Retention is more profitable than acquisition, and that’s why the key to maintaining a successful brand lies in the loyalty consumers have for the organization.
And there is a lot of money to be had through brand loyalty. A study conducted by Grand View Research found that the loyalty management market size is set to reach $17.65 billion by 2028, but it also goes deeper than just purchasing goods.
A survey done by Redpoint Global, a leading software provider that helps brands deliver customer experiences, found that 64 percent of consumers would rather purchase a product from a brand that knows them, and 34 percent would spend more money on the product to do so. Brand loyalty may seem like an unapproachable goal for businesses who don’t possess the name recognition of companies like Apple or Subaru, but loyalty can be conceived in many ways.
Here at Xenophon Strategies, our experience has taught us the top ways to ensure our clients develop strong brand loyalty among their consumers.
The age-old expression, “Consistency is key” is fundamental to establishing loyalty. When customers can rely on the same quality of service or product, a sense of loyalty develops – they want to know that expectations will be met, and promises kept.
Not only do you need to be consistent when delivering to your customers, but your brand messaging needs to have a clear and appropriate tie to your company’s vision. Loyalty is hard to develop when brand messaging is ambiguous and awkward.
- Is there anything that needs clarifying?
- Is anything inconsistent, outdated or not aligned with your customers’ needs?
Building a strong brand starts internally, and you want to make sure you’re giving customers something of worth.
Businesses that show appreciation strengthen their relationships with customers’, which can result in increased loyalty, retention and referrals. While many brands show appreciation through monetary perks, that is not always the best way to express your appreciation. Staying engaged with customers’ via social channels, email or community events will add a level of brand experience that outlasts any financial perks. You want to make your customers’ feel heard and appreciated, and this will add value to your brand.
Keeping an eye on what’s happening within your community will help establish you as a leading brand. You need to understand what role your business plays in customers’ lives and stay on top of providing value to them. Strive to anticipate problems and issues that may arise and offer valuable recommendations. This will show your customers that you are dedicated to their success. We want our customers to be just as successful as we aim to be, and by showing this, we create an exchange of loyalty.
You should also keep an eye on the competitors in your industry and how their customer base is responding to their work. Learn from them and lead with more value.
If you’re interested in cultivating customer loyalty and building a stronger brand, contact Xenophon Strategies for expert help.