We’ve all heard the saying, “It’s cheaper to keep an existing customer than to gain a new one.” But how do you ensure that your customers will stay loyal? You should first understand how customer loyalty works. It starts with how you treat your customers. If customers are satisfied with their purchase and your customer service, they are likely to return.
Customer decision making is not always logical. Customers make their decisions based mostly on emotion, meaning in order to keep your customers, you should appeal to their emotions. It is a great idea to actually ask your customers if they are satisfied. This is because the majority of business owners and executives believe their company is providing exceptional customer service, when in fact, over half of their customer disagree.
This infographic bellow illustrates the importance of customer loyalty on your bottom line. The information presents beneficial insights of how customer loyalty works, the solution, and the future of customer loyalty programs. Infographic is provided by National Business Research Institute
This is a fantastic infographic. Thanks for sharing it. I’ll add that customer loyalty can be even more important for small businesses that rely on a small set of customers to survive.
The good news is that small businesses often have more control over their ability to deliver a great experience that appeals to the emotional side of customers. Take advantage of having an intimate business space and more face time with customers by getting to know them and using that personal information during future interactions.
Even mailing your customers a personal “thank you” note from time to time is a great way to let them know that you appreciate them and that your business is different (in a good way).
Here’s an interesting article on using regular emails to build customer loyalty:
I have to be a dissenting voice here.
Yes it is good to have great custoemr service, but I think the point that businesses fall down on is that they fail to consistently and effectively communicate to existing customers that they are getting great service.
Businesses tend to think “well they are getting great service so they will realise that” but the fact is that humans have a tendency to treat the familiar with contempt. The grass is greener on the other side, so when a competitor with inferior service comes along with a great offer, there is a good chance the customer will leave…
UNLESS your business has consistently communicated with your customer and educated them on what you do for your customers, that no others in your industry can.
Really great infographic. I couldn’t believe that in tiny letters in the infographic it says that only 7% of businesses use game techniques to solve problems and engage audiences! WOW! This number is so low! It seems that gamification still has not caught on, I believe its way more engaging than social media. Engagement is the key and gamification is spot on the money in motivating your customers and even your employees.