The
Advisor
SEVEN SECRETS OF CUSTOMER LOYALTY
by Phyllis Sheerin Ross
The odometer in my car tells me that it's
a seventeen mile drive from my house to my car dealership. The very same
car dealership that, by the way, charges nearly twice as much for maintenance
as my local service stations. And although I have three service stations
within a five mile radius of my house, I continue to take my car to the
dealership for both maintenance and repairs. I also by-pass both the house
brands and sale specials to purchase the same brands of tuna-fish and mayonnaise
that I have been loyal to for over thirty years. In addition, I drive past
three discount book stores on the way to my favorite book store that's
a half hour drive from my house. What is it that makes us so fiercely loyal
to certain products, services, and businesses? And can we utilize these
same elements to attract loyal customers to our businesses? Please allow
me to share the "seven secrets" of customer loyalty with you!
1. A superior
product. While taste is, of course, strictly judgmental, you
obviously want a produce a product or provide a service where's there's
lots of agreement regarding obvious superiority. Just look at the astronomical
sales of those yummy chocolate fudge no-fat cookies. The manufacturer could
not produce enough supply. People were fighting in supermarkets over the
last box on the grocery store shelf! The cookies received outstanding reviews
in every single diet publication. So put your heart and soul into building
a superior product, and "the people will come". Be very clear as to the
specific superiority of your product or business, and then publicize it
aggressively.
2. On time, within
budget. Want to keep your customers coming back? Well, keep
your word. If you promise to produce a product, on such and such a date,
at such and such a cost, then that needs to happen. When we wanted to have
a porch added onto our house, I asked my neighbor about the contractor
who had built her beautiful porch. She hesitated before responding, and
then said, "Well, they're really very good, but not very reliable." Despite
her lukewarm recommendation, I went ahead and used the contractor. And
while my porch turned out to be a lovely addition, we never did get to
use it that summer because it was not ready by the promised date. And no,
I will not recommend the contractor.
3. Fix it now,
discuss it later. That's the motto of my son, Richard Ross who
works in the technology industry. This is what Richard has to say, "There's
nothing more frustrating than when an company makes a mistake, and the
first action taken is to probe the cause. While you're doing this, the
problem is still out there, and probably getting worse. Instead, find the
quickest, most effective solution. It might not be the permanent fix, but
at least you're practicing damage control. Then invite the customer to
assist with the post-mortem." Don't I have a smart kid? Doesn't he, at
a very young age, already understand how to secure customer loyalty?
4. Consistency
and reliability. You do a great job the first time you produce
the service. You do a not-so-great job the second time. The third time,
you cancel an hour before you're supposed to show up. Do you recognize
yourself in this description? If you do, you probably do not have a large
customer base. Everyone these days has an incredibly busy schedule. To
have loyal customers means to be a business person that your customers
can rely on for consistency of product, and adherence to the promised schedule.
For example, while cleaning establishments have come and gone in my neighborhood,
I've continued to use the same cleaners for the last twenty years. I know,
with total certainty, that my clothes will be ready, when promised, perfectly
pressed and with no missing buttons. Why bother checking out the competition
when I receive such reliable service?
5. Generosity
of spirit. I reference earlier in this article "my favorite
book store". You can spend an entire afternoon, (and I often do) browsing
in this store. Go there on a Sunday afternoon, and you'll encounter a well
behaved mob. People milling about, taking books off shelves to read for
hours(!) on a comfortable sofa. No one chases you out if you linger over
a cup of coffee while perusing an out of state newspaper. Go back for free
coffee refills. Stay as long as you like. Enjoy the free lecture, or concert,
or join in one of the many book discussion groups. Not surprisingly, this
book store is doing very well financially. The lines to purchase books
or CDs are always very long. Can you copy this generosity of spirit? If
you do, you too will keep your loyal customers coming back for more.
6. Get personal.
Obviously you know your customers names. Do you know anything else about
them? Do you know when they have a blessed event in their family? Do you
send a congratulatory card? Do you know when they're going through a rough
time? Do you take a few minutes to make a phone call to see how they're
doing? You have to genuinely care about people to take the extra time to
get to know your customers. I am not referencing the "Merry Christmas from
Your Local Pharmacy" card. This empty gesture really means nothing to me.
But, boy do I love it when my financial advisor sends me a birthday card,
with a single dollar bill inside, wishing me a prosperous birthday and
year to follow! You may not want to send each of your customers a dollar,
but do think about what you can do to get personal with each of them.
7. Treat the customers
like royalty. I opened this article by referring to my car dealership.
Here's an organization that truly knows how to treat people like royalty!
When you arrive, you're personally greeted by your service representative.
An inquiry is made as to your need for a lift to the Metro. If you choose
to wait, you're offered a cup of hot coffee, a comfortable chair, and a
choice of recent(!) magazines. Every fifteen minutes or so, a service rep
comes off to update you as to the status of your car. No detail in the
car is overlooked, and you're given complete documentation as to the specific
repairs or maintenance performed on your car. To top it all off, the car
is returned washed and cleaned inside. Within twenty-four hours, you're
called by a representative to see if you're was totally satisfied with
service. Now, any questions as to why I'm such a loyal customer of the
dealership?
These "seven secrets" keep me a loyal customer.
See which elements you can "translate" to your business needs. And before
you know it you'll be serving two and three generations of customers. Oh,
and come on over, say "hello" and share your secrets of customer loyalty
next time you see me at our favorite bookstore!
Phyllis Sheerin Ross, a Contributing Editor
to idea site for business (from which this article was taken), has over
20 years experience in project management, training and business development
for Federal Government and commercial organizations. Phyllis can be reached
by phone at 301-384-0769 or by e-mail.
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