There is a market for serving as the cheapest option, which will garner a certain number of customers, but those customers will only follow the cheapest option. So they are your customers for as long as you are cheapest. There is also a huge market for companies who build a customer base surrounding the idea of the loyal customer.
Entrepreneur.com posted 4 tips to gain customer loyalty. I am adding to that list with four more.
- Reward your customer service team for getting fan mail from customers or positive comments from customers. If your employees are first in your minds, the customer will be first in the mind of the employee.
- Reward customers for giving feedback (positive and negative). Don’t just have a suggestion box that leads to a black hole. Ask for feedback from customers, let them know you got their feedback and thank them with services or products that you sell.
- Use the “punch card” model. For example, after a certain number of times the customer shops or comes in for a service, give them a free service, or “upgrade” the product they are buying.
- Reward referrals. If one person is happy enough to tell a friend about your business, reward the behavior to encourage it.
What tips do you have to share to gain more loyalty from customers?