As a business owner, you can never get complacent, because competitors are always looking for ways to poach your customers. Especially if they slash their prices, which can quickly turn into a race to the bottom—where nobody wins.

But not everyone shops on cost alone. If you build strong customer relationships, you can keep them loyal for the long term, even if your prices aren't the cheapest. Here's how.

Offer personalized attention.

If your customers feel like just another number for your sales records, then they'll also treat your business with a transactional attitude. So when someone else comes in with a slightly lower price, they're ready to move on.

To help keep this from happening, make sure you and your sales team work to get to know the person behind each customer—their names, their backgrounds, their preferences and why they decided to shop with you in the first place. At a time when national chains replace small businesses and everything feels depersonalized, this extra effort can make your business stand out and connect with customers on a deeper level. Not to mention, with this information, you gain market research to customize your product offers.

Now offering this level of attention may get more difficult as you expand, but anything you can do to personalize the customer relationship will help. For example, you can track when someone made their first purchase to celebrate that anniversary or have sales reps add notes about customers through your customer relationship management [CRM] software for your entire organization to see. This way you'll continue to add a personal touch even as your customer base grows.

Show appreciation through customer loyalty programs.

You know you appreciate your best customers. But do they know it? One way to do so is by launching a customer loyalty program, where they can earn rewards or discounts for consistent spending. For example, you could set up a program where, after every four purchases, customers get the fifth one half off. Your VIP customers will be happy to earn the extra discount and this could motivate people to spend more.

Besides an official loyalty program, consider what other ways you can show customers you're grateful for their business. Some ideas include sending out thank-you cards, throwing a customer party at the end of the year or passing along helpful, free resources through a monthly newsletter. All these strategies can keep your business in front of your top customers and clients—and build stronger relationships.

Ask for feedback—and follow through on it.

Customer satisfaction surveys are a great way to learn what people like about your business and what they don't. But it's maddening to submit a survey to a company and feel like no one is listening. This is your chance to make a difference.

If you see some feedback that can actually improve your business—say a customer complains about how a sale was handled—work to fix that issue right away. Then contact the customer who gave you that idea and let them know how you'll do better.

This can help turn even an angry customer into someone who will give you a second chance. People understand that things won't be perfect every single time. By showing that you're willing to ask for feedback—and improve—customers will be more loyal because they know you're working to do better.

Respond quickly.

When customers reach out for something, they want an answer—and fast. That's why you should be careful about completely automating your sales and customer service channels. No one likes leaving a message and not knowing when they'll get their issue resolved. If you have the budget, hire live customer-service reps to answer calls immediately. When customers are waiting for an answer, that's time when they may start browsing for someone else.

If you see some feedback that can actually improve your business—say a customer complains about how a sale was handled—work to fix that issue right away. Then contact the customer who gave you that idea and let them know how you'll do better.

This applies to your social media channels as well. If you use this for branding, check to see when customers comment and respond as fast as you can, while their posts are still fresh in their minds. These interactions hopefully will keep people coming back to your social media channels and help you build more of a following.

Keep employees happy.

Your employees are often the face of your organization and the foundation of customer-loyalty management. If your staff feels unappreciated and disengaged, that's going to come across in their performance. Maybe they'll still deliver acceptable results, but they won't be willing to go the extra mile for customers or be in the best mood.

On the other hand, when your staff is happy, satisfied with your benefits and really buying into your company mission, that's going to come through in all their customer interactions. Employee loyalty leads to customer loyalty.

How to Find Customers During a Downturn

Downturns are inevitable, but even when the economy hits a rough patch, there are always ways to land new business. These tips can help keep your company on track.

Fine-tune market research. Customer demand could shift during a recession and you may need to adjust your business model. Keep running surveys to ask customers what they want and how they value different services. Their goals during tough times could be different than when you originally launched your company.

Develop packages for value. When money is tight, customers will shop on cost. Rather than slashing what you charge, could you create a package where you offer multiple services/products for a better price? You'll create more volume to make up the discount.

Continue marketing. Be weary of slashing your marketing, even when budgets are tight. People are still shopping, but they need to hear about your business if they're going to give it a try. Your competitors may spend less on marketing during a downturn, so you could have an opportunity to stand out.

Keep staff morale up. Ultimately, you need to keep your staff positive during a downturn. Let them know that they have job security to keep them motivated, so they continue.

Building customer loyalty takes some time and investment, but this effort can pay off when you don't have to compete just on price. By following these strategies, you can land and maintain valuable customers during good times and bad

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