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The "R" Word: Retention
by Kath Blackwell

Everyone is always talking about how to get traffic, how to get sign-ups and how to build doorway pages - but how often do people discuss retention?

Retaining your members, getting them to sign up for additional months or 6-12 month packages is the ultimate goal of any pay site owner, but for some reason nobody is talking about it. Could it be that they don't want to give out their secrets? Or maybe, this is an area where webmasters and program specialists really need some guidance, but they are all afraid to be the first to ask for help.

In this article we're going to explore the world of retention - the how and the why - the dos and the don'ts. We'll discuss everyday examples that show the value of repeat customers - and we'll also give some real-life practical-use tips that will help you get your site ready to encourage those recurring members. The Internet is an endless bounty of potential global-customers, but that doesn't mean we should turn our backs on what's right in front of us and use it to increase our bottom lines. A happy customer is a recurring customer - and a recurring customer can be a webmaster's best friend. Today we'll show you why!

THE COFFEE HOUSE

The first every-day example that I'll use to illustrate the value of the recurring member is the typical coffee shop. Now I'm not talking Starbucks - although this is still an important element in their success - but more of a hometown version, a mom and pop coffee café. Building a name brand in town is an important part of the business. Getting your business' name on everyone's lips can really help to pre-sell your products. But once you get everyone into your store - how can you ensure that they return again and become regulars?

Customer service is an important part of operating any business. It doesn't matter if you sell coffee or monthly memberships to hardcore adult entertainment. Making sure that your customer is happy, satisfied with their purchase, and has plenty of new options to keep him or her excited about your products - really goes a long way.

So back to our coffee shop - offering a new "flavor of the month" is a nice way to get folks excited. While bringing in new business, from the press and general buzz about your store with the new flavor, it also keeps repeat customers satisfied who might have been consciously or unconsciously wishing for something new. Instead of looking elsewhere, they found that something new right there in your shop - their favorite place to hang out. The place where they buy their coffee every morning before going to work - ahhhh, convenience! That's another great element of a successful, retaining business.

Making sure your customers can conveniently access your business is another priority. On the coffee shop scenario, quick access to busy roads or office buildings can be a plus - or maybe even something down the street from a large residential area as well? Parking should be easy - don't get a shop space that only has 3 parking spots for the morning rush! Access should be easy - maybe even consider a drive-thru option. Getting customers in so they can get what they want in a professional, speedy manner and then getting them back out right away to make room for more customers - that's a definite plus. Relate all these assets to portals, programs, bandwidth, resources, links, use and usability; all the facets of e-commerce webmasters read about in Klixxx.

And what about price? Yes…you definitely need to see what those around you are offering and how much they are charging for it. If your mocha decaf latte is 18 oz and you're selling it for $2.00 a cup, you might be overselling it if the guy down the road has the same thing for $1.00 a cup. Then again, you could be cutting yourself short if the guy down the road has a lower quality mocha decaf latte (or doesn't even offer mocha decaf latte - just a plain latte!) and is successfully selling it for $4.00 in a 12 oz cup. Knowing the going rate, the specialties offered, the unique products available and what the consumer base is reacting to can help you come out ahead in the battle for the recurring customer.

Now variety is a double-edged sword and can sometimes be a bigger burden than a benefit. If you are so busy trying to offer QUANTITY that you miss out on QUALITY, you'll lose those first-time customers when they walk out the door. 50 flavors of coffee are nice, but if you can successfully sell 20 flavors and varieties that customers enjoy and will come back for day after day, then really - who needs those 50 flavors?

Comparing mainstream brick and mortar businesses to our membership sites can be a great way to search for new ideas, new options and new ways to conduct business. However - no two businesses are exactly alike and you will need to stay alert, aware and be on top of your game when it comes to your own business. Drawing these parallels is a great way to explore and expand, but your real-life experiences must be factored into the plan in order for it to succeed. The infamous saying that "what works for one, might not necessarily work the same for another" is all too true in the world of pay sites. Just because you copy someone else's business plan 100% does not ensure that you will achieve the same level of success.


  • PART TWO: Applying These Ideas to Your Site

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