Why does brand loyalty matter? When something has potential to put money into the cash registers, business owners tend to take notice. Therefore, when customers are loyal to your brand they will come back again and again.
When companies achieve this kind of customer retention, it’s a huge win for businesses.
Building branding loyalty is crucial, it’s like creating a long-lasting friendship. To form bonds like this it takes time, shared experiences, opportunities to build trust and oodles of market research. It’s not achieved overnight, but by understanding what affects brand loyalty, businesses can use their resources to gain customers who are loyal to their brand.
This blog explores what impacts brand loyalty?
Although there are dozens of factors, I feel that these three are top factors to help build a strong customer retention.
1. Shared value
By sharing values with your customer your brand doesn’t feel like a faceless corporation, it makes your company seem human. This connection can help to propel brand loyalty and sales. For example, Khloe Kardashian, has her business which initially only sold jeans. However, as her life experiences changed, such as becoming a mum she manged to expand her range and introduce a maternity range of jeans and just recently after having a baby and trying to get back into shape she’s launched a sports range. She’s understood that her fans are loyal to her and go through several experiences just like she does and reacts to the market needs. This make her brand seem more human and in turn build a long-lasting customer relationship because they are sharing life experience values.
2. Good deals
This might seem obvious, but customers say that this is the number one reason. If your brand can offer special deals or discounts without damaging your brand image, then it’s worth trying.
Premium brands can overcome this by offering long term customers a member’s club and within this club offer special deals or discounts.
So how can you reward your customers? Firstly, set up a loyalty programme and create a campaign which, promotes the message “we value your business” and back that up with a reward programme, this will help encourage customer loyalty.
3. Excellent customer experience
It important to remember that customers are loyal to brand that provides a superior customer experience.
Each CX touchpoint helps to shape your brand image and in turn your customer experience. From the design, look and service it’s vital to remember that a customer is constantly forming an opinion on the experience that your business offers.
So how can you ensure a positive customer experience? Well, make sure every employee is friendly and offer a personalised service. If a customer has a problem, ensure that it is resolved quickly. This will help to strengthen your brand identity and in turn increase customer retention.
When consumers are willing to buy from one brand over another that is brand loyalty. Brand loyalty is about getting customers to continually buy from your business and your business only. For example, Apple users show their loyalty when they stand in line for hours for the latest iPhone and never once consider buying an alternative smartphone. This kind of brand loyalty is hard to come but once you have it, it can be highly profitable for your business. This is because research shows that 20% of your entire customers base comes from loyal customers therefore, keeping them warm is vital.