- How Relationships Build Brand Loyalty Strategy
- How Relationships Build Brand Loyalty Definition
- How Relationships Build Brand Loyalty Examples
- How Relationships Build Brand Loyalty Marketing
Attracting new customers is difficult. After going to so much effort to win customers over, you certainly want them to stay loyal to your brand.
There are hundreds of books on how to build a brand, which only points to how complex this field is. Brand loyalty escapes easy definition, because it is both pragmatic and emotional.
But all those employees in Atlanta and Cincinnati and Northfield, IL, realize what’s really valuable in the long term is a relationship — a reliable source of revenue going forward. A better way to say it: brand loyalty. Before the Internet, brand-loyalty construction was done in an ad hoc manner. Below are a few specific ideas for how you can build relationships and create brand loyalty: 1. Offering returning customers a discount on services. Everyone loves a good deal.
What is it that keeps customers coming back to the same brand time and again? It’s partly down to habit, but it’s a conscious choice, too.
While this is undeniably important, the brands investing in building relationships with consumers that are finding more success in the long- and short-term. Brand loyalty is the foundation of. Customer Relationships - No question about it, brand loyalty is down since the recession. To fight that trend, marketers have been using short-term tactics—with diminishing results. Something different is needed. Consistency is an important factor in building brand loyalty. When customers can rely on the same quality of service or product, a sense of loyalty develops. “The importance of consistency in.
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In the digital age, customers are overloaded with choice, with plenty of options at their fingertips. And yet, for you, brand loyalty is more important than ever before. Below, we set out the steps to build brand loyalty for your business.
Overview: What is brand loyalty?
Brand loyalty is the tendency of customers to keep buying from the same company, regardless of competitor activity or changes in the market environment.
Once a customer develops this brand allegiance, they will continue to purchase from their preferred company. Think of the customers who always buy the same brand of coffee, soda, or detergent.
Customers are loyal to a brand for many reasons. They may have an emotional attachment to the company, based on shared values. Or, they may simply prefer the quality of service they receive from the company.
Today, there are new drivers of brand loyalty. Social media content can build relationships, and loyal customers can even act as brand ambassadors on their own social media accounts. At the same time, there are more threats than ever to brand loyalty today.
When everything can be purchased from Amazon with one click and delivered for free, some would argue that loyalty is an outdated, nostalgic concept. Pragmatism has trumped emotion, they would argue.
The evidence suggests otherwise. Brand loyalty has not gone away, but it has certainly taken on new forms. Before we dive into the tips, let’s separate brand loyalty from customer loyalty.
Brand loyalty vs. customer loyalty: What's the difference?
Put simply, brand loyalty is about customer perception, preferences, and attitudes. Customer loyalty is more closely related to consumer spending.
A customer that is loyal to a brand will also purchase from the company, so there is clear overlap between the two fields. However, customer loyalty retains a narrower focus on spending patterns.
To put it another way, brand loyalty will be defined by your values, your reputation, and the customer’s previous experience with your company. Customer loyalty is driven by low prices, discounts, and rewards.
Price will always be important to the customer, but depending on this as a competitive advantage puts a company in a weak position. A competitor can simply discount their products further. Building customer loyalty to your brand is a longer-term strategy with a wider range of benefits.
5 ways to build long-lasting brand loyalty
These five strategies will keep customers coming back long after their first purchase.
Strategy 1: Incentivize purchases
You can’t buy loyalty. Sure, you can offer your customers financial rewards to entice them to make a one-off purchase. But to engender true brand loyalty, you must offer more.
Decades of brand psychology research show that loyalty is built on a value exchange between customers and companies. We see this everywhere today.
For example, The North Face has a loyalty scheme called VIPeak. Apart from a relatively good pun, it also offers early access to new products, free tickets to events, and competitions.
The emphasis is on community, even if a financial incentive is offered up front to pique customers’ interest.
© Provided by The Blueprint Text and icons displaying the member benefits of The North Face’s VIPeak loyalty program.There are lessons for social media strategy here.
Rather than broadcasting to an audience about why your company is the best, focus on the incentives you can provide them. Why should they stop scrolling and care about what you have to say? Loyalty is a two-way value exchange.
Strategy 2: Share customer stories
To engage with people, you need to show your humanity, the human side of your company. A corporate logo will only do so much for brand loyalty. There are many ways to achieve this goal.
