Customer retention 101: How to thank your customers

Thank you is a simple word with far-reaching effects in life and business.

From an early age, we humans are taught the act of expressing gratitude. Saying thank you makes a person feel respected and valued for his presence and time in his life. This two-word phrase leaves one elated and nurtures a strong bond. Even a study at the University of California by Sonja Lyubomirsky found that gratitude is responsible for 40% of an individual’s happiness.

Think of it if you apply the strategy to your business. It will not only make your customers happy, but your sales team will feel elated too. Besides, thanking your customers (existing) is vital to retain them. Here are a few stats that support our statement.

  • A new customer costs five times more than retaining an old one.
  • 10% of your top returning customers spend three times more time than a new customer. A repeat customer has trust in your brand and will glance over other products, sales, and deals, implying more shopping.
  • The chances of a repeat customer converting into a shopper are nine times more than a first-time shopper.

The figures above are primarily the reasons you should leave no chance to thank your customers.

However, it should not be confused with customer appreciation. Both are completely different.
The former focuses on turning existing customers into repeat customers while not letting them move to their competitors. The latter is a simple way of expressing thankfulness to choose your customers and is more likely to terminate the future relationship.

You should now agree on customer retention and work towards the goal.

Before Implementing ‘THANK YOU’ Customer Retention Strategy

Plan your strategy but only before you have read the following:

What is the right time to send a ‘Thank you’ note? 

Saying ‘Thank you’ at the right time is vital for hitting the right chord with the customers. The whole act may seem complicated in the beginning. The reason could be any: your business type or the prior interaction you’ve had with the customer.

It is suggested that you select the right technology first and spend some time understanding your customers’ journey. For instance, you cannot thank a customer in the middle of an incomplete purchase or a dispute.

Once you are through the above two requirements, spend some time planning how you would conduct the whole process. When used effectively, thanking customer strategy can deepen relationships like no other.

How does thanking customers improve customer loyalty?

Perception can play spoilsport. A report published in Forbes says 68% of customers move away from a business as they perceive indifference. The reason may vary from customer to customer. However, it is believed that the absence of a sales associate, such as in a bricks-and-mortar business, is the main reason.

So, an easy way to not commit this mistake is by sending Thank you notes or emails. This makes customers feel valued. Send with an intent to appreciate their efforts and time to visit your store. Your gesture will leave a positive impression making them want to come again.

6 Effective Ways to Thank Your Customers

Make your efforts effective. Below are listed some of the tried and tested ways you can thank your customers.

1. Send a ‘Thank you’ Note (PREFERABLY HANDWRITTEN)

Sounds old-fashioned? Nah! A handwritten note is the most sincere means of conveying your gratitude in life or in business. Nothing matches the joy one gets with a piece penned down personally. It makes a customer feel there is a human behind it and increases trustworthiness.

writing a thank you note

In a study conducted by TD Bank, it was found that 44 percent of customers feel businesses should personalize Thank yous. While 60 percent suggest that such regards should be given to the customer directly. Combine both in a handwritten note.

Make sure you touch the right chord with the right words on the paper. Without being overwhelming, tell them the specific reason for writing the note. You may get a little candid by saying how valuable they are to you. But don’t overdo it.

2. Offer product samples or gifts

Launching a new product? Send free samples. Unexpected packages like these are an amazing way to make your customers feel happy and increase brand awareness and loyalty.

offer product sample as a gift

That said, there is something more delightful than a free sample – a gift. Try sneaking in a small gift along with the free sample. It is a nice way to say thank you to your customers. The customer will feel cared for and valued. Send gifts more often.

Before sending the gift, study your customer’s profile. Your gift should be something they can use. This effort might help you see them coming back again. What’s more? They may also bring in more customers.

Use tools such as Vidyard, Bonjoro, and SoapBox to create videos.

3. Schedule Thank-you Notes (automating software)

Customer appreciation holds significant value. When using emails, there is a simpler way to reach out to thousands of customers at one go. Thank You Email Marketing Tool app is free to automate emails for your Shopify store.


Leverage the advantages of this simple yet effective gesture for creating a brand personality. Acknowledging your customers builds two-way communication with several users within a short span. Besides, these emails are trackable, manageable, and you can personalize as per the customer’s profile.

Send an email after the purchase and introduce the incentive. Remember the key milestones of your customer’s life cycle and celebrate it with a customized email.

4. Offer Discounts post-purchase

Discounts and coupons make customers come back. While it is a great way to convey ‘Thank you to the old customers, it is an effective strategy to allure new customers. There are two ways for this:

  • One, add the discount coupon as an extra gift or in your thank you email. Shopify has integrated this into its system. With just a few clicks, issue and send discount gift cards to your customers. Here is the guide to practice.
  • Second, send the discount code directly to the customer as a package insert. Make use of a coupon code so that you can monitor the effect. Creating and managing discount codes has already been in the Shopify system. Here is the guide to enable.

However, you should use this strategy cautiously. This can make old customers develop an uncanny habit of waiting for the next deals. Therefore, new customers should be your prime targets.

5. Create Videos

Take your gratitude strategy one notch higher. Record a video. A remarkable thing about the video is its authenticity. Your customer will appreciate the effort you put in contemplating and catering the video for them.


Keep your video short and concise. No more than one minute, to be precise. Focus on the main point – Thank you. Don’t look for perfection. A selfie camera can also solve the purpose.

These videos can be sent as a follow-up post-purchase or separately as you deem right for your business type. Use them to thank your customers, especially on special occasions such as holidays. Opt for a theme as per the occasion.

6. Let Your Customers Shine

What better way to showcase customer appreciation than putting them in the spotlight. When looking to introduce something new in the market, User Generated Content (UGC) can be a great marketing tool. Besides a subtle way to say ‘Thank you’ to your customers.


UGC has proved to be more useful in the creative industries. These people are hunting for more audience, and you can provide them with the platform they are looking for. In return, you earn a loyal customer.

UGC can be a simple tweet or tagging your brand in their posts, reels, or IGTV.

How to write a THANK YOU message? (SOME TIPS)

Writing a thank you isn’t as hard as it is perceived. However, many times, businesses falter and make grave mistakes. Thus losing out on a golden opportunity of impressing their customers. To get you out of the trouble, we have curated a few simple tips you should follow while writing a ‘Thank you’ message.

  • Greet the person with the first name

Always use the first name of the individual you are writing to. Since they support your business, give them a thoughtful acknowledgment, and they are sure to feel delighted.

  • Express your gratitude

‘Thank your customers as early as possible in the email. People don’t like to read lengthy emails and usually skim through them. So, get to the point quickly.

  • Humanize the message

Do not make your email wordy. Tell them what you are thanking them for and in a manner that doesn’t appear bot-generated. The language should be similar to what we use in one-to-one emails.

  • Write an open-end message

Allow your customers to engage with you. Signing off your letter with an open-end leaves space for your customer to respond. This is good for building strong customer bonds.

  • Add friendly sign off

Add a personal touch to all your efforts. Use ‘Best’, ‘ Warm Regards’, ‘Cheers’, ‘Truly’ and other such sign-offs for a friendly gesture. Please do not make it sound professional.


It doesn’t matter what method you choose to say ‘Thank you’. The most important thing is to make it personal and genuine. After all, who doesn’t like to be appreciated?

Though there are several other ways you can thank your customers, we have listed the best and the most effective ones here. Pick one that is most suitable for your business and customer type.

If you have any questions, please feel free to comment or contact us – we’d love to help.