Grow and Maintain Customer Loyalty with Proven Strategies

When a customer tries your product for the first time, likes it, and goes as far as to recommend it to their network, that’s a classic case of customer loyalty. Several businesses exist today in all industries. For every e-commerce site, there are at least five alternatives. Getting the customer to love and support a particular enterprise is increasingly difficult.

An InMoment research shows that around 50% of customers previously loyal to a company have left the company for an alternative. The reason was that the alternative not only met their needs but did do in a likable manner. Loyalty for a brand can be gained and lost depending on the brand’s strategies.

As always, companies must innovate and personalize interactions with customers. Today, not only the customer service agents are expected to deliver a good experience. Even the backend staff have an important role to play in a customer’s journey from pre-purchase to after the purchase.

In this article, we’ll understand customer loyalty, why it’s an asset to businesses and the strategies for implementation.

An Overview of Customer Loyalty

Customer loyalty is a scenario where a customer returns to a business for more purchases. Loyal customers are devotees and are deeply invested in the companies they often patronize. The concept of customer loyalty is that customers become so fascinated with your brand’s offerings that they’ll happily pay any price.

For smart companies, loyal customers transform into brand ambassadors. These are customers who make it their life’s work to promote your products and services. If there’s a kink, they always have a word to say in defense. Jeffrey Gitomer once said, “Customer satisfaction is worthless. Customer loyalty is priceless.”

To achieve customer loyalty, businesses need to constantly change their service delivery and never fear the idea of trying a new thing. That new, but scary, feature may be the game-changing weapon your business needs. If there was ever a good time to invest in customer loyalty, Hubspot’s findings say the time is now. 

Five Types of Loyal Customers

Below are five kinds of loyal customers.

1. Loyalty Based on Price

There are certain customers loyal on account of your product’s price. Shoppers often stand by a product that doesn’t cost as much as its alternatives. However, once they find a better deal, expect these folks to churn. 

2. Loyalty Based on Convenience

Unconcerned by price, these customers like your brand because they find your brand easy to use and interact with. Provided that your brand’s offerings are convenient, expect this bunch to stick around.

3. Genuine Loyalty

This type of customer is not swayed by price, convenience, or any parameter. These customers constantly patronize your brand because they want to.

4. Loyalty Based on Happiness

Their loyalty is based on satisfaction with your products and services. They rarely complain and are repeat shoppers. However, your rivals can poach them with gimmicks like better deals, a discount, etc.

5. Loyalty Based on a Loyalty Program

These customers are loyal because of the loyalty program that your enterprise runs. While many loyalty programs exist, them being a part of yours speaks highly of your techniques. However, they’re most likely to switch soon as they find a better alternative.

Three Proven Strategies to Build a Loyal Customer Base

Previously, we established that loyal customers are brand promoters. Building a loyal customer base is an investment sure to yield massive returns. Results from an American Express research show that 90% of American customers satisfied with a brand will recommend it to friends and families.

Below are three best practices for customer loyalty.

1. Aim for Minimal Consumer Effort

Don’t make any process of a customer’s journey difficult. It doesn’t speak well of your brand and gives disgruntled users a clear opportunity to abandon your business. Make each interaction seamless and memorable.

It was Kate Zabriskie who said, “The customer’s perception is your reality.” If you often receive positive customer feedback, it means that your departments are doing something right.

2. Fine-tune Your Service Delivery

Make your server delivery a joy to witness. Customers who enjoy your services are bound to be loyal. This means more publicity for less plus a higher profit margin.

Customers aren’t looking for service providers but problem solvers. If you can fulfill that need, then you’re all set.

3. Connect on an Emotional Level

Connecting with your customers can not be exaggerated, we assure you. Conduct surveys to determine customers’ pain points and service actionable solutions. Clients appreciate businesses genuinely interested in their thoughts.

A study by Motista reveals that customers sharing an emotional connection with brands that possess a lifetime value of 306% are 71% likely to recommend the brand. Respect customers’ needs and they’ll gladly support you. Offering multiple options for communication with your support team is a wise choice and the first of many moves towards securing a customer.

Final Thoughts

Attracting and retaining a customer requires extensive research, innovations, and guts. Consumers leave brands because they grow unhappy with the brands’ practices. Needs change, so businesses must continually adopt newer techniques.

On our website are several customer loyalty tools that come highly recommended. Check them out here.


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