Let\u2019s jump right in. Businesses that want to improve customer loyalty usually start too far downstream to build the plan. Customer data and feedback is forensically analysed for clues about why people leave. Marketing and customer service teams pour over journey maps. Loyalty programmes are put through the wringer. Frontline employees pitch in. What businesses often don\u2019t do, but should, is first put themselves under the microscope and study their own DNA.<\/b><\/p>\n
And, experience tells us that it\u2019s only when companies focus on what\u2019s happening on the inside: their leadership, culture and employees are they able to drive what happens on the outside \u2013 the way customers behave. It\u2019s your organisational DNA and culture that has a major impact on customer stickiness.<\/p>\n
In biology, our DNA is obviously what makes us unique. It doesn\u2019t change. Every business also has a distinctive DNA expressed through its organisational culture and strategy. Some businesses are created with the loyalty gene. Most aren\u2019t (more on this in a moment).<\/p>\n
Think about the companies that are ranked top for customer loyalty. The top four for 2022 are Apple, Amazon, Domino\u2019s and Disney, according to Brand Keys<\/a>. There are major similarities in that their uniqueness is driven by the founder\u2019s vision and values. They all have a relentless focus on customers.<\/p>\n Domino\u2019s is an outlier in a sense. It wasn\u2019t created with the loyalty gene in the same way that Apple and Amazon were. In businesses like Apple, all aspects of the organisation are aligned to deliver a differentiated, superior experience that fosters loyalty. Customers trust the brand enough to stick around even when a cheaper offer or better product comes along. Many businesses think they have strong loyalty but often it\u2019s because they have the cheapest option, a product that can\u2019t be bought elsewhere or a low margin product that customers buy frequently.<\/p>\n Okay, let\u2019s get back to Domino\u2019s. The pizza chain was in the doldrums 12 years ago. Although, it\u2019s always been good at delivery, customers were switched off to the brand and its pizzas. Speed up the storybook over the past decade and Domino\u2019s has recaptured the hearts of its customers to rightfully earn its place in the top four flight. How did it do this? By focussing on customers and making experience a core strategy. Learn more here<\/a>.<\/p>\n Chances are your business is not founder-led. You probably don\u2019t have first mover advantage. The business probably wasn\u2019t originally built with a customer focus. Your organisational culture and strategy might still be product and price led. Don\u2019t be concerned. Like Domino\u2019s and countless other brands that have realigned the business around their customers, you can still innovate and retool to offer a differentiated experience. An experience that creates a loyal base that is resistant to competitive pressures. Change on this scale will require a commitment from your people \u2013 at every level \u2013 to think and behave differently.<\/p>\n Here are six questions to get you thinking about how the behaviour of your organisation needs to change to be able to change your customers\u2019 behaviour. The place to start is with what you want to achieve. Everything flows from here.<\/p>\n 1. What do want to achieve as a business?<\/p>\n What do you want to be known for? What are your strategic and financial goals?<\/p>\n 2. How do you want your customers to behave to achieve your goals?<\/p>\n Do you want them to spend more, buy more products, recommend your business, write positive reviews, share your valuable content?<\/p>\n 3. What experience do you need to provide to earn this behaviour?<\/p>\n What investments do you make to create a dramatically different experience to inspire loyal behaviour?<\/p>\n 4. How do your people and your culture need to change?<\/p>\n How do you ensure your people are engaged, motivated and capable? How do you build a culture that supports the behavioural change? Who will lead?<\/p>\n 5. Do your products and services add value?<\/p>\n How do your products and services make customers lives easier and solve their problems?<\/p>\n 6. Are your enabling processes and technology simple and easy to use?<\/p>\n Customers know what technology can do for them. Do your digital products and services make their lives easier? Are any processes broken and outdated?<\/p>\nRetooling your organisation<\/h2>\n
6 questions to get you started<\/h2>\n
A final thought \u2013 your business probably wasn\u2019t created with the loyalty gene but \u2026<\/h2>\n