WHY IS IT IMPORTANT TO BUILD CUSTOMER LOYALTY?

We have previously discussed the benefits of establishing a successful customer loyalty programme and suggested proposals for its improvement. Today,?we would like to delve deeper, to get to the root of the problem and highlight the importance of building customer loyalty.

But what is customer loyalty?

Customer loyalty consists in retaining customers who have already bought your products or services and who continue to do so thanks to the positive experiences they have had with your company. For this, the purchasing experience must be completed with satisfactory interactions that generate bonds of trust between the company and the consumer. This could be through good customer service or through membership of a benefits club.

So why is it so important to invest in a good loyalty programme?

To begin with, and in economic terms, acquiring a new customer is up to 10 times more expensive than retaining existing ones. This is because a loyal customer who is happy with the brand will purchase again and will become a champion for the brand, i.e. they will recommend your brand to other people, and there is no better publicity than that. In the long run, this will save you a lot of time and money, as you say goodbye to costly brand and product awareness campaigns.

Loyalty is also a factor that can set you apart from your competitors. In fact, according to marketing gurus Don Peppers and Martha Rogers, more than 80% of companies that invest in customer loyalty significantly outperform their competitors. Thanks to this type of strategy, we are turning consumers into advocates of our brand.

In short, faced with the enormous amount of competition, companies must distinguish themselves through strategies that go beyond the product or service itself, strategies that place the consumer at the centre and give them importance within the company. And remember, getting a new customer costs more than keeping the ones we already have. Therefore, building customer loyalty will always be your winning strategy.