The cost of acquiring new customers in the music industry is rising. Moreover, it is observed that the budgets allocated in doing so are diminishing. Nowadays, the markets are buttoned up in nature, and the customers depict feudalism in their buying behaviours. It is important to observe that organisations are struggling to keep their business alive and it has become a tall order too for them. Moreover, attracting new customers in the wake of recession and market slowdown has become difficult for many organisations. As a matter of fact more and more companies are relying on loyalty and retention programs in the music industry to boost up their strategies in customer retention. Customer retention has a direct impact on the profits of the company. It is a way of giving the customer as per their expectations. Moreover, it is all about exceeding the expectations of the customers so that they become the loyal advocates of the brand.
The significance of branding strategies associated with customer retention in the music industry
Customer retention is an outcome that is the result of several antecedents. The first and foremost is the satisfaction of the customers. It is observed that if the clients of a particular product or brand are satisfied by it, they would see the name as a reliable brand. Moreover, there is a clear relation between customer satisfaction and customer retention. To retain a customer, a company must satisfy the needs and expectations of the customers with its quality of products and services.
In addition to that, client delight is also considered as the main factors that assist the company to retain its customers. Satisfying customers is not enough in this competitive world. The companies need to delight the customers by providing them with secure service. Furthermore, the organisations should be skilled in the knowledge of customer relationship management.The organisations can increase their customer retention capabilities by managing relationships with clients. In addition to that, it is necessary for the companies to manage various non-profitable customers as it would significantly pave a way in increasing customer the number of loyal customers.