Customer Loyalty Concepts
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Follow these customer loyalty concepts because when times are bad, the door is opened for opportunity. Trust + Loyalty are the key ways to brand your business right through a recession. And some businesses leverage an economic downturn and actually turn it to their advantage. I'm not saying it's easy. And I'm not saying you can accomplish success overnight. But what I WILL tell you is that having a solid brand strategy at the foundation of your business will help you succeed through lean times. That's because, at the end of the day, there are really only FOUR fundamental ways to grow your business: |
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- Get more customers
- Get your current customers to buy more
- Get current customers to buy more frequently and for a longer period of time through loyalty
- Get your current customers to buy different products and services from
your business rather than jumping over to a competitor. This is
typically done through upselling and cross-selling
So, how do you do it? By building trust and loyalty.
TRUST
Corporate
scandals, wildly inappropriate executive compensation, failing
institutions, all are signs of eroding trust in the marketplace. But
people want to trust the companies they patronize.
You can build trust by creating and offering something of genuine value. Be clear about what your product or service promises, and then, over-deliver on your promises. Another way to build trust is through testimonials of satisfied customers.
Finally, build trust through all your marketing and communications. Don't stretch the truth. This applies to sales presentations, press releases, advertising, business cards, and websites. When this trust is inculcated in all you do and say, you've got a brand worth patronizing.
"Trust is probably the most basic human value," said Fred Rogers from the children's show, Mister Rogers Neighborhood.
LOYALTY
Once your customers completely trust you, they'll
become loyal followers. And that's exactly what you want because when
the economy is suffering, products and services all begin to look like
commodities. In other words, consumers get more price conscious and
often opt for the low-price leader. That's why Walmart is weathering
this economic storm so well, while prestige brands are scrambling. And
Walmart is no slouch at building trust and loyalty themselves. Shoppers
automatically assume their prices really ARE lower.
One way to
build loyalty is to practice extreme customer service. While customer
service is a core expectation for all businesses, you can differentiate
your business by bending over backwards for your customers and
prospects. For more about differentiating on customer service,
click here.
Just as companies are dealing with plummeting sales and sinking employee
morale, customers are demanding more attention, better quality, and
greater value for their money. The top performers in Business Week's
third annual ranking of Customer Service Champs are treating their best
customers better than ever. In fact, more than half of the top 25
brands of the more than 200 brands surveyed showed improved customer
service scores over last year.
And Forrester reports that customer experience is closely tied to customer loyalty, and that the correlation between the two has increased since last year. The report measures loyalty by a customer’s willingness to repurchase from a company, reluctance to switch, and likelihood to recommend. Customer experience is measured by whether the company meets a customer’s needs, whether the company is easy to work with, and the enjoyability of a consumer’s interactions with the company
Remember that even small improvements in customer retention from trust and loyalty can increase the profits in your company.
As A New Brand World author, Scott Bedbury says, "All the money [or marketing] in the world can't buy you love and trust. You have to earn trust and love by how you behave over time."
What to do when faced with overwhelming competition
