Building Customer Loyalty: A Checklist

Building Customer Loyalty: A Checklist - Tips on Increasing Customer Loyalty for Small Business

I know customer loyalty is important, how can I check that I have done all I can to build loyalty?

You're right customer loyalty is critical. People focus too much on new business when it's more profitable to focus on existing customers. Research shows that a 5% improvement in customer retention rates yield between 25%-100% increase in profits across a wide range of industries. Loyal customers buy more, more regularly and they frequently recommend your business to others. Here are a few pointers for increasing loyalty.

1. Start with knowing who your customers really are. Research the needs of your customers. Then develop ongoing solutions or support that are highly valued by customers. This is the start of becoming "customer-centric".

2. Build lasting relationships with your customers through effective two-way communication. Can your customers contact you easily? Make it easy for customers to complain and provide feedback. Also research why it is you're losing customers. Use this information to improve your business.

3. Set high standards. Don't over promise and under deliver. Have you gone the extra mile recently for your customers? That is, surprised them? Delight your customer.

4. Are you investing in training staff and keeping them motivated? Happy employees generate happy customers. Let customers know you value them and offer them rewards for their loyalty.

5. Consistently delight your customer. There is no use being strong in one area and weak in another. Every customer contact point should contribute to an overall satisfying experience to create loyalty. Make sure you have quality control measures in place to ensure consistency.

Find a market research firm

Information on market research statistics and trends

Find a staff training and development expert

Build your brand and communications

Eyes Wide Open provides consulting support in marketing, business management, strategy and exit planning for small business in Australia. They are based in Sydney and specialise in companies with up to 50 people. View their smallbusiness[HQ] listing here.

Important - Read This: This information is intended to provide general information only which may not be applicable to your particular circumstances. You agree to access this information at your own risk and that First Point Media is not liable to you for the content of the information or any reliance by you on this information.