Loyalty programs are everywhere, but in many ways, they fall short. I get points for just about everything I buy – groceries, gas, flights, credit card usage and more. Companies put a lot of marketing dollars into these programs, but then they turn around and provide poor service which lessens their perceived value. Don’t be fooled into thinking these programs will buy a customer’s loyalty all by themselves; you must earn the devotion of hearts, minds, and souls everyday by mixing them with good products and service. Companies should review how much they spend on these loyalty programs and compare that to what they spend on the training, recognition, and motivation programs that are essential to getting employees engaged in really creating loyalty. Some loyalty programs are straight-forward, like grocery points that can be redeemed for gas discounts… only to find too few stations that accept them. Others make you call, only to be placed on hold for long periods of time. But then there’s Amazon – no points, just fast deliveries, and good service. Or Southwest Airlines – lots of unrestricted points and great service too. If you want to be in the loyalty business, earn it. If you want customers to love you, it’s more than points. Make sure you include great service and genuine smiles with your loyalty programs today.
Clarence Francis (1888-1985): American business executive best known as President of General Foods
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