on revenue<\/h2>\n\n\n\n

As I mentioned earlier, the issues related to return-exchange is an ongoing process, working on this, many merchants find themselves under the weight. This is somehow affecting their revenue. <\/p>\n\n\n\n

Just to provide your customers with the most satisfying experience, you might fall your revenue down if you don’t play smart.<\/p>\n\n\n\n

Many savvy merchants use the store credit functionality to ease the burden of returns on their eCommerce store. So, use store credits to partial or fully-pay for returned orders on your store. This, you’ll get the hold on the revenue as your customers will definitely make another purchase. Giving you the surety that the amount given will inevitably return.<\/p>\n\n\n\n

Moreover, the refund process will be faster than before as this way no receipts or other documentation will be required.<\/p>\n\n\n\n

\ud83d\udcc3 Further Reading<\/strong><\/p>\n\n\n\n

Know about Sales Funnel- Explore!<\/a><\/p><\/blockquote>\n\n\n\n

\"Store<\/figure>\n\n\n\n

Ways to provide store credits to your customers<\/h2>\n\n\n\n

Store credits can be given on the following moments:<\/p>\n\n\n\n