3 Ways Excellent Customer Service Creates Loyalty

For any business, there are two specific goals that are absolutely essential.

  1. The acquisition of new customers.
  2. Turning those new customers into repeat customers.

Every time I talk about repeat customers, I always reiterate this one fact. Repeat customers spend more money than new customers. When you break down how much money it costs to acquire a customer in the first place, versus how much it’ll cost to get one of those same customers to come back to your business, that fact becomes abundantly clear.

It would seem that the majority of businesses tend to agree. According to a report from Econsultancy, 70% of companies surveyed agreed that the cost of retaining a customer is less expensive than acquiring a completely new one.

But today, I’m not just talking about repeat customers. I’m talking about loyal customers. Loyal customers are the ones that transcend repeat customers. They’re the ones that don’t just shop with you because they’re familiar with you, because you have good deals, or any number of other reasons.

Loyal customers shop with you because they want to.

So then, what’s one of the best ways to turn those repeat customers into loyal customers (who will spend even more money)? It starts with customer service. Here’s three ways excellent customer service can create loyalty in your business.

  1. By creating a dialogue between you and your customers. This runs deeper than having a customer service desk. Building an environment where your customers feel comfortable to express their thoughts on your company will pay off not just for them, but for you too. Once you’ve done that, start listening to your customer’s needs. And make sure you act on them!
  2. By giving back to your customers. Giving out something like a special coupon or discount to a customer with an issue is a good way to let them know you care. It’s sort of like when a friend does something cool for you, that they totally didn’t have to do in the first place. You develop a bond with that friend, or in this case, the company. And that’s how the loyalty is created.
  3. By letting your customers know that you’re committed to them. When you guarantee something, follow through. And if you can’t, take care of the customer. Here’s a personal example I had with Amazon. As you may or may not know, Amazon’s Prime service guarantees two-day delivery unless otherwise stated. A few months ago, I ordered an item that had a scheduled delivery time of two days. When the item didn’t show up, I contacted their customer support. They ended up refunding me the money for the item, and hooking me up with ten dollars in credit.

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To learn more about what CoGoBuzz can do for your business, check out the rest of our website!

What do you do to create customer loyalty? Tell us about it in the comments!

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