By Ron Welty, Founder & Chief Client Officer
It’s no secret loyalty rewards programs can be popular among customers. However, just because you have one, doesn’t necessarily mean it’s effective. According to a report by Bond Brand Loyalty, the average consumer belongs to about 14 loyalty programs, but uses fewer than half of those on a regular basis.
A well-designed customer loyalty program can be a win-win for both brands and customers. As the name implies,...
by Ron Welty, Founder & Chief Client Officer
Customer come and go, but eventually, the losses add up. According to Gartner, 80 percent of a company’s future revenue will come from just 20 percent of its existing customers. When measuring the success of your business, make sure to look at your failures, too. In order to improve customer retention, brands must focus on customer churn.
What is Customer Churn?
Bruce Hornsby famously sang, “That’s just the way it is. Some things will never change.” A younger generation of readers will recall those lyrics as they were sampled by 2pac some years ago, and the words are no less relevant now.
Dr. Chip Bell, an expert consultant on customer loyalty, has said that after a person is employed for about ninety days, he becomes blind to the details that his customers see. This accurately defines one primary function of mystery shoppers, but it also points out a risk that even mystery shoppers face.
When we become...