We’ll Help You Have Customers More Loyal than Your Favorite Dog
Loyal Customers Grow Your Business
Wouldn’t it be great if your customers were as loyal to your business as your dog is to your family?
The analogy isn’t too far off. For your business to prosper, especially in tough economic times, it needs loyal customers willing to buy repeatedly and willing to refer others. Right On – No Bull Marketing strategies and tactics increase the amount of money customers spend with you and their lifetime value to your company.
Right On – No Bull Marketing uses innovative ways to measure and improve customer loyalty to your company, as customer loyalty is the best indicator of future customer shopping behaviors and actions.
We’ll also help you have better, more relevant customer contact and interactions while increasing your number of referrals that come from your customer base.
How to Have Loyal Customers
A company embarking on a customer loyalty program must recognize that creating loyalty is an on-going process that must be cultivated constantly for business vitality and success.
Creating loyalty means constantly asking for, listening to and measuring customer choices and actions. The key is then to use this customer data to communicate the right messages to the right groups of customers at the right times.
The key elements of Right On – No Bull Marketing customer loyalty programs are:
- Establishing program objectives and goals
- Behavior tracking and storing customer buying and response behaviors to communicate the right message and rewards
- Communicating the right messages, in the right way, to the right people, at the right time
- Rewards and benefit programs to match individual customer preferences and to stimulate customer behaviors
- Measurements of results against objectives
Efforts must be geared towards customer retention. Your strategy to keep customers should focus on practices and tactics based upon customer behavior.
Want to learn more about customer loyalty programs for your service or retail company? Complete our privacy assured online form and we’ll arrange your free consultation.
7 Steps to Creating Loyal Customers
There are 7 steps we’ve found critical to having local customers. We can teach them to you and let you do-it-yourself. We can also do the work and reporting for you.
Our customer loyalty action system is based with these thoughts in mind:
- The best indicator of future customer behavior is past customer behavior. This is especially true with action oriented activities like buying things and visiting web sites. Be careful not to confuse demographic characteristics with actual customer behavior. Being a 45 year old project manager is a demographic characteristic, not a customer behavior. Let’s use an example to illustrate the point. Take these two groups of potential electrical work buyers:
- People who are a perfect demographic match, but have never purchased electrical or construction work anywhere
- People who are outside the base demographic, but have repeatedly purchased construction related work
If you sent a discount offer to each group, asking them to make a first purchase, the response would be higher from the second group (buyers) rather than the first (demographically correct). Many forms of direct marketing have established the principle that actual behavior is the best indicator of future customer behavior. Record and analyze customer behaviors because behaviors are the key to retaining customers and increasing their lifetime value to your business. Your goal is to create customers that are actively engaged with your business.
- Happy customers are engaged with your business. They like value and to feel good about their behavior. You can capitalize on this by offering promotions to get them to take a certain action and feel good about doing so. You must do something for them if you want your customers to do something, and if you help them feel good by winning the “shopping game,” then they are more likely to do it. Keeping customers in today’s world means keeping them involved with your business. If you don’t, they will become customers of the competition. Promotions, birthday cards, newsletters and many other things encourage customer interaction with your company. Your prime goal should be to keep customers as long as possible and make a fair profit doing it.
- Keeping customers is about communicating, reacting, understanding and repeating. Client retention should be viewed by you as a form of marketing involving communication with customers. This “conversation” uses customer data and requires you to provide a back and forth between your business and the customer. It demands that you listen to what you are being told and react to it in a profitable way that drives repeated customer behaviors. Finally, it requires you to communicate systematically and consistently just as you would do in a thriving personal relationship.
- You must allocate resources to keeping customers. It’s important to emphasize that certain customers and marketing activities can generate more profit than others. Thus, it’s inherently important to direct more of your marketing budget to profitable customers and activities and away from lower profit actions and customers.
Let’s use an example to further illustrate the point. If you have 100 customers and $100 as your annual budget, and spend a dollar on each customer to generate a $1.10 in sales, you get $110 for spending $100. Your ROI for your marketing cost is 10%. But what if you knew that spending $2 on a select 50% of customers would bring back $8 in profits? Now you have a 400% ROI. How do you get that extra $1? Take it from the remaining 50% of the customers. You’ll spend the same $100 total to yield $400 in profits. By focusing on allocating marketing resources towards higher ROI actions, revenue and profits can grow as budgets remain flat.
Your objective is to allocate resources to develop a conversation system to deliver promotions and messages to the right customer at the right time. You can’t afford to waste money or time on unprofitable activities and customers. You can accomplish this by using the data customers create when interacting with your business to develop simple rules or models to follow in your customer loyalty efforts.
Right On – No Bull Marketing combines the right messaging technologies (email, direct mail, RSS Feeds, Mobile) with the right programs and messages. You’ll increase leads and sales to the most profitable segment of your business; your existing customer base. Tell us how we can help you improve customer loyalty to your company.