Growing your business through customer loyalty9.12.2018
In a world where thousands of options are available, for pretty much every single product or service a customer might purchase, why do customers choose one service provider over another? The surprising truth is, it’s rarely down to price, or even product. When a customer comes back time and time again, it indicates that they love the brand. This love is often the result of a positive experience or incredible customer satisfaction.
So, how can you use this insight to encourage your customers to keep coming back for more, and in turn grow your business?
Simply incredible service
If you provide your customers with incredible customer service every time they interact with you, you will gain their loyalty and they won’t have any reason to look to one of your competitors. An obvious approach, but one which is almost always overlooked.
Live a customer centric reality. Encourage every single member of your team to remember the customer, regardless of their role. Talk to your customers to find out what it’s really like to experience your brand – what works well, what could you do better. Gather regular feedback and strive to deliver the best possible quality of customer experience possible.
Customer loyalty programmes
You’re probably a member of several rewards programs – perhaps you have a Tesco Clubcard, a Boots Advantage card or collect frequent flyer points. If you’re dedicated to a loyalty scheme, chances are that you’re benefiting through buying from them regularly.
Establishing a customer loyalty scheme takes work – it’s a tough way to add value to your organisation. But there are plenty of success stories out there to take inspiration from.
Charge a fee for benefits. Case study – Amazon Prime
With over 100 million loyal members, Amazon shipped over $5 billion worth of items through Prime in 2017. Members’ benefits are centred around “free” and speedy delivery, access to video content, music, Kindle books and sharing.
A survey conducted by Consumer Intelligence Research Partners demonstrated that Prime members spend a whole lot more on the site than non-members.
Prime members, who pay either £79 a year or £7.99 a month for the service, spend about £1,020 a year on Amazon.com versus £550 for non-Prime members.
Charging customers for a loyalty scheme is a smart move, but the benefits have to be worth it. Amazon regularly add and refresh their Prime package, to keep the programme fresh and relevant.
Use a simple point system. Case study – Boots Advantage card
Loyal customers have been swiping their Advantage card since 1997. Every pound spent earns the customers a generous four Advantage points, with special offers for bonus points popping up throughout the year. Points can be redeemed for items in-store or online.
With fifteen million households holding an Advantage card, it’s one of the country’s most successful loyalty schemes of all time.
Provide a range of benefits through partners. Case study – Vodafone’s VeryMe App
Vodafone recently launched their ‘VeryMe’ loyalty programme which allows customers to receive rewards such as money off big name brands and free coffee and cookies from high street vendors.
Vodafone UK chief executive Nick Jeffery marked the launch by commenting “VeryMe Rewards is designed as a personalised thank you to our customers for their loyalty. The Vodafone App is quick and easy to use and rewards customers with daily treats and offers that have been individually tailored to them.”
The new App is yet to prove its value to Vodafone, but early feedback from their loyal customers is incredibly positive.
Share your thoughts
Which brands have gained your loyalty and how have they won your heart? We’d love to hear examples. Please get in touch and share your story at email@example.com