What Is Customer Engagement? Why is it Important?

What is customer engagement? The complete guide for 2023

Customer engagement

If your company does not have a specific plan for improving your consumer engagement, you could be missing out on a lot of money and opportunities to interact with your valuable customers and potential customers. Building a relationship with them won’t just make more money initially, but it will help a company establish trust and loyalty with their customers as well. Having customers that trust a business will keep them around for the long-term, making them repeat customers. Ready to put these strategies for better Customer engagement to the test?

Although there are many variations of this definition, the premise remains the same. A company aims to foster a positive relationship with their customers to help promote their brand, generate more sales, and provide an amazing experience for their customer on a more personal level. For example, 73 percent of customers fall in love with a brand because of friendly customer service representatives. Perhaps the most obvious element in the customer engagement toolkit is the social network.

Create full funnel campaigns that drive real business results.

You can look at signals that matter to your business, like location, income, motivations, interaction history, and more. However, companies need to balance the benefits of automation with the need for personalization and human connection. The AIDA model was designed to guide marketers in creating effective advertising campaigns. While it may have been effective in the past, it is now considered outdated and oversimplified.

Customer engagement

The lower the churn rate is, the higher the retention rate is, which indicates satisfactory customer engagement. You can count the number of active real-time users to establish a pattern. When you filter this parameter by active daily or monthly users, you are getting an indication of customer engagement.

Customer Engagement Vs. CRM Campaign Examples

A common example is Q&A sections or the help sections in the online community. This is the space where customers answer questions posted by other customers. Showing input from real customers helps you leverage social proof and builds trust.

Read more about Customer engagement here.

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