Hazleton Area Business Citizen July 2014 | Page 23

Greater Hazleton’s Business & Arts Magazine

On Business
Stephanie J. Beavers

Keep the Customer Coming Back for More
Customer loyalty is built upon the ability of any
business to consistently provide a positive customer
experience, one that keeps customers coming back for more.
Beyond the product or service offering the customer buys,
the customer experience taps into customers’ emotions and
their perceived value of the overall experience of doing
business. A business that effectively manages its customer
experience is more likely to gain a solid competitive edge
through customer satisfaction and retention.
Loyal customers translate into repeat business and rave
reviews via word-of-mouth marketing. Loyal customers
are more likely to purchase additional products and
services, those that are ancillary to their initial purchase and
potentially higher margin for the business. Savvy businesses
go beyond their product/service offering and amazing
customer service to proactively encourage loyalty among
customers. Loyalty programs come in all shapes and sizes,
and are used by businesses ranging from large corporations
to national chains to independent retailers to restaurants.
Virtually any business can create and maintain a loyalty
program, which is less expensive than marketing programs
designed to acquire new customers and requires less
expertise and time.
The use of loyalty cards is one inexpensive customer
loyalty program a business can implement. With this
method, the business distributes a card to their customers,
and every time a customer conducts a business transaction,
they receive a stamp or a punch on their card. After a
designated number of stamps, they receive, for example,
a free item or a percent off a future purchase. While
the loyalty card approach is low-tech, high-tech (digital)
approaches to this type of program are also readily available.
They allow the business to track customer information,
and also facilitate use by the customer, who will just need
to pull out their phone to receive a digital “stamp” for each
transaction. With the physical card approach, the customer
will have to remember they have a card and bring it with
them each time they make a purchase.
Doing business in the digital age is more than just a

HABC

July 1, 2014

trend; this way of doing business is here to stay—for more
good reasons than can fit in this article. Smart phones,
iPads, and downloadable apps let businesses put digital
technology to work for them in any number of ways that go
beyond paying for purchases online and tracking customer
orders. User-friendly dashboards let customers track their
own account and order status, link to social media to leave
comments, add rewards points, request free samples, and
refer new customers. Customers who are rewarded after
making a specified number of purchases (and/or spending
a certain dollar amount) or referring new clients are happy
and always looking for more.
Another easy means for a business to keep its name in
front of customers is to ask customers to opt in to receiving
special offers via email. The business collects a limited
amount of customer data upfront, and then sends exclusive
special offers and rewards to those who opt in. This type
of loyalty program benefits both customers, who receive
readily accessible emails and/or text messages on their
electronic device, and also the business, which is able to
regularly reach a customer base who has proactively agreed
to receive their messages. A business can also easily track
the success of their email marketing campaigns.
For a customer loyalty program to be effective, it
must be meaningful to customers. Businesses need to
consider what their customer base will perceive as valuable
beyond the product/service offering they already buy.
Will a free gift with a purchase of a certain amount work?
Will a percentage-off discount entice more loyalty? Will a
reward for new customer referrals be enough for current
customers to spread the word? Buying and service trends
and preferences provide insights into what customers want
and need; by understanding this, a business can develop a
loyalty program with appealing incentives and rewards, and
customize them based on these unique needs. The ultimate
goal of any customer loyalty program is to keep customers
satisfied (through a positive emotional experience) and
coming back for more (based on their perceived value in
how they spend their dollars)—on a long-term basis.

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