How to retain holiday shoppers and turn them into loyal customers

The holiday season is a special time, and one which small businesses can capitalize on long after the decorations have been put away. A staggering 75% of small and medium-sized retail businesses rely heavily on holiday sales to meet annual revenue goals,* so having a long-term plan in place for the holiday season is crucial to turn festive foot (or web) traffic into loyal, year-round customers. 

Do more than just survive the holiday rush this year—use it as a springboard to help you maintain success into the new year by incorporating these post-holiday customer retention tips.

1. Create an outstanding, in-store customer experience

For small businesses, retaining customers after the holiday rush can be a game-changer. The key is to create a memorable and personalized experience that keeps customers coming back even after the weather’s turned warm.

To stand out to customers, create a one-of-a-kind atmosphere that evokes the festive spirit, provide tailored gift recommendations that make it easy to decide what to buy, and offer limited-time holiday bundles or promotions that encourage immediate purchases. You can also advertise extended holiday hours to let customers know you value their time and will make the extra effort to accommodate their schedules.

Adding thoughtful touches to your shop not only enhances the shopping experience but also fosters a deeper connection between the customer and your brand.

Hear from business owners about how they’ve improved their customer experience:

2. Plan year-round customer engagement

Regular communication through email marketing, newsletters, or updates about new products, promotions, and events can keep your brand top of mind—and help secure loyal customers. Share stories, tips, and exclusive content that resonate with your audience. This consistent interaction builds a relationship that goes beyond mere transactions, making customers more likely to return. In fact, 81% of shoppers are more open to receiving marketing messages from a small business they made a holiday purchase with.*

“We have to create experiences that are super positive because when you don’t have a huge marketing budget or PR or a lot to spend on SEO, you are required to get collaborative and really create awesome experiences that are consistent throughout.” — Alex Bradberry, The Sparkle Bar

Read more: Building Customer Trust—and Relationships

Learn more about effective customer engagement strategies:

3. Offer a loyalty program

Shoppers love to be rewarded for their patronage. More specifically, they like to snag a deal and feel like they’re making high-value (not necessarily high-dollar) purchases. 

By rewarding repeat customers with points, discounts, or exclusive perks, you can motivate them to keep returning to your store. The simplicity of a points-based system or the allure of VIP access to special events and promotions can be the compelling reason customers choose your business over others.

“When somebody acknowledges my [loyalty program] email in a passionate way—they say, ‘I just signed up, I’m very excited’—we throw a whole bunch of points into their account as a welcome gift. It’s just a little something special that we will do for our customers.” — Nic Faitos, Starbright Floral Design

Read more: The key to Starbright’s steady growth: 3 lessons from 3 decades in business

Discover more strategies for building customer loyalty:

4. Design a seamless online shopping experience

A frictionless online shopping experience is key to securing repeat business. Whether your customers are leisurely browsing from their desktops or making quick purchases on their smartphones, a well-designed website ensures a positive experience. Your website must be easy to navigate, optimized for mobile, and equipped with multiple payment options. It should also be able to handle increased traffic to minimize page load and credit card processing times.

Read more about optimizing your online presence:

5. Leverage social media

Your social media accounts can help you build anticipation, brand awareness, and customer loyalty. Consider sharing user-generated content, offering exclusive deals, and collaborating with micro-influencers to create a particular sentiment around your brand, like community or exclusivity. Regularly updating your social media with new products, seasonal promotions, and educational content can keep customers interested throughout the year and encourage them to return for more.

“Social media is our huge touchpoint with our customers. We have over 11,000 people on Earth & Me‘s Instagram that we connect with to share things about social justice and environmental justice, things they can do, sign petitions, street tree care—so many things you can get involved in.” — Kayli Kunkel, Earth & Me

Read more: Tips for making the customer experience more engaging and approachable

Dig deeper into social media marketing:

6. Boost brand visibility with online ads

Just because a customer has checked out with their purchase doesn’t mean they need to check out on your brand. Boosting brand visibility with online ads keeps a business top of mind for high-intent customers even after the holiday decorations are packed away. 

For example, with Yelp Ads, businesses can adjust their budget to gain increased exposure around the holidays and update their ad to include seasonal messaging and imagery. It also displays the business in key places across Yelp, including above and below organic search results and on competitors’ Yelp Pages to help businesses reach more customers who are ready to buy.

Plus, businesses with the Upgrade Package can make an even bigger impression by customizing their Call to Action, Slideshow, Portfolio,** and Yelp Connect posts to show customers they’re an ideal shopping destination for the holidays.

With these tools, businesses can effectively grow their stream of potential customers and help maintain repeat business throughout the year.

Hear from business owners who’ve found success during the holidays and beyond with Yelp Ads:

* Holiday Trends Small Businesses Need to Know
** Portfolio is available for eligible categories only