As continued from my last entry... The 5 Definitive Rules to Increasing Customer Loyalty

1. Communication Connection
A “failure to communicate” was a bad idea in the famous prison film “Cool Hand Luke,” and it can be a disaster when trying to keep customers loyal. Keeping customers in the loop about a product or service is vital, whether it’s through email, websites or birthday cards. Reaching out to customers will keep them in tune with a company, both consciously and unconsciously.

2. Incentives Pay Off
Harrah’s did it with a little card that became one of the top national loyalty programs in the world. Incentives work, giving faithful customers their just rewards and fussy customers a reason to return. Never underestimate the value of free stuff. The $25,000 Oscar bags passed out every year to celebrities is a great example that people love free things, even when they can afford to buy it themselves. But rewards are not a sure-fire cure to keeping customers loyal. It takes more than a flashy gift program. “Customer loyalty is larger than reward cards,” said Levey. “However, all customers and people in general love to be recognized and appreciated for their business.”

3. Happy Employees, Happy Customers
The trickle-down theory isn’t just economic rhetoric, it works here, too. If employees are not happy, you can be sure that the product or service isn’t going to be up to its full potential. And if employees don’t care about the fate of the company, then they certainly won’t care about the customer, or their loyalty.

4. Make Your Humans Available
Outsourcing and technology have forced customers to push dozens of buttons on the phone trying to get a hold of a breathing person. Technology is great, but when customers become frustrated because they can only communicate with a telephone robot, then you can kiss that customer goodbye.

5. Service With a Smile
It’s the customer, stupid. The bottom line in implementing a customer loyalty plan is making that customer happy. From the lowest-level intern to the CEO, company representatives should be trained to treat the customer with kindness and respect and to go the extra mile. When a customer has to deal with grouchy, uncooperative staff, their next move will be a call to the competition.