A loyal customer forgives mistakes, purchases repeatedly and accepts premium prices. Increased customer loyalty therefore only brings advantages. With a Voice of Customer program, loyalty can easily be increased.
There is general widespread agreement that Amazon is doing many things right, but one thing is particularly noteworthy: Customers voluntarily pay for the Amazon Prime loyalty program. While other customer loyalty programs have the reputation of only collecting data, the focus of Amazon Prime is its customer benefits: Members receive packages faster and have access to movies, TV series, music, games and special discounts. Studies show that Prime members order more often from Amazon than non-members.
But don’t worry if you cannot create a similar loyalty program—because even without a Amazon Prime-style program it is possible to increase customer loyalty. But why is customer loyalty so important anyway? Loyal customers have a higher customer lifetime value because they are less price-sensitive and shop more often.
How a Voice of Customer Programm creates loyalty
Customer feedback is extremely important when it comes to increasing loyalty, because on the one hand customers can actively participate and feel that they are being heard; on the other hand negative feedback is immediately intercepted and the disappointed customer can be contacted quickly and won back. Incentives also increase loyalty. You can read about exactly how this works and what role artificial intelligence can play in this process in our newly-released white paper.