Usually, in all the ways of business consultation or sales advice, talking about customers loyalty. However if you don’t have this experience before time, but it seems not an unfamiliar subject. But if we want to understand and perform loyalty programs in our businesses, need some real practical notes that might be some hard to find this. Because general tips are not completely helpful. Many available tips about this subject are not the executive guide. In my ideas, it’s not necessary to pressure yourselves to find general and practical advice. Instead of that, You need to understand WHY the customers become loyal. Then I promise you will find loyalty ways in your businesses. After giving the right thoughts about what is customers loyalty and how it makes, we can think about the next questions: what do we expect from customers? What is the ideal customer’s behavior? What benefits should we want? What challenges might occur in loyalty programs?
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The Customer is loyal to herself. Not to us
The first thing must be known, is the customer isn’t loyal to our businesses. But why we expect loyalty to us? because for a long time, relationships are more effective in market than benefits. Now, situation have changed. The difference between business and products is much less than the past. Now this is the code :
We must provide what customer likes for self because customer is loyal to herself !
Must think about where is customer’s benefits? in price and offs? In fast? In effectiveness? in ease? All of the features and attributes we have provided in our product and services, provides his interests. But the benefits are not always monetary.The benefits are not only in products and services. Sometimes it’s in good feelings! a positive emotional experience, Or maybe in environments or in seller’s transaction behavior,in satisfaction from physical attribute, or in many other factors. Which of these have a key role to obtaining loyalty? This question’s answer is what should be explore in every businesses.
Yes, contrary to popular belief, Loyalty don’t creating by customer, but creating by business! For this , the one that must takes steps, is business! Loyalty is not a expectation of the customers but it’s a program for designing and changing the customer’s behavior .
Also, we should know customer loyalty has different from customer retention.
First, remember customer for her needs has a variety of choices. He can choose many different shops, one brand of many more, she can remove or add some companies to her choices, all based on their priorities and criteria.
If we consider the concept of decision making, we can mean a purchase by choosing an option from among the options.Now it will be clear that loyalty tactics trying to place one product or company on the top choices of customers.
retaining is a general concept that contains loyalty. But we talking about loyalty when other choices would have existed; and the customers themselves have decided to be loyal to which one. Also sometimes attempt to remove other choices for customers!
This is the difference between retaining the customers and making loyalty the customers. In loyalty, we are trying to give them the motive to make them choose our product consciously, freely and with their own discretion.
But in retaining (if don’t consider loyalty) customers might be forced to accept our product as the only possible existing product. So retained customers isn’t loyal necessarily. But loyalty customer anyway retains. Retain as means we can count on future buying with high probability.
Loyalty techniques and strategies refer to attempting to be the higher choice between all other choices of customers.
Retaining technics and strategies can be efforts to delete or take to corner any other options for customers. In different ways, as lock-in strategy, Monopoly, be a leading company, Cost leadership strategy and etc.
That’s why it’s harder to compete in markets where loyalty is rife. But in the market where the customer is lasting, there may not be competition at all.
Also you can see most convincing summary text about Loyalty that I had been read here.