All companies are after loyal customers — those who keep coming back to visit with the firms and regularly repurchase from them. It’s a tough competitive battle to capture and retain such customers.
But, even more valuable than loyal customers (and harder to achieve) are loyal customers who also serve as brand advocates or evangelists. THESE people not only keep on buying from a specific firm; they also recommend their favorites to others — sometimes, as with social media, to many others.
Take a look at this infographic from Spendsetter (published by Retail TouchPoints).
This is an interesting infographic because it really shows how much of an impact Brand Loyalty has when it comes to sales. I think the best way for companies to pursue brand loyalty is to hire really good employees that take a personal interest in how the product has worked in the customer’s life. For example, gas the product or service enhanced their life?
Brand loyalty comes from really good products and exception customer service. As a consumer, I am not going to advocate for brands that produce what is expected, but I will advocate for a brands that go above and beyond. The only exception to this is if the customer experience is exceptional. Brand loyalty can either come from exceptional products that instill a sense of passion in the consumer or it can come from an exceptional customer experience. The product could be average or even sub par, but if the customer experience is above average, consumers will be more likely to go back and to recommend the brand to other people. I know I am personally much more inclined to recommend a brand if my experience was remarkable. I think companies looking to increase brand loyalty should first invest resources into understanding and enhancing customer satisfaction.
Companies always make changes for the purpose of reinforcing the loyal consumers. Sometimes, they lose their focus or original mission statement when they are trying to meet the demands of their target consumers. Being awareness of the position is somehow important, advocates are following you because who you are.
I think that it is interesting that 92% of consumers trust brand recommendations from people they know. This is a great sign for companies like facebook, because they can promote brands that your friends also like.