Brand loyalty is a necessity if you want sustainable business growth. Customer retention improves revenue, and loyal customers can become brand advocates, who are passionate about your brand and provide positive word-of-mouth marketing. Building brand loyalty is not easy, but it is worthwhile.
- The probability of selling to an existing customer is 60%-70%. The probability of selling to a prospect is 5%-20%.
- Existing customers spend 31% more than new customers.
- Existing customers are also 50% more likely to try out a new product.
Here are four ways to build brand loyalty.
1. Focus on their needs
Make your sales team as customer-centric as possible. Encourage employees to develop deeper relationships with clients to achieve a better understanding of business goals and pain points. Collecting data on your customers via surveys or proprietary data services such as EDA or RigDig can also offer insight into the solutions you should provide to enrich their experience with your brand.
2. Keep providing value
Once a purchase is made, shift your focus from the sales funnel to lifecycle marketing. Incentivize loyalty and referrals with special offers and discounts, publish educational content and invite them to participate in webinars. Continuously track the success of each piece of content you create to gauge whether you are truly delivering the best content for your audience.
Watch this Randall-Reilly Marketing Minute video to understand more about lifecycle marketing.
3. Engage with customers
Invite customers to your social media pages or a community on your website. Engage with them by starting conversations, replying to comments and answering questions. Remember that 40% of customers expect a response within an hour, and 79% expect one within a day, so be sure to respond quickly.
4. Don’t ignore negative feedback
A negative review from a customer doesn’t necessarily mean the end of your relationship. You can still retain the customer if you respond quickly and appropriately to the negative feedback. Before you reply, make sure you understand the intent of the review. The right response will vary based on the review itself, but it will still consist of these three components:
- An apology
- An offer to make it right
- An assurance that their feedback is important
Even if you don’t retain the customer who wrote the review, others will see your response and feel more confident in your brand, as 41% of customers believe that a brand cares more about its buyers when it responds to reviews.
Building brand loyalty is not as simple as making a sale and then moving on to the next lead. It takes constant nurturing and engagement to prove your value to customers and inspire brand loyalty. It’s not easy, but because loyal customers spend 31% more and are up to 70% more likely to make a repeat purchase, it’s worthwhile for your business.