Loyalty: how to understand it?
We all are consumers. I very much love milk. And for some reason, having come to shop, I always look for milk in cardboard packing of brand X. Once it was spoiled. Whether I another time will buy the same packing? I will buy. Thereby expressing credibility to a trademark X. Whether it is possible to tell that I am loyal to this brand? It is unlikely. Most likely, loyalty will issue such credit in hope that in the next packing there will be a qualitative product.
Conclusion: the fact that the consumer is ready to forgive temporary deterioration is not loyalty, but its consequence.
In shop there was no brand X milk. Whether I will look for it in other shop or I am content with another which found on the shelf in it? I will be. I will go to the next shop - there, for certain, there is my favourite milk. Whether I am loyal to a product of a trademark X? I doubt.
Conclusion: the fact that the consumer is ready to look for brand if it is not in the nearest shop, is not loyalty, but its consequence.
Me the spouse asks to come after the working day into shop and to buy milk liter. At the same time I know that she prefers brand Y milk. But I go and I buy X. The wife is indignant, and I insist that it is necessary to buy milk X because … After peaceful and long conversation it, having thrown with a coat, runs in shop behind “the“ milk, and she will not come back home, will not buy it yet. At the same time on my question why all - Y, it tells something it seems: “This only thing that can be bought“. Now I surely state loyalty of the spouse to brand Y product: she begins to convince me that Y is better, than X though cannot rationally explain the reasons.
Conclusion: the fact that the consumer becomes the subconscious propagandist of a brand is the characteristic of the loyal client.
Promotion of a brand stimulates business growth. The probability that your clients will propagandize your brand to the friends and acquaintances has a direct bearing on growth of your company. to
Strictly speaking, through loyalty it is accepted to express result of action of a certain program of its increase in marketing. Marketing specialists define loyalty through the frequency and repeatability of purchase of this brand. And further formula and technique. However we, propagandists of the correct marketing, consider it incorrect. When marketing teams try to measure loyalty, often make one deadly mistake. No, loyalty is not result of any program or dexterous marketing receptions.
It is necessary to remember that the true loyalty appears only when:
- is formed a clear understanding of how the company treats people (to clients, employees, etc.) ;
- the person accurately realizes the value of our offer;
- the person feels care of himself from the company.
In 1947 Jack Conway released quite instructive movie - the comedy “Advertisers“ with Clark Geybl in a leading role. At all shortcomings of its scenario there enough useful thoughts, one of which, in my opinion, is directly connected with loyalty. The owner of soap-producing production explains to the staff of advertizing agency that “if we do not shout every minute at every turn that my soap the best in the world, then the buyer will go and will buy another“. But the creative director does the part quietly and with advantage: poor Americans become loyal to the advertized soap in view of the fact that feel genuine care of themselves from the soap maker and accurately realize the value of his offer.
So it loyalty and how to estimate it and to measure if not through the frequency and repeatability of purchases and a share of a purse? At the time of the English feudal dependence the term “loyalty“ meant an oath which the feudal lord brought to the mister. In modern concepts of the correct marketing which we preach, loyalty equally in participation. Yes, feeling of participation in a trademark which is considered by us at two levels: rational and emotional. The head, for the second - heart is responsible for the first. The head learns in what the value of the offer and as to measure it (“price / quality“ so far nobody cancelled a ratio). Heart wants to understand how the company treats people: whether she knows them whether cares for them, whether shares their opinions.
Conclusion: we clearly understand the positive behavioural reactions of consumers concerning this or that trademark developed on the basis of feeling of participation in this brand as loyalty.
Concerning measurements: any of the standard formulas in the theory (fashionable nowadays FRPR among them), unfortunately, is not applicable in practice in view of psychological and neurophysiological imperfections of polling methods of researches. As far as the person is capable to understand himself and to realize the desires? Whether he calls that trademark to which he is really loyal, or that which is simply imposed to it by advertizing? And how in general it is possible to identify authentically all purchases at a given time?
In the correct marketing is accepted only one way of measurement of loyalty: deep interviews with an obligatory question. We will see off them in shops by a special author`s technique. The obligatory question sounds so: Whether “You are ready to recommend our goods to the close friends? “. Depending on category it is modified, but the essence does not change.
