Retention Strategist Master Spotlight: Apple
When it comes to customer retention rates in the cutthroat market on cellphone technology, Apple comes out a clear winner. Demonstrating Apple’s dominance in this field have been several studies that show that Apple keeps hold of up to 92 percent of its customers compared to Samsung’s rate of 77 percent. This discrepancy between the two leading phone manufacturers in on the planet is no coincidence. Apple has worked long and hard to make sure that people keep coming back. We decided to take a look at how it does it.
- High-Quality Products
Say what you like about Apple, there is no doubt that its products are excellent. They are built using durable materials that function in exactly the way that Apple advertises. Not only this but the attention to detail with which Apple products are designed really sets them apart in the style department when it comes to mobile devices.
- Slick Marketing
Apple is without a doubt one of the most successfully marketed companies in the world. Its marketing campaigns are invariably simple, yet they seem to touch us as consumers just where we are vulnerable. Ads focus solely on the functionality of the devices instead of bombarding potential customers with prices. No esoteric technical jargon is employed here – just straightforward, hard-hitting information.
Apple’s iCloud service may be a reason why people never go back once they have chosen Apple. With many of Apple’s budget devices featuring relatively low storage, much of the data that Apple users accumulate ends up on its iCloud service. This is convenient for when you lose your phone or buy a new one, but it also means that existing Apple users tend to prefer to stick with Apple for a long time for convenience.
- Unique User Interface
Whereas almost all other brands of smartphone run an Android operating system, Apple has its own iOS software. People often report significant teething problems when switching from Apple to Android or vice versa. This creates a kind of funnel effect in which users encounter no usability issues when switching between devices which support Android but face challenges when leaving Apple for a rival company.
- Non-Compatible Accessories
Apple is famous for making accessories that only work with Apple devices. The best example of this practice is the unique charging ports featured on Apple devices. While Apple claims that its accessories are superior to the universal accessories common across other mobile brands, there is no doubt that this difference makes it more difficult to switch to a non-Apple phone without having to buy a whole new set of cables and other things.
When you look at the innovative strategies above, it should come as no surprise that Apple is one of the leading companies in the world as far as customer retention rates are concerned. If you run your own tech company and want to improve your customer retention rate, we suggest you take a leaf out of Apple’s book.