I read an article from Advertising Age last week that says the loyalty programs that a lot of retailers use don’t really work.
At least when you define loyalty as someone being loyal to you above others. The way we are loyal to our families.
My favorite coffee shop has the most expensive white mochas. And they are not the best white mochas in town. Why do I go there? They have a loyalty program, Belly, which I use but that’s not why.
It’s the comfort level. I can sit and spend 1/2 a day working and they don’t care. Well, they don’t care that I only bought one drink and a bagel over those hours. They do care that I am a regular customer of theirs. I bring them business. I have meetings at their place and introduce others to their shop. They will never (probably) be a customer of mine, but I am their customer.
Be a loyalty company, not a company with a loyalty program
It’s time for marketers to evolve their approach to loyalty with a greater focus on the total customer relationship, engagement and advocacy.
That’s a quote from the AdAge article I mentioned. There is a small used car dealer that my wife and I go to first when we car shop and we are loyal to him just like he is loyal to us with telling us the truth about the cars we buy. Dale has sold dozens of cars based on our referrals.
I earn my living by selling marketing services, namely radio advertising and an assortment of digital marketing solutions. But my real profession and passion is to help my advertising partners be successful and that includes earning loyal customers and retaining them. Want help? Contact me: