Mastering and gaining insights is essential in establishing a loyalty culture.
Customer loyalty is driven by multiple factors but mainly by the dissonance between how your company is internally structured, and what does the customer experience when communicating with your brand.
Internal factors can influence external outcome
It’s quite common for companies to ignore internal factors, and just focus on external ones when reviewing their customer loyalty options. The following situation dissolves into a series of ‘knee-jerk’ reactions to customer satisfaction and loyalty scores, not focusing on fixing the root cause of the problem. Temporary ‘band-aids’ hurt customer loyalty and are reactionary in nature, it’s not what the costumers want.
Re-examine your inner-workings to fully understand what drives customer loyalty
Let’s get one thing out in the open, focusing on external fixes simply doesn’t work. If your management team’s fixes include one or more of the following ideas we’ve got bad news for you:
- “We need to create a customer loyalty program to reward those customers that purchase more”
- “We need to launch a brand new advertising campaign (yet another one) that highlights how great our product is”
- “We clearly need a sale, let’s slash the prices that a sure way to increase our customer loyalty”
These so-called solutions are reactionary in nature, short-sighted, and don’t even scratch the surface of the real problem – why are you unable to gain customer loyalty.
Dismiss the concept ‘knee-jerk’ changes, your goal is to understand your customers, shift your paradigm of how you understand customer loyalty.
Create programs that fit your customers’ preferences
First and foremost, stop assuming that your customers understand what differentiates your products from the competition. Next, customer service and product development need to form as a result of knowing who your customers are, what do they expect from a top-tier product, and what will impact their decision-making process.
How to gain insights into your customers’ behaviour
You’re probably scratching your head and thinking “How do I understand my customers?” – well, it’s pretty easy, you simply talk to you customers. Conduct surveys, focus groups, engage them through social media, the possibilities are endless.
- how they perceive your brand
- how they perceive products similar to yours
- how do they rate your customer service
- what matters to them
The fun part
Having collected required data, the time has come to analyse, and implement solutions that will satisfy your customers’ needs. You may find out that yet another customer loyalty program is not what they need nor want, maybe you need to ‘amp-up’ your customer service, or maybe it’s your website that needs to be more intuitive.
The journey will be an enlightening and fulfilling
Your findings will re-calibrate your focus and open a plethora of possibilities to gain loyal customers.
Gaining perspective is a life and business lesson that you can’t ‘put a price tag’ on.