Importance Of Customer Loyalty

Spend time collecting enough data to geta reasonably reliable picture of your customer loyalty. 

Think back to the last time you needed to buy a computer. If you’re an Apple user, there’s a good chance you’ll consider them again. You’ve had a good experience with them in the past. You consider them easy to use, their customer service is great and the computers last a long time. Even if they are slightly more expensive than the competition – you’ll probably head directly to the Apple store for your replacement computer.

That’s because you are loyal to Apple. And you aren’t alone. Brand Keys recognized Apple as “the best representative of customer loyalty and enjoyment in laptop computers, tablets, smartphones, and online music” in their 2017 Customer Loyalty Engagement Index. In fact, 87% of Apple’s customers are brand loyal – meaning they will continue to purchase from Apple in the future.

Apple invests heavily in developing customer loyalty. They want to make sure their customers continue shopping with them across their entire product line. Why does Apple feel so strongly about customer loyalty? 

Read on to find out why the importance of customer loyalty is crucial for businesses growth in 2020.

What is customer loyalty?

Customer loyalty is the act of choosing one company’s products and services consistently over their competitors. When a customer is loyal to one company, they aren’t easily swayed by price or availability. They would rather pay more and ensure the same quality service and product they know and love.

Customer loyalty is the result of a company consistently meeting and exceeding customer expectations. Another study by Rare Consulting says that 83% of customers said their brand loyalty stemmed from the trust. In other words, loyalty is about likability and the ability to trust the product and brand. Customers that trust the companies they do business with will be more likely to purchase again in the future.