GoPro, for example, gives customers the tools they need to create great videos. Then it allows them to share the content, all including the company’s logo. These videos essentially become free advertising for the company and its capabilities, while giving customers a shot at online glory for their creations.
Airbnb takes a different route. It asks customers to collaborate and build their brand through personal stories.
© Provided by The Blueprint ix images of Airbnb customers with their names overlaid on the images. Below, their home city and an introductory line to their story.
At its core, Airbnb is a technology platform that connects spare rooms with travelers. The company looks beyond this to explore what this platform enables for its audience.
This develops brand loyalty because of the emotional attachment these customers feel for the service. It is also attractive to prospective new customers, as they see the company in a positive light.
As part of your brand audit, look at the resources you already have. You can use employee stories for this strategy, as well as customers.
Brand loyalty is based on the premise that the company offers more than just a sterile service. Human stories are a tried and tested way to communicate this powerful message.
How Relationships Build Brand Loyalty Strategy
Strategy 3: Listen to feedback
When trying to build customer loyalty retention, you need to go beyond the transaction to understand what really makes the customer tick. Too many companies assume they know what customers want, but oftentimes they don’t.
You can ask for feedback from existing customers, but don’t be afraid to ask lapsed customers about their experience too. It can be fruitful to understand why customers decided to switch to a competitor.
The key is to be accessible and open. You can then demonstrate your commitment to customers by showing the changes you have made in response to their feedback. Customers are not always inclined to fill in feedback forms. So, you need to craft these forms with care.
Consider these tips when asking for feedback:
• Keep it simple. The customer is doing you a favor by filling out the form -- be considerate of their time.
• Make most fields optional. Let the customer fill in the areas they want to discuss.
• Include white space. This makes the form less daunting and invites the customer to share their thoughts.
• Add a rating scale. They’re easier to fill in, and they give you something tangible to monitor over time.
You can then use social media management tools to track audience sentiment, so you can see the impact your changes have on brand loyalty.
Strategy 4: Communicate with consistency
Predictability is underrated. When a customer interacts with a brand, they want to know what kind of experience they will have. They want to know that the service will be as good as it always was. Loyalty takes years to build, but can be lost in an instant.
It’s challenging to maintain this required level of consistency in the social media age because your brand is almost certainly active on numerous social networks, all communicating with customers every day.
Once you have nailed your brand positioning strategy, apply the same tone in your visuals and your communication on every customer touchpoint. Social media platforms only allow so much customization, but you can still make your accounts your own.
How Relationships Build Brand Loyalty Definition
Oreo does a great job of incorporating its signature style into its Instagram and Twitter accounts. It takes a lighthearted approach to communications with its audience, but addresses customer concerns seriously too.
Businesses of all sizes can apply these same principles. Customers are more likely to be loyal to a brand they can depend on, after all.
© Provided by The Blueprint Oreo Instagram profile page, containing images of Oreo cookies.Strategy 5: Work with influencers
How Relationships Build Brand Loyalty Examples
Influencers are most effective when they connect emotionally with your audience. Businesses can use this to their advantage to build brand loyalty, if they approach the situation thoughtfully. There is more to this strategy than simply choosing the most popular influencers and paying them to promote a message.
The influencers brands choose will immediately make a statement about the brand’s values. If the influencer is not aligned with the company’s ethos, the campaign can erode trust in the brand.
It’s worth looking beyond the headline numbers an influencer can offer to consider the impact their message will have on the audience.
Start with the metrics that will reflect the performance of your social media campaign, then identify influencers that can help you hit your targets. Typically, this will mean going beyond broad metrics like campaign impressions, towards metrics related to customer engagement.
Influencers are not a substitute for a solid brand strategy, but they can help amplify your message.
Building loyalty that lasts
Customer brand loyalty is a delicate commodity. Its value is both quantitative and qualitative.
How Relationships Build Brand Loyalty Marketing
You can bring some rigor to this vital marketing area by taking on board the tips and examples shared above. There are no shortcuts to build a relationship with customers, but if you put in the work, it will be repaid with loyalty in the long run.
| SUMMARY: A corporate-style branding effort requires a corporate-sized budget. But if fancy logos and mass advertising arenât in your budget, you can try building your brand one customer at a time. Read one marketerâs recommendations for using personal communications to connect with your best customers. Through simple, low-cost tactics, you can build stronger relationships and establish a brand identity thatâs more than just an image. |
'Small and medium businesses would be far better [off] spending the time and money on relationship building, and the brand thing will come out of it by itself,' says Torok. 'A brand is not about colors or logos or fonts -- a true brand is about a feeling that people have about you.'
