Customer loyalty: effective strategies for satisfied customers

Behind a successful company is a functioning team — and loyal customers! Long-term and close customer loyalty is one of the main goals of every company. Not only to expand your own customer base, but also to actively stand out from the competition. Although this usually stimulates business, it also increases the focus on strengthening sufficient customer loyalty.

In simple terms, it is basically about a lasting relationship between the provider (you or your company) and the customer (your customer) and the resulting primary purpose of increasing sales. The steadily increasing number of competitors in many industries demands the steadfastness of a company and therefore also its customers. In order to be able to assert yourself against the competition, customer loyalty measures and strategies must be actively taken. A customer must be convinced from the first visit in order to then win him over the long term as a regular customer. Customer loyalty represents an enormous part of every value chain and is therefore an integral part of a successful company.

Here we explain exactly what strategic customer loyalty means and how you can implement it.

What is customer loyalty?

In short, customer loyalty is about turning first-time customers into returning customers, i.e. regular customers and guests who visit your shop or business again and again. These are loyal customers who, despite the existing competition and the associated selection of offers, consciously and in the long term choose your company. The decisive factor is that loyal customers must be actively retained, because other competitors within the industry often attract with offers that are initially “better” from the customer's point of view. The methods of customer loyalty are varied and depend individually on the industry, company orientation and market and advertising situation. The goal is to make customers want to come back to your company again and again.

Why is customer loyalty so important?

Strong customer loyalty provides your company with a variety of benefits. First of all, it is crucial that a successful commitment benefits from your longevity. The longer it lasts, the more profitable it is for the company. Some of the most relevant aspects include the following:

Economic aspects:

It is fundamentally more financially profitable for a company to retain a customer in the long term than to acquire a new customer. Acquiring new customers usually requires very complex and cost-intensive marketing, which only balances out after a large number of new customers. Depending on the industry, acquiring customers is five to eight times as expensive as retaining existing customers. A regular customer generates many times more revenue than a first-time customer. On average, a loyal customer covers nine first-time buyers. A fixed customer base also brings security. As an entrepreneur, you can expect constant sales over foreseeable periods of time. During a first visit, it is uncertain whether the customer will visit your company again, which is why sales can only be planned very vaguely with these customers. In addition, statistically speaking, loyal customers are less price-sensitive and therefore in turn achieve higher returns. They are also fundamentally more likely or faster to purchase another product as an additional purchase.

Referral marketing:

Satisfied customers are the best advertising ambassadors! Through word of mouth or via posts on social media channels, friends, acquaintances and strangers are informed about the positive experience in your company. Satisfied customers talk about their shopping experience in your shop or the good service in your restaurant and thus automatically generate the attention of new potential customers for your company. Before buying a product or visiting your company, first-time customers usually find out more on the Internet or among their acquaintances and family. The trust of new customers in opinions from the private sector is particularly strong. The already satisfied customer thus automatically recruits new potential customers by passing on their experience to their fellow human beings. This not only promotes general acquaintance and image of the company, but also supports the acquisition of new customers, particularly from a financial perspective. Attention - negative experiences are also passed on. On average, even more frequent than a positive customer experience. It is therefore all the more important that customer satisfaction and the resulting customer loyalty are always actively monitored and developed.

Emotional and personal connection with the customer:

Customers become regular customers especially when they feel comfortable receiving individual support and advice. Sympathy and closeness often beat price and choice. The larger the company — and therefore the customer base and workforce — the harder it is to establish such a relationship. But it is usually enough to be aware that customers are interested in your product or service. The needs and wishes can thus be understood more easily and implemented accordingly. An emotional connection is also important on the part of customers. They already know your company and are satisfied and confident about you and your products/services. The trust that you are thus placed in is the basis of long-term customer loyalty. For example, if you present a new product or change the offer based on customer trust, it will generally be accepted more quickly and therefore consumed more quickly. As a result of previous satisfaction, critical questions and considerations are largely settled from the outset.

How do I improve my customer loyalty?

In order to improve or maintain customer loyalty, you should first be sure what added value you are currently offering your customers and how you would like to create it in the future. It is crucial to make this user- or customer-oriented and to adapt it individually to the customer base. First, the products/services that you offer form the basis. The quality and benefits must convince the customer. With regard to customer loyalty measures, the following instruments have proven effective:

Request and implement customer feedback

Direct customer feedback is a particularly effective measure. Regardless of which channel (verbally, by telephone, on the Internet), feedback is one of the safest and most future-oriented tools in the process of customer loyalty. The fact that you actively offer your customers the opportunity to express their opinion gives them a feeling of appreciation. It is now crucial to get in touch with customers consciously and specifically. Pay attention to the right time and the right medium, which depends on the individual customer base and industry. However, it makes the most sense to pick up the customer promptly after the purchase, because this is where concrete and up-to-date statements can be made. Be sure to take on this!

The difficulty in this process, however, is being able to win over the customer for feedback. This is usually the responsibility of the company itself, which is why the opportunity must be actively pointed out. In principle, it makes sense to address customers where they are in direct contact with you as a company — in your local shop! This can be implemented, for example, by means of notices, flyers or displays that link to a feedback portal or the website. In order to keep up with the times of digitization, QR codes are available, which the customer can scan with a smartphone and thus have the opportunity to directly submit a review. The less complicated and customer-friendly the process is made, the higher is the probability of receiving actual customer feedback. We can generate reviews and feedback for you on the subject of Google here provide more information.

offer bonus programs

The idea behind bonus programs is to reward the loyalty and loyalty of customers. This is sometimes one of the most successful measures implemented with regard to customer loyalty. For this purpose, a process is introduced which functions like a reward system. Coupons, discounts, vouchers or special promotions, such as exclusive and early access to new goods, are most frequently selected. However, these too depend on the respective customer base and must be adapted individually. The voucher is an absolute all-rounder of the bonus programs. This is because it can be used in any industry and can be perfectly individualized. For example, in the catering industry, a voucher can be offered for a coffee the next time you visit or a discount on the next purchase in retail stores. In the hairdressing industry, for example, a voucher for an additional service is also available. Regardless of this, an initial customer becomes a returning customer and a regular customer remains loyal to you. In addition, the offer of bonus programs is suitable for increasing sales in the future. Detailed information about the use of vouchers and their added value for your company can be found here.

Provide excellent service

As already mentioned, the emotional and interpersonal components also make a decisive contribution to customer loyalty. The bond is further strengthened through sympathy, appreciation and excellent personal service (as far as this is offered). Personal customer contact plays a major role, especially for smaller companies. Starting with a friendly greeting to solution-oriented behavior in case of complaints. It is crucial to always say goodbye to the customer with a positive feeling.

conclusion

The measures and tools listed for customer loyalty are only a small part of the selection that you can make in this regard. There are still countless methods to establish a continuous connection between your companies and your customers (e.g. free WiFi on site, regular newsletter, social media marketing,...) .However, the aspects mentioned summarize the most relevant points. In principle, it is important that you, as a company, set customer satisfaction as one of your priorities. A loyal and loyal customer base is often difficult to reach at first, but it will pay off in many ways! With our WLAN marketing package, your customers/patients/guests advertise for you, are happy and recommend you to others.