Repeat business Meaning: Definition, Examples, and Translations
🔁
repeat business
[rɪˈpiːt ˈbɪznəs ]
Definitions
customer loyalty
Repeat business refers to the practice of getting customers to make multiple purchases from a company. It is a key factor in building a successful and sustainable business.
Synonyms
customer retention, loyal customers, recurring purchases.
Which Synonym Should You Choose?
| Word | Description / Examples |
|---|---|
| repeat business |
This term is commonly used in a business setting to emphasize the importance of customers returning to make additional purchases. It reflects a general appreciation for customers who come back.
|
| customer retention |
This is often used in marketing and business strategy to measure and describe the ability of a company to retain its customers over time. It's typically used in reports and strategic discussions.
|
| loyal customers |
This phrase is used to specifically describe customers who consistently choose the same business over competitors. It has a positive connotation and is often used in marketing materials to articulate the value of these customers.
|
| recurring purchases |
Best used in transactional contexts to describe repeated transactions, particularly in e-commerce and subscription services. It refers to customers buying the same items or services multiple times.
|
Examples of usage
- Offering discounts to encourage repeat business
- Providing excellent customer service to increase repeat business
- Implementing a loyalty program to reward repeat business
business strategy
Repeat business can also refer to a strategic focus on generating revenue from existing customers rather than constantly acquiring new customers.
Synonyms
client retention, customer focus, loyalty marketing.
Which Synonym Should You Choose?
| Word | Description / Examples |
|---|---|
| repeat business |
This term is used to describe situations when customers return to make additional purchases after their initial transaction. It implies a consistent relationship with clients over time.
|
| customer focus |
This term describes prioritizing the needs and preferences of customers in all aspects of business. It's about understanding and responding to customer requirements effectively.
|
| client retention |
Client retention is focused on maintaining long-term relationships with clients, ensuring they remain loyal and do not switch to competitors. This is often used in the context of long-term services or subscriptions.
|
| loyalty marketing |
Loyalty marketing is a strategic approach aimed at encouraging repeat purchases and fostering brand loyalty through programs, incentives, and rewards.
|
Examples of usage
- Investing in customer relationship management for repeat business
- Tailoring products and services to meet the needs of repeat business customers
Translations
To see the translation, please select a language from the options available.
Interesting Facts
Business Fundamentals
- Creating loyal customers is often cheaper than finding new ones, meaning businesses benefit from repeat purchases.
- Good customer service is a key reason why customers return; people like to feel valued and appreciated.
- Repeat business can lead to word-of-mouth marketing, where happy customers tell their friends about a great store.
Economic Impact
- Repeat customers often spend more money compared to first-time buyers as they trust the brand more.
- The cost of acquiring new customers can be five times higher than keeping existing ones, emphasizing the importance of customer loyalty.
- Businesses with a strong base of repeat customers can have more stable revenue, which helps them grow sustainably.
Psychology
- People are more likely to return to places where they had positive experiences due to the principle of reciprocity in psychology.
- Familiarity breeds comfort; the more often people visit a business, the more it feels like a part of their routine.
- Loyalty programs tap into human psychology by rewarding customers who return, making them feel special.
Marketing Strategies
- Many businesses use loyalty cards that reward customers for repeat visits, creating an incentive for them to return.
- Email marketing offers promotions to previous customers, encouraging them to come back.
- Creating engagement through social media helps brands maintain visibility and relationship with their repeat customers.
Statistics
- Studies show that a 5% increase in customer retention can lead to a 25% to 95% increase in profits.
- Repeat customers are statistically more likely to try new products from the same brand, boosting overall sales.
- About 65% of a company's business comes from existing customers, illustrating the power and value of repeat business.
Origin of 'repeat business'
The concept of repeat business has been a fundamental principle in commerce for centuries. Businesses have long recognized the value of retaining customers and encouraging them to make repeat purchases. The focus on customer loyalty and building long-term relationships has only grown in importance with the rise of competition and the advent of digital marketing.