“Loyalty cannot be blueprinted. It cannot be produced on an assembly line. In fact, it cannot be manufactured at all, for its origin is the human heart-the center of self-respect and human dignity. It is a force which leaps into being only when conditions are exactly right for it-and it is a force very sensitive to betrayal.” – Maurice Franks
If there’s one growth hack that has proven its efficacy time and again to the business community, it has got to be this. Customer Retention. Numerous studies and researches conducted the world over have proven to us repeatedly that customer loyalty is a business superpower!
Why is Customer Loyalty important?
Why building customer loyalty is such a recommended strategy for businesses is because it is low-cost with ultra-high returns! By offering a genuinely delightful experience to your customers, you nurture a relationship of trust and continuity with them which overtime makes them brand loyalists. This, however is not the end. It is the beginning of a series of benefits for you as a business, which we’ve listed out for you in the stats below.
That being said, in this day and age where your competitors are but a click away for your customers, you need to make loyalty a priority. And there is no short cut to earning Customer Loyalty except for delivering flawless experiences across every touchpoint, consistently and genuinely. You may acquire customers easily but retaining them is an effort which calls for dedication and pan-organizational involvement. Customer Loyalty is not an end but a journey you set out on the moment you interact with your customers. How loyal they are to you is determined by how interested you are in their experiences and how well you listen to their feedback. It is a non-negotiable business superpower which if mastered can prove to be extremely profitable.IMPROVE CUSTOMER LOYALTY FROM TODAY!
We’ve put together some of the most interesting stats around customer loyalty to show you how much of a difference it makes to your business.
1. 66% of consumers who switched brands did so because of poor service.
2. 85% of customer churn due to poor service was preventable.
3. 11% of customer churn could be prevented by simple company outreach.
4. 67% of customer churn is preventable if the customer issue was resolved at the first engagement.
5. 91% of unhappy customers who are non-complainers simply leave.
6. It is 6-7X more expensive for companies to attract new customers than to keep existing customers.
7. 65% of companies are able to successfully upsell or cross-sell to existing customers.
8. 75% of brands do not know what engagement means – but are measuring “it”.
9. Lowering your customer churn rate by 5% can increase your profitability by 25-125%. (Source: Bain & Company)
10. On average, loyal customers are worth up to 10x as much as their first purchase. (Source: customersthatstick)
11. It costs 500% more to acquire new customers than it does to keep current ones. (Source: destinationcrm)
12. Only 20% of existing customers account for 80% of a company’s future profits. (Source: Gartner)
13. 52% of consumers have switched providers in the past year due to poor service, a behaviour that has cost brands in the U.S. $1.6 trillion. (Source: Accenture)
Customer Loyalty has benefits on almost every aspect of business. Right from cost cutting to improved revenue. Connecting with your customers on a level that supercedes the transaction relationship you share with them by default is what will set you apart from the rest of the lot. Wait no more. Start building your army of brand loyalists now and the results will be yours to see and enjoy!IMPROVE CUSTOMER EXPERIENCE NOW!