Introduction

The customer lifecycle is a way of looking at the entire process of a customer’s relationship with a company. The customer lifecycle refers to the whole experience of buying something and using it, including all the different phases in between.

This article will explore the customer lifecycle and its importance to your business growth.

What is The Customer Lifecycle?

The customer lifecycle is a model that shows how customers interact with a product, service, or brand. It includes not just the time they spend with your product or service, but also their previous interactions with you and their current relationship with you.

The customer lifecycle begins with the customer research phase when you identify who your target market is and what they want. You then move to the sales process during which you build relationships with your potential customers. 

After this phase, you move into the implementation phase where you start taking action on what you learned from your research and sales process. Finally, you enter a maintenance phase where your work is done and any new developments need to be made based on feedback from past customers.

 

Importance of Understanding The Customer Life Cycle

It’s important to understand this lifecycle because it helps your company see how you can use the full breadth of your business and not just your products and services to engage with customers and grow relationships at every stage. Understanding the customer life cycle can help companies make better decisions about marketing, product development, and sales.

It will also help you think about how various stages of the process affect your business, and it can help you understand what you should be doing to engage with new customers and retain existing ones.

 

What Are The Stages of The Customer Lifecycle?

  1. Awareness: This stage is when a customer learns about your product or service in some way. For example, it could be through an advertisement or through word of mouth from a friend who has used your product or service before (or doesn’t know you exist).
  2. Engagement: In this stage, you have drawn their attention to what you have to offer and convinced them that they want more information about it (or maybe even done some marketing to help them determine if they do). 
  3. Evaluation: At this point in the lifecycle process, the customer may have decided that they are interested in exploring other options as well as making a purchase decision regarding what they’re interested in purchasing (if they don’t decide then they won’t continue past this point). 
  4. Purchase: This is where customers decide to buy a product and make their first purchase decision. They may read about it online, talk to friends about it, or even try it out firsthand at a showroom or store before making the final decision to buy. Once they’ve made their purchase, they become loyal customers who are likely to continue using the product’s services and support for years to come.
  5. Product and support experience: The initial stages of the customer lifecycle involve understanding what your customers want and how to provide it to them. This includes learning about their needs, wants, and preferences; understanding their pain points; anticipating what they might need in the future, and anticipating problems before they happen.
  6. Bonding/Advocacy: Once you’ve established a relationship with your customers during this phase, it’s important to continue building trust as you move forward into other stages of the lifecycle. A good example of this is when you reach out to a customer who has expressed an interest in becoming a loyal customer but hasn’t yet made a purchase, you can use this opportunity to build more trust by showing that you care about them and will go above-and-beyond for them if they choose to become your loyal customer.

 

Advantages of Monitoring The Customer Life Cycle

The benefits of monitoring the customer life cycle are huge:  

  • You’ll have data and insights that will help you build stronger sales pipelines. 
  • You will also have the opportunity to use the data collected to personalize customer experiences. 
  • Customer lifecycle also allows you to precision marketing campaigns. 
  • Another benefit of the customer lifecycle is that it helps you improve processes within your business, and drive collaboration across the organization.

 

How To Measure and Analyze The Customer Life Cycle

  1. New Customers Acquired: A company can have multiple products, services, or websites. So they should be able to track each of them separately. The acquisition is done by marketing campaigns that target specific audiences with advertising, social media posts, and newsletters.
  2. Reach and Engagement: Customer service representatives should answer questions and make recommendations based on the needs of customers who contact them with problems or other inquiries.
  3. Conversions/Sales: This would include purchases made by either physical retail stores or online stores that sell goods online. This stage also includes any transactions that occur as part of an agreement between companies that are not related directly to sales but which result in some kind of action taken by either party (such as an order being placed).
  4. Usage Frequency: This stage includes how often customers use their products or services over time without having to repeatedly reach out to them to take action.
  5. Customer Retention: In this stage, the customer has been using your product for a while and has become familiar with it. You can measure customer retention by looking at how long a customer has been using your product or service. You can also look into their purchase history; if they are still using your product or not, that’s a good sign they’re highly likely to stay loyal to you.
  6. Customer Queries Inflow: Check how the new customers are interacting with your brand online and becoming familiar with it. This usually occurs when customers are first trying out your products or services and they’re still learning about what kind of interactions they want to have with you. You can measure this stage by looking at how many queries come in per week or month from new customers who haven’t used the brand before. If there aren’t many queries coming in from new customers during this stage (which could mean they’ve already found something else that satisfies them), then it’s safe to assume these people won’t be returning any time soon.
  7. Customer Loyalty and Brand Advocacy: These are two key aspects of the customer lifecycle. The first is measured by looking at how likely customers are to return to a brand, while the second is measured by how likely consumers are to tell others about their experience with a brand. Customer loyalty, or the return rate of customers, is important because it shows how well a company has been able to engage with customers and make them feel like part of an ecosystem. If you have loyal customers who continue to buy from you even if your prices go up or if a competitor offers a better deal, then you have successfully created value for them. Brand advocacy is another important aspect of customer loyalty as it reflects how many people know about your brand and talk about it with others. This can be measured through surveys asking people whether they know about your brand, how much they like it, and whether they would recommend it to friends or family members.

 

How Formplus can Help  Customer Life Cycle Managers

Customer lifecycle managers are a crucial part of any organization, and Formplus can help them keep track of the information they need to do their jobs. Formplus offers over 1000 free form templates that can benefit all types of businesses.

If you are a customer lifecycle manager here are the things you can do with Formplus:

  • With Formplus, you can create forms that allow customers to answer questions about their issues and concerns in one place, so that you can collect all the information needed to solve them. 
  • You can also share those forms with other departments in your company and make sure everyone gets access to them. 
  • And if you need more than just a survey, Formplus offers analytics so you can see how all the information collected from surveys aligns with your other data sources.

 

[Get Started For Free]

 

Conclusion

The customer lifecycle is an essential part of your business. You’ll want to make sure that you’re monitoring how many times your customers are using your product/service and whether those uses were positive ones.

To stay on top of your game, you can also start working on ways to improve the user experience so that people will keep coming back for more.

 


  • Emmanuel
  • on 7 min read

Formplus

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