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Transformative Marketing Strategies for Home Services Companies

October 16, 2024 | blog | By Julie Ondrusek
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5 Ways to Build Long-Lasting Relationships with Customers

In today’s competitive landscape, home services businesses are constantly vying for the attention of homeowners. Don’t be fooled into thinking this is all about customer service. Exceptional service is crucial, yes, but it’s not enough to guarantee long-term success. To truly stand out and thrive, home services marketing must focus on building lasting relationships with their customers.

We’re a challenger brand agency, so we’re going to challenge you to shift your thinking and your strategy, just a bit. Instead of thinking of success in terms of short-term gains, think about long-term value. When you start thinking about customer service as cultivating a loyal customer base that consistently turns to your home services company for their needs, then your definition of success goes beyond an increase in customer retention. Now you are enhancing your business’s reputation and customer lifetime value. And that turns into steady business and profits. According to Forbes, a 2% increase in customer retention is the same to profits as cutting costs by 10%.

Let’s explore some practical strategies and actionable tips that can help you transform your home services marketing — techniques that will ensure your business remains top-of-mind for homeowners.

Rethink Your Strategy for Long-Term Success

Marketing strategies for home services can be costly, and traditional methods like relying only on online reviews or paid search ads can be risky. Instead, shift your focus from one-time transactions to the long-term value each customer provides.

No question, engaging with customers on social media, creating valuable content, and running targeted ads are foundational to building your business. But consider how they play when it comes to creating customers with long-term value. Social media helps build connections and maintain ongoing relationships with current and past customers. Valuable content that helps customers solve DIY problems themselves, can position your company as an expert and go-to resource. Providing blogs, tutorials, and the like can help your customers see you as more of a partner in maintaining their home, not just a service provider.

When it comes to online reviews don’t put all your eggs in this basket. Satisfied customers often don’t feel the urgency to leave reviews, while dissatisfied ones are far more likely to voice their frustrations. This can create an unbalanced picture of your business’s reputation, one that could potentially cost you valuable leads. In much the same way, putting all your hopes and dreams into paid search ads can be a gamble: when customers need immediate service, they end up finding the brands that can outspend, regardless of the quality of their service. A good balance of tactics is key.

The key to long-term success lies in emphasizing customer retention and building relationships that extend beyond a single service call.

Actionable Tactics for Building Customer Loyalty

A study by Harvard Business Review shows that increasing retention rates by just 5% can lead to a profit boost of anywhere from 25% to 95%. Those kinds of numbers underscore the financial value of focusing on customer lifetime value rather than constantly chasing new leads. But how to do that? Here are five suggestions.

1. Create a Seamless Onboarding Experience.  First impressions matter, and the onboarding process is where your relationship with a customer truly begins. A smooth, efficient, and friendly onboarding experience sets the tone for all future interactions, helping to build trust and demonstrate that your company values each customer. Whether that first contact is through a website inquiry, phone call, or email, making this initial interaction as easy and personalized as possible is the first step to building a relationship that can lead to long-term loyalty. Create a streamlined system for booking services with clear information that sets expectations. Your customers will feel supported and valued from the jump.

Personalization is key to reducing cancellations and fostering positive engagement. Using customer relationship management (CRM) software is a powerful tool for tracking interactions, preferences, and history. This technology allows you to tailor communications, send personalized offers, and follow up post-service with targeted messages that speak directly to each customer’s unique needs. For instance, after a new customer reaches out to schedule maintenance, the CRM can automatically prompt follow-up emails recommending seasonal services. Timely and relevant communication; customers love it. Why? Because the experience feels less transactional and more like a genuine partnership.

You can also offer a welcome gift or discount, a small token of appreciation that signals to new customers that you care about their business and value the relationship. Ultimately, investing in the creation of a seamless, personalized, and nurturing onboarding experience pays dividends in customer retention and long-term business growth.

2. Create a Proactive Maintenance Program.  Proactive maintenance programs are a powerful way to keep customers engaged and create a steady revenue stream. Instead of waiting for emergencies to arise, position your brand as an ongoing partner in maintaining your customers’ homes. By offering regular maintenance, you not only reduce the number of emergency calls — which can be stressful and expensive for homeowners — but also provide peace of mind through preventive care. This approach shows your customers that you’re invested in the long-term and in return, your business benefits from consistent, predictable income through monthly or annual maintenance fees.

Maximize the effectiveness of such a program with tiered service options that cater to different customer needs. A basic plan might cover essential maintenance, while more comprehensive packages could include additional perks like priority scheduling or discounted repairs. This not only allows you to attract a wider range of customers but also encourages customers to upgrade their service over time as they see the value in added benefits. By offering different service levels, you can create a loyalty system that keeps customers engaged and invested in maintaining their homes with your help. Tailoring the program to fit various budgets and needs will also increase your appeal to both first-time homeowners and long-term customers alike.

Incentivizing customers to join your maintenance program can further boost its success.

