Customer loyalty is a customer’s willingness to buy from or work with a brand or particular outlet or chain repeatedly, as a result of a positive experience of customer satisfaction, and/or the perceived value of the products/services the customer gets from a purchase.
It might sound obvious of course, that one wants to provide great customer service so customers will continue coming back to purchase more goods and services. Customer loyalty is paramount to success because loyal customers can help a business grow faster than sales and marketing.
Loyalty is something that all Companies should aspire to. The point of starting a for-profit Company is to attract and keep happy customers who buy your products to drive revenue. Loyal customers convert and spend more with brands they’re loyal too more often, and they tell their friends and colleagues about those brands, which helps drive free referrals.
There’s a lot of data to support the value of cultivating customer loyalty
Word-of-mouth is more effective at bringing new customers than advertising and marketing since it is based on someone’s real experience as opposed to a Company
telling you which something which may not be quite true.
Since we know that it costs more to attract new customers than to re-sell to existing customers using referrals is one way to keep down the cost of same. Using existing customers to recruit new ones should excite marketers and salespeople
In a world where hundreds of different options for virtually any product or service is available, the fact that customers keep coming back to the same brand or outlet is really saying something. It indicates that a customer trusts and loves the value they get from being your customer outweighs the potential benefit of a lower price or a different option.
Besides giving the customer a good experience one needs something else to keep them loyal and for them to where they keep coming back.
That’s where customer ‘Loyalty Programs’ come into play.
A customer loyalty program is a rewards program offered by a Company to customers who frequently make purchases. A loyalty program may give a customer discounts, free merchandise, rewards, coupons, or even first preference and an opportunity to purchase items before they are released to the general public.
It also can be used for marketing activities such as e-mail bulk SMS or even tweets to advice your loyalty customers of promotions , new items etc. iOM Loyalty Trak