I Expect scepticism: unless it is measurable? Yes. The simplest method is trivial: ten-mark scale. Let`s take percent of the buyers who gave an assessment in 9 and 10 points, and we will subtract from it percent of those who gave from one to three. Let`s receive real percent of adherents of a trademark. One more argument of sceptics: unless such value judgment cannot be consumer lie? Can. However the formulation of questions for interview and their sequence minimizes probability of deception.
Now several words about measures which need to be undertaken for formation and increase of loyalty at clients. Today widely two ways meet: programs of discounts and program of accumulation. Let`s comment on them briefly.
DISCOUNTS (sales, reduction of the price of the second goods in the check, discharge at the maximum price, liquidation of departments and other tsenopada and tsenokosa).
Alas, loyalty discounts you will not create. It is only possible to draw attention and to induce the person to trial purchase. Other values, than the price are necessary for formation of loyalty.
ACCUMULATIVE CARDS (a bonus - points, own “money“, a ladder of accumulation, etc.) .
Similar offers influence only a rational component and extremely poorly affect heart. Yes, buyers can accept more often your offer of value (so we call any goods or service). Much more often if the difference in expenses is significantly less. However feelings of care of the client and understanding will hardly be able to stimulate such cards with his company.
What it is necessary to do, from the point of view of the correct marketing? There is nothing illogical in what 91,2% of people prefer to buy or those goods to which got used, or the fact that will advise them those who used it (in 2005 in Chicago at the next VBMA conference I heard official data of researchers in confirmation of such high percent). Therefore developed by us loyalty program are directed, in - the first, to formation of a habit of consumption, and in - the second, on promotion of a trademark by means of talk and are based on three I - desires of the buyer:
- I want to have unique goods.
“Offer me the unique value what nobody can offer, except you, - then we will look!“
- I want to be to copresent unique goods. “Make
so that yours unique value it was easy to find and use it, allow me to become an integral part of your company and to feel the importance!“
- I want for this purpose anything to do.
“Yes, I am lazy. I do not accept any difficulties. Really you think that I will be loyal to goods which demand from me a hard mental or physical activity?! Make so that my experience of communication with you and with your offer of value did not cause difficulties, - then I, perhaps, will begin to speak about you to others“.
As practice of our consultation shows if one of these three aspects is lost at least, the program of increase of loyalty does not work. People are not ready to speak about mediocre and anything the goods and services meaning to them. People are not ready to use the efforts to find the value if it for them is not significant. People are not ready to become part of your company if she does not understand them and does not show care.
Each of these I - desires generate one we - action from the company. So:
We create unique values what nobody can offer, except us.
We feel each client as the person, significant for the company, and we demand reciprocity.
We study continuously and improved before advising others: we do everything that with each of us it was easy, pleasant and it is useful to communicate.
I gave a fragment from the corporate code of staff of our company - Services of the correct marketing “Purpose“. Each business, certainly, has to have the we are the actions based on concrete I - desires of clients. Drawing up such list - the first opportunity for the owner who thinks of loyalty increase. to
the Second opportunity is given by correctly built system of sales. For example, try to answer right now what useful you are ready to make for each of the clients free of charge.
Between the company and its clients it is necessary to treat loyalty as well as about love between the man and the woman. Both the company, and loyal buyers need mutual love. Loyalty, as well as true love, it is difficult to receive, but it is easy to lose. It is necessary to correlate correctly rationally and emotional began, as well as in love - reason and feelings. The unrequited love - it is all the same what to give somebody a gift and not to wait that that will develop it and will begin to admire. To rejoice to the fact that you give love to the person to whom it is not necessary, at least, strange, isn`t that so at all? Concerning business such unilateral loyalty is pernicious and can lead to death, as well as excessive, all-consuming passion of the company to the clients.
better to understand it, here history. The Flower met Wind of unearthly beauty once and fell in love with him. Wind caressed the Flower the whiff, and that answered it with strong aroma and bright color. When it seemed to Wind of it a little, it, having decided to present it all force, blew in all power of the love. The flower broke. Wind tried to lift it, to recover - vainly. He tried to breathe gently and tenderly - everything is vain. Wind shouted then: “I wanted to present you all the force, and you broke! To see, there was no power of love in you to me!“ … The flower died, nothing without having answered.
Planning the company on formation and increase of loyalty, it is necessary to remember that it is measured not by the force, not passion, but a gentle and reverent attitude to buyers. As, however, and love.