Updated: Oct 11, 2021
Is building a loyal customer base one of the problems your business is facing? Customer Loyalty is important but it’s not the top driver for Brand Growth. In fact, it’s Acquisition. It’s how you increase your customer base that drives your growth, not your efforts to retain your existing customers.
Customers no longer base their loyalty on price or product. Instead, they stay loyal with companies due to the experience they receive. If you cannot keep up with their increasing demands, your customers will leave you.
Here are 3 reasons why Customer Experience (CX) is important for your brand growth:
One of the most powerful drivers of acquisition is Word-of-Mouth.
We’re all customers ourselves so we know how recommendations from friends and family triumphs all forms of online recommendation channels. It makes sense that people trust their family and friends more than online reviews!
So, how do you get a Word-of-Mouth? In this digital age, no one has the time or interest to go around telling people "I recommend this brand/product". However, they do enjoy sharing their stories - which are often based on the moments of elevation, pride, insight, and connection - about their experience with brands. Those stories inspire more people to become your customers.
2. Good Customer Experience leads to Loyal Customers
It is important for businesses to see the value in creating a superior experience for their customers. Businesses that provide good customer experience that leaves a lasting impression, have a much higher potential of returning customers.
Undoubtedly, every business will face unhappy customers. Customer service is an important part of developing brand loyalty, and the way you respond to unhappy customers will determine what they say about your brand afterwards.
Businesses that handle negative feedback well will also see returning customers. The key to handling negative feedback is to respond politely and assure them that you’re trying your best to find a solution to their issue. Make your customer feel heard and cared for and you’ll find it will pay off in the long run.
3. Providing an Edge over Your Competitors
Survey results have shown that 86% of buyers will pay more for a better customer experience, indicating that customer experience will overtake price and product as the key brand differentiator.
Knowing your customers well enough allows you to use that knowledge to personalize every interaction. Customers these days have more power and choices than ever before. Thus, it is through good customer experience where your customer will stay instead of being tempted to hop over to your competitor brand for the next best deal.
Making sure your customers’ interaction with your company is smooth, pleasant and continuously improving will help you drive brand loyalty. Without that experience, you might be giving your competitors the best gift - your customers.
If you want to know whether your business is on the right track, feel free to reach out to us at email@example.com for a FREE consultation on how we can help improve your Customer Experience.