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What is Customer Loyalty & Why is it important?
Customer Loyalty is a measure of how likely your customers are to do repeat business with you.
Different industries have various ways of measuring loyalty but the most basic way is to look at the number of purchases over a customer’s lifetime in your database. Those who are frequently buying from you repeat buyers are your most valuable customers. Even if they don’t make big purchasers it is likely that over the time the revenue from them will top the revenue from big one-time buyers.
Know Your Customer
Know your customer and let them know you. Not knowing who you are serving can explain a lack of customer loyalty. Many companies are failing for missing the importance of knowing who their customer’s base actually is and for that reason they fail to communicate properly.
For example, if you meet someone once and the next time you see them they remember your name and a detail about your last conversation you will be impressed, isn’t it? This is important for customer loyalty and companies should strive to do this with their customers. To be fair, it is easy to say but much harder to do.
Send Personalized Emails/ Loyalty Program
Customers are likely to be loyal if they feel valued; do you remember their birthdays or their kids ages, or last item they purchased? Many retailers have implemented email campaigns that they send birthday emails and discounts during customer’s birthday month. Every one loves a birthday treat. Companies need to keep it simple and start a loyalty program by keeping it creative and clear and how does the program works.
Smile People
Have you ever entered a store where the exact person who should be assisting you looks like they hated that you even came in through the door? No one likes to feel like they are unwelcome when they walk into or out a stores. From the other hand, online stores they have always welcoming pop-ups and discounts.
According to a study showed that customers who are welcomed into a store with a smile are more likely to spend 67% more than those who didn’t get a smile.
Encourage Customer Feedback
Customer reviews and feedback go hand-in-hand with customer loyalty. Good reviews will drive more possible benefits to your business and satisfaction to your customers. The first step is the good service. You can also provide great customer service through your social media channels. After an issue is resolved, reach out to ask about customer’s experience.
Ask for Reviews by Email
It might be annoying example of customer loyalty asking reviews through email programs, however once a customer has made a certain number of purchases, send a prompt to review the company by offering a special discount. Clients will be much more willing to review their experience with you and those who are working with you include them in your lists so to reach out to them again.
Final thoughts
There are so many ways to build customer loyalty. It all narrows down to consistent efforts to take good care of your customers.
