Seven Types of Loyal Customers for Improved Branding
Every brand must strive to build a loyal customer base. It is vital for business growth. While brands need to acquire new customers to expand their reach, it is the loyal customers who can improve brand positioning.
Why exactly do we need loyal customers, especially if our revenue needs are met by acquiring new customers?
Businesses can grow with both tactics:
a. Targeting new customers
b. Striving for customer loyalty
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However, here are a few benefits of loyal customers.
It is Cost-effective
You need to remind loyal customers to repeat purchases, whereas a new customer has to be persuaded to try a brand. So it is honestly less costly to acquire loyal customers.
Highly Tolerant
Not all days are good days for any brand. Often, businesses make mistakes, and such slip-ups make a new customer contemplate their decision. Loyal customers, however, are tolerant as they have a special association with the brand.
Help Against Competition
Your competitor cannot persuade your loyal customers since they would be focused on your brand and would thus avoid comparison with other brands.
Purchase, Feedback and Referral
As discussed earlier, loyal customers often repeat purchases. In addition, they are prompt in sharing feedback and in providing excellent referrals for the brand to improve word of mouth.
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What are the Types of Loyal Customers?
Not all loyal customers are the same.
So, what makes them different? What attracts them? Let's understand.
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Satisfied Customers
These are the customers who are satisfied with the brand and have no complaints about the brand offerings. Operating without the motivation of extra incentives, they genuinely like the purchase that they have made. However, their loyalty lies with the offerings rather than the brand. Any similar product can satisfy them. Hence, these are your fair-weather friends.
Loyal to Price
This is a price-sensitive group of customers. They are looking for the best bargain. They will stick around as long as you're offering the best deals and lowest prices.
Loyal to Loyalty Programs
These customers collect loyalty points and remember the brand to accumulate these points. They collect stamps and make repeat purchases to enjoy discounts or free purchases.
Loyal to Convenience
These customers hate inconvenience and discomfort. They purchase from your brand because that's convenient for them. However, if you cater to their needs consistently they will turn into brand-loyal customers.
Loyal to Benefits
These customers are loyal to the benefits you offer to them more than the products and services you sell. Hence, their loyalty is fleeting. If you run a coffee shop, for example, these customers will buy a cup and sit there for a couple of hours for the wifi.
Loyal for Now
These customers are the ones who don't have an option and hence, they stay loyal to you for the time being. They keep coming back to you, despite not loving or liking your offerings because they don't have a better option. They will leave you once they find a brand that suits them better.
Truly Loyal to the Brand
The golden children for any brand! These are the real supporters of any brand. They love the brand and its offerings and will defend your brand if someone disapproves of them. In addition, these customers will also wait for the brand to bring a particular variety rather than going to a competitor. These are the customers every brand aspires to achieve.
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How can a Brand acquire Brand Loyalty from Customers?
Offer high-quality products and services
Engage your customers
Study your customers and improve your business to suit them
Focus on building a community
Offer exceptional customer service
Gain their trust and reward their faith in your brand
Let your brand showcase human attributes that resonate with your audience
Make everything easy for your customers
To sum up, building customer loyalty can be challenging. However, nothing is as rewarding as loyal customers for any brand. Ensure to identify where your customer's loyalty lies and target that requirement. Convert them into brand-loyal individuals to represent your brand community.
Do you want to identify the right customer for your business? Learn the types of potential buyers with our Blog: Types of Potential Customers & How to Make Them Buyers.
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