Ten Tips to Build Customer Loyalty

The key to a successful business is a steady customer base. After all, successful businesses typically see 80 per cent of their business come from 20 per cent of their customers. Too many businesses neglect this loyal customer base in pursuit of new customers. However, since the cost to attract new customers is significantly more than to maintain a relationship with existing ones, efforts toward building customer loyalty will certainly pay off. Customer loyalty is a process, a programme or a group of programmes geared toward keeping a client happy so he or she will provide more business.

The following ten ways can build customer loyalty:

  1. Develop communication channels: Communication must be constantly maintained with customers whether by e-mail, newsletter, monthly flyer, a reminder card for a tune up or a holiday greeting card.
  2. Provide customer service: Staff must be trained to provide excellent customer service.
  3. Develop employee loyalty: If a company is loyal to employees, they will feel positively about their jobs and pass that loyalty along to customers.
  4. Conduct employee training: Employees must be employed in the manner that the com­pany wants them to interact with customers.
  5. Offer customer incentives: Customers must be offered a reason to return to the business. For instance, a dentist may give a free dental check up to anyone who has seen him regu­larly for three years.
  6. Provide product awareness: The company should be aware of the products purchased by regular customers and these items must be kept in stock.
  7. Reliability: Be reliable. If something goes wrong, let customers know immediately and compensate them for their inconvenience.
  8. Be flexible: Try to solve customer problems or complaints to the best of your ability.
  9. People over technology: A personal touch must be provided to customers in all transactions.
  10. Know customer names: Get to know the names of regular customers and try to under­stand their likes and dislikes.

Source: Poornima M. Charantimath (2017), Total Quality Management, Pearson; 3rd edition.

One thought on “Ten Tips to Build Customer Loyalty

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