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Three Simple Tactics to Increase Customer Loyalty

by Mike Kamo  |  
July 3, 2014

For years, my business approach was this: If you make something truly remarkable, it will sell itself. I know, it's very "Field of Dreams," but that's how I thought.

And then I read The Challenger Sale, a book by Matthew Dixon and Brent Adamson, and it changed my perspective forever.

In the book, Dixon and Adamson present the findings of a customer loyalty study. They found that the combined impact of company and brand impact, product and service delivery, and value-to-price ratio accounted for just 47% of customer loyalty to a particular company.

What? 47%? That can't be right. Surely people remain loyal to a company's products mostly because they like the products, right? Wrong.

The remaining 53%? That was directly attributed to the "sales experience."

In other words, if you work for a company with a rock-solid reputation that makes a truly remarkable product and prices it at a level the market believes is fair, you are only less than halfway toward creating the kind of loyal, repeat buyers every business longs for.

I confess that I never realized how critical the buying experience was to the success of my company.

We make a CRM product in a very crowded market, and we've worked hard to create features and benefits that truly help the people who use our software. But I realize now that a great product isn't enough; I have to make sure the process of buying our product and being our customer is also exceptional.

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Mike Kamo is VP of marketing for Strideapp, a cloud-based CRM and mobile app that helps small to midsize businesses and agencies manage and track leads as well as close more deals.

LinkedIn: Mike Kamo

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  • by Brad Hodson Thu Jul 3, 2014 via web

    I love it. These are the kinds of things that really build customer loyalty because they get at the issues head on and in the most personal, first-hand kind of way.

    Really, every business, no matter whether they're an online business or not, needs to go through these steps and take a good look at what they're making their customers do.

    I, for one, can tell you that we do this every day. We're our biggest critics and find tons of stuff that we'd like to improve in order to create a better experience for our users.

    It just takes a little elbow grease and humanization.

    Brad Hodson

  • by Fabienne Raphael Mon Jul 7, 2014 via web

    Hey Mike,

    Thanks for this great article with statistics who make us know where to focus our efforts.

    Personally connecting with the clients, answering their concerns and giving them a tremendous buying experience just will increase the chance for them to become loyal to your company, but also to talk about you with people they know.

    Ordinary is not enough anymore. It needs to be extraordinary!

    Fabienne RaphaŽl

  • by Sherry Mon Jul 7, 2014 via web

    This has also been my experience in the field of medical marketing. The personality of the person making the, dentist, psychologist...and their personal attention is the biggest factor.

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