Why PG Tips could teach The AA a thing or two
I've had enough now. The annual call around following renewal letters from various service providers has made me think: Why don't they value customer loyalty the same way some great brands in our FMCG industry does?
Recent letters from the aforementioned AA and also Direct Line, Aviva and a well-known energy provider caused me to invest a significant amount of time discussing their total lack of interest in me, the consumer, rather an attempt to significantly increase their profits (or fund the promiscuous shopper this market has groomed) by slyly hoping I'd forget to check this years rate vs last years. Which also made me think of elderly relatives or neighbours who wouldn't/couldn't check and are effectively being ripped off, but that's not for now.
I think i know the answer. PG Tips have NEVER pissed me off. The contrary in fact. It appears i have an emotional attachment to the great tasting tea provided in my (still innovative and fascinating) little pyramid of fragile material. In fact, I don't mind paying that little bit extra if I run out, although I do admit to having a stock pile purchased on promotion (and I don't call that brand value, I call that planning). But I will go out of my way to ensure its PG. The same way its Heinz, Gordons, Hellmann's and Damm- never a bad experience and a reward for my loyalty with the occasional voucher (but they wouldn't need to bother to be fair).
So why doesn't the service industry take a leaf out of the great FMCG book? Some have- TUI for instance. Avis even. Great experiences without ever feeling ripped off.
And that's it. My emotional commitment is in fact memory. A positive one, over and over. And as proved it trumps economic commitment every time. So next year when you try and entice me with a great offer Mr AA, forget it.
I read a great blog by a chap called Matt Bowen. Don't know him but he summed it up for me- Having a customer base that enthusiastically and consistently chooses your brand over other options is what separates the STAR companies from the rest.
RAC- i hope you're listening. Let's get brand loyalty on your list of corporate goals before YOUR renewal comes up in 12 months.
National Account Manager at Macphie UK
6 年Soooo true
Head of Growth
6 年Quite right James. The thing that always annoys me about service companies is that by and large they aren't interested in existing customers, only acquiring new ones.? Even the odd stand out company when it comes to customer service like First Direct have been pulled up on the fact they offer better deals to new customers compared to those who've stayed with them and bought more services from them over several years.? The only good news is that you can vote with your feet, like on food and drink brands if they don't delivery.
Director
6 年You grumpy buggar ??
Recruitment & Staffing Director- Business leadership, Exec search, Talent acquisition.
6 年Made me smile, completely agree!