KYC stands for know your customer. It is far more than a by-word or buzzword. There are many benefits of knowing your customer. But as the world knows, it’s easier said than done, and it perfectly applies here too.
The biggest challenge for any businesses is how they can do this without making customers answer tons of questions. The rather tricky process is not easy to implement without making customers furious.
So, how to get that done? Here are a few ways to get more customers and grow your business.
Implement a Good Age Verification Systems
No age verification system is 100% effective, but any solution dramatically improves your regulatory compliance while increasing the quality of information you collect about your customers.
For example, you could use an age verification system that requires someone to take a personal photo and provide a copy of their identification. You can present this to your customers as a way to prevent identity theft. There is no way someone else would use their ID to buy items or services on your website.
However, it also gives you additional, verified information about the customer. This type of age verification gives you their legal address and identification number. That information is invaluable if you need to take action to collect the money you’re owed.
Create a Centralized Repository of Customer Information
Too many businesses have fragmented data systems. The customer account is in one IT database, while their purchase history is in a second system. The history of the customer’s interactions with marketing emails or mailed coupons is in a third system, and their calls to customer service or tech support may be standalone records.
In the era of internet, social media and mobile such structure could prove fatal for your business in the long run. Customers have become too demanding and companies must elevate their customer services to stay competitive.
The first step to achieve this is to get rid of legacy system. Create a centralized repository of customer information. This allows you to collate customer complaints to purchases. You’ll be able to track their purchases and their returns, their interaction with online and offline marketing content. You can then calculate the value of each customer and identify the profile of your most profitable customers. You can identify the demographic, purchasing or brand engagement triggers that alter someone’s profile. Maybe reporting a specific failure costs you a customer. Or buying a given item proves that they’re going to become a long-term client.
Follow-Up with Your Customers
Sometimes the best way to learn about the customer is to ask. Don’t ask them a ton of questions when they’re trying to buy an item. You reduce the odds of them completing the transaction when you do this. You shouldn’t require them to create a profile to buy from you, either. Instead, ask them to fill out a survey after they’ve checked out or received the item. Ask them their opinion about the purchasing process. Ask them what they thought of the product. The data can be added to their profile, and it gives you more insight as to what customers really think about the company.
You could ask customers to leave reviews for products they’ve bought or rate your company on social media. Engage in deep listening and connect these reviews to the customers. Then you know who your biggest brand ambassadors are. Don’t forget to follow up on negative reviews and try to make things right with your customer. This may lead to the review being upgraded a few stars, and you might recover the customer relationship.