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Customer loyalty isn't dead, it's just changing

Posted by SurveyMe on Feb 2, 2017 10:02:26 AM

We preach the wonders of customer loyalty all day and night here at SurveyMe, but we’re well aware customer loyalty doesn’t work the same way it used to. This is not to say it’s dying. In fact, according to a Facebook survey of 14,700 adults, there’s a huge amount of opportunity for brands to cultivate their own loyal customers.

According to the study, 77 percent of customers return to the same brands over and over, but 40 percent of them are not loyal. This means there’s a split between repeat purchasers and brand loyalists.

Brand loyalists will buy your product even if the quality or price isn’t as good as some of your competitors. Usually, this is obtained through great customer experience or reliable products.

Repeat purchasers only come because you offer an objectively better deal customers respect. On the other hand, one bad experience or if they spot a competitor offering a better 'value' they might jump ship to your competitors. There’s no loyalty amongst bargain hunters.

This infographic Facebook provided shows what drives each type of repeat purchaser, based on industries. It reinforces brand loyalty is based on emotion while repeat purchasers make their decision based on logic.


Notice what’s most important to brand loyalists across most industries: Service. Everywhere except grocery and restaurants, service matters the most.

Apple is a great example of this. PC manufacturers have notoriously awful customer service, but Apple has physical locations with helpful genius’ to solve any customer problems.

Although PCs are generally cheaper, I can’t think of a single person who is loyal to Dell or HP computers, but I can quickly name a slew of Apple heads. Pay attention to the customer experience, it's important.

This goes to show just how important it is to make sure your customers have a great experience. It's a lot of work, but it will pay dividends. 

Another insight from the study, having kids increases customer loyalty. This is pure conjecture, but maybe it's because the chaos of having kids means new parents want a reliable brand they trust. 

In any business where loyalty is dictated by service, there needs to be a survey solution to know the quality of service you’re providing. You can train your staff all you want, but how they act in front of customers is what matters.

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Topics: Business & Marketing

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