Torokâs firm helps owners and marketers at small- and medium-sized businesses develop a more personal touch with customers. Below, we highlight seven tactics Torok uses to establish and maintain those relationships. These efforts require time and diligence, but they are very inexpensive.
Tactic #1. Make company leaders available to customers
Smaller companies have an advantage over large corporations -- there are fewer bureaucratic layers between the top and the bottom. Take advantage of the situation and give customers access to top-level management.
Access can be granted in several ways, including:
o Having executives visit sales floors
o Attending industry conferences
o Having an open-door policy for phone calls
o Attending or hosting live chat sessions, forums, or other industry-related social media events
'That doesnât mean you spend all your time on the showroom floor or going to networking events, but you need to be seen,' Torok says. 'You put a human face on the business for your clients, which makes them feel better about doing business with you.'
- The door is not always open
Maintaining an open-door policy does not mean customers can reach you at will. But it could mean establishing times for customer calls, such as between 9-10 a.m. on Thursdays.
Tactic #2. Reach out and be heard
Customers feel special when you reach out to touch base. This can be done through:
o Direct calls
o Emails
o Social media sites
o Handwritten notes and postcards
Postcards can be particularly valuable as a quick, personal way to reach out. A two sentence handwritten message is much more personal than a typed email. You can send 20 or 30 postcards while waiting for a plane. Postcards are waiting for you in the gift shop.
- Not every customer is equal
There is not enough time in the day to call or write postcards to every customer, just to ask how theyâre doing. Prioritize efforts around your most valuable accounts and prospects.
Tactic #3. Request introductions from sales
A good way to start building relationships is to have your sales team introduce you to your best customers, Torok says. Good ways to connect include:
o A simple telephone call
o Tagging along on sales visits to their offices
o Being present when they visit your office
- Coordinate customer contact with sales reps
Tactics such as writing postcards and sending messages through social media are fairly innocuous, and do not take much of the customersâ time. However, phone calls and scheduled meetings should be approached more delicately.
Your sales team might be in the process of closing a deal, and you do not want to interrupt that process. Have an open line of communication with sales to avoid any miscues.
Tactic #4. Ask customers about their business
Your natural inclination might be to ask customers if they are satisfied with your product and service, and if they have any complaints or questions. However, a conversation with a customer is also a great time to find out more about their business.
During conversations, ask customers about:
o Opportunities in their business
o Biggest headaches
o Biggest fears
o Plans and predictions for the future
This information will give you a better understanding of your customersâ needs and mindsets. The more you understand them, the better youâll be able to design marketing campaigns and new product features.
Also, asking for this information shows a real interest in the person with whom you're speaking. You will be gathering important business information while making a strong personal impression.
Tactic #5. Send small gifts
The more relevant and personalized you can make the gift, the better it will connect with your customer.
Torok suggests books. Thereâs at least one for every topic, so itâs easy to find one thatâs likely to interest a customer. Also, you can write personal messages and sign books just like postcards. So if you have five top customers who are interested in golf, buy each a copy of a popular golfing book, pen a message inside, and mail it to them.
'If you receive a book from someone that they personally autographed for you, people donât tend to throw it away, even if they donât read the book,' Torok says. 'They put it in a special place on their shelf and they remember you.'
Tactic #6. Manage your time wisely
As mentioned, not all of your customers are equal. Set rules that will determine which customers receive friendly calls, postcards, gifts, etc. Some customers might 'qualify' for a gift, while a postcard might suffice for others.
Also, create a schedule for customer outreach. You may plan to send 30 gifts and 200 postcards this year, but you certainly donât need to send them all at once. Use scheduling software, such as Microsoft Outlook, to program reminders.
If you have a clever IT department, they may be able to build a solution that connects to your customer database, classifies customers to contact and schedules when to reach out.
Tactic #7. Scale back if necessary
This strategy could spin out of control and consume too much time with overly ambitious goals. Remember, you have the rest of your job to consider. If you find yourself too pressed to keep up with the contact schedule and have to scale back, donât fret.
'No one will really notice,' Torok says. 'No one expects there to be a regular schedule of postcards. If someone received a postcard two years ago, theyâll still remember it.'
If you have to scale back, start by raising the bar for your contact rules. For example, you might have planned to call customers who purchased two or more times last year. Try raising the bar to three or more purchases and see how many calls that leaves you.
Useful links related to this article
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