Customer Loyalty I. Loyal customers: • continue buying products or services from their preferred brands • are likely to develop trust and expand into purchasing other products by their preferred brand • are likely to recommend preferred brands to their friends II. Today’s consumer-conscious customers expect the following: • hard work • thriftiness • fairness • transparency It takes effort to earn their loyalty, especially for manufacturers, who are at a disadvantage when it comes to brand visibility. III. The Problem Manufacturers Face Lack of connection with the end-consumer due to sales channel chain Manufacturer -> Distributor -> Contractor or, sometimes: Manufacturer -> Distributor -> Dealer -> Contractor -> End-Consumer IV. Two ways that manufacturers can connect to end-consumers: 1. Loyalty programs 2. Aftermarket service V. Loyal Programs • offer rewards to distributors, sales teams, contractors, and consumers • create lines of communications to various links in the sales channel chain • allow buyers to input claims to earn rewards for sales • collect data about consumers’ purchases VI. Aftermarket Service • establish a reputation for quality aftermarket service among customers • offer rewards to customers for buying manufacturer brand aftermarket parts rather than generic brands VII. Conclusion Manufacturers can increase their brand visibility by offering rewards to members of the sales channel chain, and by standing out in aftermarket offerings.