If you are looking for a long-term relationship, why go on a “blind date” when your chances of success are much better if you do some research upfront? And… you will need to go on several dates before you figure out if you are in love!
Once you find that perfect customer, don’t let them go.
According to Forrester Research, acquiring a new customer costs 5 times as much as it does to retain a customer. The beauty of loyal customers is that they become your best referral source for new customers – birds of a feather flock together. A bonus is that they will offer you quality feedback to shape your future business and new products (keep the spark alive).
Loyalty Marketing is much more than swiping your card at checkout for a discount or earning. It is the cornerstone of building a legion of loyal customers who will become brand ambassadors and product evangelists.
Back in 1896, the Sperry and Hutchison Company offered Green Stamps. 1936 Betty Crocker encouraged cooks to collect and redeem box tops for gifts. Today’s loyalty programs are more sophisticated and enable brands to curate an experience for their customers that aligns with their values, needs, and desires.
Knowing your customers is a must, just like dating your sweetheart. Loyalty is always based on experience. How did you feel after the first date? How about the second date?
Four basic steps to building loyalty
- Always ask for feedback (Did you have a good time tonight?)
- Celebrate a successful experience (Did you get the flowers I sent?)
- Incent repeat business with rewards (Happy 6-month anniversary!)
- Encourage loyal customers to refer others (Do you have a friend for my brother?)
Make your customers look forward to the next date, and you will be bound to have a long and happy relationship.
Don’t leave customer loyalty to chance. What is your favorite loyalty initiative?
Let us know in the comments below.
