Creating customer value is the key to success for any ecommerce brand. Just like a farmer needs to nourish crops for a successful harvest, an ecommerce brand must nurture customers to keep them coming back.

But how do you create customer value? And why is it important in the first place? Read on to get the answers to these questions and more.

What is customer value?

Customer value drives conversions and retention, as people are more likely to engage with businesses that meet their needs or provide a positive experience. It refers to the overall benefit customers get from interacting with your ecommerce business, such as convenience, high-quality products, excellent customer service, and more.

The importance of creating customer value

Creating customer value will help you grow your business and give you a competitive edge. Ecommerce brands must understand customers' needs and preferences to provide the best possible experience.

  • Increased conversions: By understanding and fulfilling your customers' needs, you can create an experience that will make them more likely to purchase from you.

  • Improved retention: Customers who have a positive experience with your ecommerce business are more likely to return for future purchases.

  • Better customer relationships: Creating customer value enables you to build lasting relationships with your audience.

8 ways to create customer value for long-term business success

Creating customer value is all about meeting your customer's needs and providing an exceptional experience, giving you a competitive advantage over similar brands. Here are some tips for creating customer value:

1. Have a clear understanding of your target customers

The first step to creating customer value is clearly understanding your target audience. Knowing who you are selling to and what they want will help you create relevant content and products that meet their needs. To get an idea of what your buyers need or expect, research the demographics of potential customers, such as age, gender, and location.

2. Provide personalized experiences

Personalize your website and content so that it resonates with each user. Do this by collecting customer data and using those insights to tailor offers and messages to the right people. Personalization helps customers feel more valued and appreciated because it shows that you understand their needs and preferences.

For example, you can recommend similar or complementary products to customers based on past purchases. This initiative reflects your understanding of the customer's buying behavior, shows intentionality, and contributes to increased sales.

3. Give great customer service

Be available and responsive to your customer's inquiries or complaints, and ensure their interactions are hassle-free. Good customer service speaks volumes about your brand and is sure to create a positive impression.

If customers have a question before making a purchase, you should address it quickly and courteously. This promptness will show them that your brand is attentive and reliable, which could result in a successful conversion. 

Similarly, if customer feedback about a product is negative, take the time to understand their issues and find a satisfactory solution - this will make them feel genuinely appreciated and may even help build customer loyalty.

4. Deliver quality products

Ensure that all of your products meet the highest standards of quality so that customers can rely on your brand for reliable purchases.

Quality products foster trust and customer satisfaction, resulting in repeat purchases. Say you sell fashion accessories. Ensure the items are of good quality and use appropriate materials so that they last longer on the shelf and with the customer. Not only will this meticulousness create customer value, but it also helps keep returns and refunds to a minimum.

5. Ensure your products are cost-effective

Customers love getting a good deal, so make sure to offer competitive prices on your products. Affordable products mean customers can purchase more items without breaking the bank. At the same time, remember that cost-effectiveness doesn't always equate to low prices - it means different things across various target audiences.

For example, for a luxury fashion brand targeting high-end customers, affordable may mean that a $15,000 bag is a steal. Meanwhile, for a grocery store, a customer's perception of cost-effectiveness may be getting to buy a particular item that is discounted from $5 to $4.

But say you have a mixed target audience - like a clothing brand that produces both luxury and everyday wear. In this case, you can divide your customers into market segments for pricing and marketing purposes.

6. Focus on user experience

Easy navigation, search functionality, and fast loading times should all be considered when creating a great user experience for customers. Focusing on user experience gives customers an enjoyable and hassle-free shopping experience.

When customers visit your website, app, or store, they should be able to quickly find what they need and complete their purchase without any issues. Wherever possible, use features such as filters or sorting options to make product discovery easy, and consider offering fast delivery options or free shipping to make shopping more enjoyable.

For example, a skincare brand could build a custom quiz, so new customers can easily find their skin type and ideal products. Or a clothing store could provide helpful size charts so customers know the correct sizes to purchase. These features will surely make customers feel valued, as they show that you understand their needs and are taking steps to cater to them.

7. Assess your current value proposition

Assessing your current customer value proposition is a critical step toward improving it. Once you analyze what you're doing right or wrong, you can identify areas with room for improvement.

Are your products up to date? Is your website easy to navigate? Do you have enough delivery options? Answering these questions and making improvements where necessary can help create a more pleasant customer experience, resulting in increased conversions and retention.

Say you sell outdoor products. You could offer tutorials, product reviews, and advice on how to use the items safely. These pieces of content will show customers that you are knowledgeable, highlight the value of your product, and make them more likely to purchase from your brand.

8. Incentivize customers

Providing incentives like discounts, free shipping, or loyalty programs can make shoppers feel appreciated, subsequently improving your customer lifetime value (LTV). These incentives show buyers that you're willing to go the extra mile to give them a great experience, which can help increase conversions and customer retention.

Gain loyal customers by adding SMS to your marketing strategy

Including SMS in your marketing strategy is an effective way to create customer value and build brand loyalty. SMS allows you to reach customers directly and quickly, so they can get the information they need on time.

With automated messages or two-way conversations, you can send your customers personalized messages such as order updates, delivery notifications, or discounts. These tailored texts and incentives will enable a seamless customer journey and make them feel appreciated.

Emotive's powerful and intuitive SMS platform makes it easy to reach customers with valuable, personalized messages. Schedule a demo today to see the software in action!