How to increase customer loyalty through customer experience

How to increase customer loyalty through customer experience

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Loyalty is the most valuable thing a customer can give you.

Increasing customer loyalty comes from creating a positive customer experience through every interaction customers have with your brand. Every department customers contact should be informative, helpful and solve any issues the customer is facing.

Gaining a customer’s trust, having them love your brand and repeatedly purchase from you should be the main goal with every customer that interacts with you – but how do you drive loyalty? What makes customers WANT to come back?

“When the customer comes first, the customer will last.”

 

Read this blog to find out how to drive loyalty through an exceptional customer experience (CX).

What are the key drivers of customer loyalty?

There are so many factors that can go into creating a loyal customer that it can easily feel overwhelming, so here are 3 main key drivers that help massively increase loyalty:

Trust

Trust is essential when it comes to selling your services as customers want to feel they are putting their money into a brand that cares for them and is dedicated to delivering a great experience.

Treat your customers like a friend. Encourage customers to leave reviews, start a loyalty scheme, always be honest and be available to help your customer. This will help build great relationships with your customers and build trust – improving business outcomes.

How does trust build customer loyalty?

Customer Experience

Nurturing your customers’ needs, solving their concerns, educating them and having a fun time while doing so are all ways to improve your CX (and check out one of our dozens of other blogs on the subject if you want to learn a bit more!). Leave your customers with a positive, long-lasting impression that helps build a positive customer experience.

Customers will associate your brand with positive emotions and will want to return.

The customer experience drives customer loyalty.

How does customer experience build customer loyalty?

Personalisation

We all want to feel special and customers are no exception, so personalising the entire customer journey (especially in a digital world…) will help to engage customers and promote loyalty.

You can personalise experiences by looking at consumer data and building customer profiles, these will help you to understand your customers.

How do personalised experience build customer loyalty?

For example, you can create personalised adverts and retarget them to customers that are most likely to buy based on previous history or recommend products that work well together using other customers patterns in buying habits.

Updating your business processes with all these key elements in mind will no doubt drive loyalty and improve customer interactions with your business.

Why is loyalty so important?

A loyal customer is a happy, returning customer, that’s why it’s so important.

A loyal customer will want to support you and will advocate for your brand, making them more likely to do your advertising for you via word of mouth!

According to Nielsen.com,

“Consumers are 4 times more likely to buy when referred by a friend.”

So you can see why loyal customers are so impactful for businesses and why keeping your customers happy is the most reliable and sustainable way to grow.

It’s well-documented that it’s considerably cheaper for businesses to retain their current customers and keep them happy than constantly look for new customers, and too many businesses focus on customer acquisition over customer retention (we’ve all seen the ‘new customers only’ deals from our broadband provider and immediately wanted to switch, right??)

How do you drive customer loyalty?

Increasing loyalty with your customers comes from creating a great customer experience at every step of the journey.

“CX drives over two-thirds of customer loyalty” (Source: getvoip.com)

Every department that customers contact should be informative, helpful, and ideally be empowered to actually solve any issues the consumer is facing.

If everyone is working towards the same goal of improving loyalty with consumers, it becomes a value your business will always lead with. Like health and safety – CX is everyone’s responsibility and it should be of very high priority!

Improving customer ‘stickiness’ to your brand could also come from rewarding them. Introducing a loyalty program is a great way to make consumers feel important and show that you value their time and money. Creating special offers for members makes them feel like a VIP and that they’re being rewarded for spending with you (and is the perfect antidote if to the ‘new customers only’ deal!).

Even something as simple as a thank you email when customers order from your website can show them you appreciate their purchase.

Are your customer experiences driving loyalty?

Ask yourself: if you were a customer of your business, would your current approach to retention and experience pique your interest and leave you likely to return?

If your customer experiences aren’t impressing customers and creating a positive impression at every step then it’s time to look at your strategy.

Unfortunately:

“96% of Unhappy Customers Don’t Complain, but 91% of Those Will Simply Leave.” (Source: getmindful.com)

So – use the data that is available to you and contact previous customers about their experience. If you don’t ask, you won’t know…

To start from scratch with creating an improved customer experience, find out where you’re lacking and follow these simple steps:

  1. Ask your customers for feedback
  2. Research how your customers are talking about your brand
  3. Ask customers to rate your services

How to get customer feedback about their experiences

Look at customer feedback on Google or Trustpilot reviews, this can help you to figure out where you need to improve. Customers expect the owner to at least look at their reviews and ideally provide a tailored response (remember – personalisation!).

Note down good feedback too, if multiple customers are mentioning a particular experience that sounds similar to each other, that’s something you’re excelling in. Keep going and make sure it’s a documented process for the whole team!

After you gather this information you can start to see what you’re lacking and how to improve. Getting direct feedback from your customers will give you the most honest and reliable results.

Sending your customers text messages, regular emails or social media messages (and maybe even a quick phone call!), can be a significant driver of customer loyalty.

Maintaining regular contact with your customers shows that you genuinely value them and care about their feedback. When you are transparent and honest with your customers while providing excellent customer service, loyalty will follow.

Using customer data

Using customer data for research can help you to understand your target audience. You’ve got to know your target customers that you’re designing experiences for.

To create a personalized experience on your website you can look at previous purchase history and purchasing decisions. Re-marketing these products will help attract customers onto your website and improve customer engagement on your website.

Marketing experts use consumer data to create great advertising campaigns. Personalised campaigns are a powerful driver when it comes to loyalty. Having a website remember what they like, remember what they previously bought, and offer them deals based on products they regularly buy will all help improve your customers experience.

How to use customer data to increase customer loyalty

Ensure there is customer relationship management

What is Customer relationship management (CRM)?

CRM is a process or system with which a business analyses its interactions with customers and records large amounts of information. This will predominantly involve a bespoke piece of software (Hubspot, for example), but even if you aren’t using technology, whatever method you are using to track quotes, review conversion rates or record customer details all form your overall CRM.

Companies use CRM to target and convert customers. However, a lot of businesses fail to use CRM to improve loyalty and create advocacy.

Creating a strategic approach when it comes to using your CRM will greatly improve customer experience and customer satisfaction overall.

Creating a great customer experience strategy

Creating a customer experience strategy is vital to ensure the entire customer journey impresses and enlightens your customers from start to finish, and that nothing is left to chance.

To learn about the key stages of the customer journey and how to impress at each stage, read here!

At ThinkWoW, we win awards for our straight-talking and impactful customer experience strategies! Did you know,

86% of businesses actively working on their customer experience report an increase in revenue?

So don’t waste any more time wondering what your customers really think and how you can improve; get started today!

Build a good customer experience strategy to increase customer loyalty

Conclusion

The quality of your customer experience makes a huge difference to your long-term success, and all elements along the way will ultimately decide whether or not you create a one-off customer or if they remain loyal.

According to a Gartner report,

“Over 70% of CX leaders struggle to design projects that increase customer loyalty.”

You don’t want to be part of that statistic – and you don’t have to be.

Schedule a call with us and we can help you start your customer experience strategy today!

Related reading to increase your customer loyalty:

Chloe Russell
Chloe Russell
Chloe’s passion for Marketing started back in 2020 when studying Creative Media and analysed many creative campaigns, and is now our Marketing Executive, writing blogs and managing our social media channels.

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