Offering rewards such as discounts on repairs or small gifts when they sign up for annual plans can make the program even more appealing. This encourages customers to commit to long-term maintenance, which saves them money by catching small issues before they become costly repairs. For your business, this proactive approach strengthens customer loyalty, reduces emergency calls, and improves your bottom line with a steady, recurring revenue stream. Everyone wins — the customer enjoys a well-maintained home, and your business builds a stable, loyal customer base.

3. Leveraging Personalized Communication. In today’s digital world, personalized communication is a key strategy for building strong, long-lasting relationships with your customers. Gone are the days of generic, one-size-fits-all messaging. Customers now expect businesses to understand their unique needs and preferences, and this is where data-driven communication can make a significant impact. Thoughtful, personalized communication is a powerful way to maintain ongoing engagement with your customers long after their initial service.

By leveraging customer data such as service history, preferences, and home maintenance needs, you can tailor your messages to ensure they’re relevant and timely. This not only shows your customers that you care about their individual needs, but it also keeps your business top-of-mind for when they need services again. Start by segmenting your email list to deliver targeted messages. For example, you could create different segments based on the type of service customers have previously requested, their geographical location, or even the age of their home systems. Sending highly relevant communications, from seasonal service reminders to exclusive offers, makes customers feel recognized and valued. Do: make your business relevant to their specific needs. Don’t: flood their inbox with generic promotions that may not matter to them.

Personal touches can go a long way, too. Sending birthday wishes, holiday greetings, or even follow-up messages after a service visit can further enhance customer relationships. These small gestures demonstrate that you’re paying attention to your customers beyond the transaction and fosters customer loyalty and engagement. Those feelings can translate into repeat business and valuable referrals.

4. Developing a Strong Online Presence with Educational Content. In today’s digital age, developing a strong online presence is essential for home services business growth. By offering educational content that addresses common homeowner concerns, you can position your company as an industry expert. That can look like blog posts, videos, or social media posts where you share valuable, actionable information. This helps establish trust and credibility with both new and existing customers. After all, the internet is often the first place homeowners turn when dealing with home maintenance, repairs, or improvements. Becoming a go-to resource enhances your visibility and builds stronger connections by providing value — even before they’ve become customers.

Create a content calendar to maintain consistency and maximize the impact of your content. When you plan and regularly publish fresh material, you give your audience a reason to regularly return to your site or social channels. Include everything from blog posts, videos, and infographics to current trends and quick tips that are relevant to the season. Practical advice on seasonal maintenance, energy-saving tips, or DIY home improvement provides value and encourages engagement with your brand. This type of content is highly shareable, which can expand your reach and attract new customers.

5. Following Up with Inactive Customers.
Reconnecting with inactive customers is an often overlooked but highly effective strategy for retaining customers and increasing revenue. Many customers may simply forget about their regular maintenance or service appointments due to busy schedules. A gentle reminder from your business can make all the difference in bringing them back.

A proactive maintenance program show that you value their loyalty and are committed to them, even if they’ve missed a few services.

This not only keeps your business on their radar but also strengthens the relationship, ensuring that when they do need help, you remain top of mind.

Reaching out to inactive customers doesn’t have to include discounts, at least not every time. Sometimes, a personalized phone call or email reminding them about their missed service is enough to encourage them to reschedule. CRM software can help easily track which customers have fallen behind on their service schedule and craft messages that resonate with them. Outreach can be as simple as suggesting they book a service to avoid costly repairs later. A personal touch, whether over the phone or via a well-written email, can show customers you genuinely care.

That said, limited-time discounts or exclusive promotions for returning customers can sweeten the deal and incentivize them to return. Following up with inactive customers helps reduce churn, increases the likelihood of repeat business, and contributes directly to your bottom line by turning dormant customers into loyal, active customers once again.

Recap: Driving Success with Customer Lifetime Value. So how does all this impact home services business growth? By focusing on long-term relationships, personalized communication, and proactive engagement, home services businesses can go beyond the traditional, short-term strategies that often rely on quick wins. Building trust and loyalty takes time, but the rewards are immense: a steady, recurring revenue stream, reduced marketing costs, and, most importantly, a customer base that not only comes back time and again, but also refers you. By implementing the five strategies outlined here, you can adopt new marketing strategies for home services, transform your marketing approach, and ensure that your business remains top-of-mind for homeowners —not just in moments of urgency but as a trusted partner in maintaining their homes year-round.

How The LOOMIS Agency Can Help

At The LOOMIS Agency, we specialize in creating marketing strategies tailored to the home services industry. Ready to take your marketing to the next level? Contact us today to see how we can help you build lasting relationships with your customers and grow your business.

JULIE ONDRUSEK is a partner and Director of Client Services at LOOMIS, the country’s leading challenger brand advertising agency and a top Dallas advertising agency for digital, social, mobile and user experience. For more about challenger branding, advertising, and marketing, leadership, culture, and other inspirations that will drive your success, visit our blog BARK! The Voice of the Underdog and catch up on all of our posts.

For more about LOOMIS, or to discuss how we can help your company succeed, CLICK HERE

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Julie Ondrusek

Partner and Director of Client Services at LOOMIS, the country’s leading challenger brand advertising agency

 
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