Mais conteúdo relacionado Mais de Sallie Burnett (20) Loyalty Quest: Understanding What Customers Want1. Loyalty Quest
Understanding what customers want.
the consumer’s feel — that they’re not just face- be courted, and will pay you
less consumers, but highly handsomely for it. well-executed
purchasing options
valued individuals. loyalty programs have boosted
today are dizzying. retailers’ bottom lines by 25 to
Just as a friend feels delighted
In most retail areas, shoppers can 95 percent, according to Jupiter
when you buy her a gift she’s long
find the same product at several research.
desired, so does a shopper feel
stores. And if they don’t want to
an affinity to a store that under-
leave the comfort of their home
stands her and caters to them.
Case studies
there are catalogs, tV shopping
Nine West Group, Inc.
channels and the Internet. that understanding is called cus-
tomer-centric marketing. A 180- nine west group gets down to
But what makes many of them their customers’ soles, using
degree turn from volume-based
repeatedly choose one business e-mail as a primary method for
communication strategies to
over the others? Loyalty. reaching them.
focus on leveraging customer
these buyers’ decisions are guided insights to target and acquire to market to its easy spirit brand
by far more than just familiarity or more profitable customers, keep customers, it tailors its message
proximity. Consumer expectations them coming back and even to such specific details as a cus-
are high. In fact, it is not uncommon increase the amount of money tomer’s shoe size and shoe width
for a business to achieve high they spend with your company. – one of the features that draw
customer satisfaction ratings, but to earn that kind of customer hard-to-fit and quality-conscience
still experience customer retention devotion, a business must learn
customers to buy easy spirit
problems. Customer loyalty cannot to anticipate and exceed its cus-
in the first place. the company
be assumed. tomers’ expectations.
finds this information through
today, it’s how the purchasing Customers, not retailers, are in customer’s transaction history as
experience makes the customer today’s driving seat. they want to well as online profiles.
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2. For instance, when the customer customers by gathering and company to hire well-trained ana-
receives e-mail about a new line analyzing data about them. that lysts, then significantly beefing up
of sandals, she is directed to a includes who they are and how its marketing departments to help
landing page that displays the often, what and when they buy. translate the data into effective
sandals that come in her size and programs.
this information can come not
width. Additionally, every e-mail that’s where strategic marketing
only from a study of behaviors,
includes is a link to a page where
but also local demographics: firms can help make the differ-
the customer can edit her profile.
ence between a successful loyalty
Are you in a high-income
It relies on a similar e-mail cam- program and one that fails to
area?
paign for its nine west brand. achieve the business objectives.
One heavily populated
the company’s carefully analyzed the statistics loyalty marketers
by seniors?
messages show their customers know how to find will keep com-
open, read and act on the com- Families?
panies from searching in the
pany’s e-mail and mail messages Singles with lots of dark to find successful strate-
at rates as much as four times disposable income? gies. since it’s their business,
higher than the industry average, marketers invest heavily to
target your marketing toward the
said nine west’s multi-channel ensure that their databases are
demographic that already fre-
marketing vice president. always up to speed or ahead
quents your store.
of the game. A Directmag.com
Petco In addition, find out what moti-
survey showed that most mar-
petco knows not just its cus- vates your customers to buy from
keters spend nearly $250,000
tomers, but also their pets, a one retailer over another, and
to upgrade their databases. the
necessity in a business in which what type of customer you want
reason? more and more compa-
the shopper’s focus is not on to attract:
nies are investing in customer-
himself, but his loyal companion. Is it the recognition and sta- centric programs to improve busi-
It considers the special needs of tus often awarded to bigger ness performance.
customers who have youthful and spenders, such as the points
once a retailer creates and
aging pets, and advertises prod- accumulated by frequent flyers?
implements a program, the
ucts and services to suit those Are you searching for value- need for such data doesn’t go
pets’ life stages. minded, time-conscious shop- away. Best Buy, for instance,
pers who need discounts and/ is continually researching its
During one of its successful
or convenience to lure them to customers’ satisfaction and
efforts, it tracked customers who
a particular company? using that information to tweak
purchased small animals such
as fish, snakes, birds and rep- Or do you want your business its program in the areas that
tiles, and sent them postcards to draw customers based on research shows it’s flagging. In
related to the specific pet they the quality of its products and 2004, it revamped its already
purchased. the response rate to superior service? successful loyalty program. the
this mailing was an astounding Your business objective will influ- changes were not dramatic,
15 percent. ence the data requirements and but carefully planned to deliver
how the data is collected. maximum effect.
getting there the intricacies involved in this It offered buyers more options
takes work. kind of data analysis exceed most for cashing in on their rewards
First, and most critically, the retailers’ abilities. Collecting the and gave its highest spenders
business must get to know its right data likely will require a exclusive soft benefits. It made
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3. in-office changes as well that cut through online reward Zone customers than win new ones.
error rates in tracking the use of certificates. not only was this A loyal customer is worth more,
certificates and lowered postage change beneficial to members, shops more often and spends
costs. As a result, enrollment in but it also allowed Best Buy to more money than an infrequent
or one-time buyer. Additionally,
happy customers relay their expe-
A l o yA l c u s t o m e r i s w o r t h m o r e , s h o p s m o r e o f t e n riences to friends, a trusted and
And spends more money thAn An infrequent or invaluable referral system.
one-time buyer.
show them you’ve got what they
– as individuals – need so they
won’t even consider seeking it
its reward Zone program more employ more environmental elsewhere. make it easy and
than doubled, and Best Buy cut friendly practices while again natural for them to come to you,
$2 million from its postage costs. cutting program costs. every time.
In 2009, the successful elec- shifting to a customer-centric using this approach, customers
tronics retailer offered customers marketing is a worthwhile invest- become not advertising targets,
even more options by introducing ment. Consider this: It’s up to five but partners in your successful
increased security and safety times cheaper to keep existing business.
sAllie burnett c u s t o m e r i n s i g h t g r o u p, i n c .
strategist. leader. innovator.
Customer Insight Group is a strategic
With over 20 years’ experience in marketing company that uses customer
strategic marketing, sales management information to help its clients engage in
and customer relationship management, successful and profitable long-term rela-
Customer Insight Group founder Sallie tionships with each and every customer.
Burnett has built her vanguard reputation It provides marketing strategy, customer
by crafting solid customer-centric strate- research, data analysis, program devel-
gies that drive bottom-line success for opment, implementation and refinement
her clients. Renowned for her out-of-the- of customer-centric programs including:
Sallie Burnett box thinking and wealth of experience, loyalty, social media, customer engage-
president, Ceo she’s been sought out by many of the ment, retention, win-back and new cus-
Customer Insight group
nation’s top companies to engage, keep tomer acquisition.
twitter.com/sallieburnett
and grow their customer relationships at
every point along their customer relation-
ship journey. Her insight results in better
aligned sales, service and marketing,
while generating the greatest return on
investment based on the voice and value
671 Secrest Circle
1
of the customer. Arvada, CO 80007
ph: 303.422.9758
www.customerinsightgroup.com
info@customerinsightgroup.com
Customer relationships — engage.Keep.grow. twitter.com/internethowto
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