Why is customer loyalty important?

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NPS and CSAT surveys should also be supplemented with qualitative questions to identify your main areas for improvement. This way, you can take steps to increase loyalty after understanding how your customers are currently feeling.

While customer loyalty is only beginning to gain traction as an important concept in business, customer satisfaction has been tracked for decades.



With the expansion of the tertiary industry, including the service industry, enterprises began to pay more attention to the concept of "customer satisfaction" around 1980. They focused on generating satisfaction, such as "Are they satisfied with the product or service?" rather than productivity and efficiency.



However, as the company continued to conduct customer satisfaction surveys, they began to realize that highly satisfied customers did not = returning customers. No matter how good a product or service is, if customers do not fully utilize its features or the support system is poor, users will naturally not buy the product again. Even if they are satisfied with the product at the time, they may easily switch if another company comes out with a better product. This is where the concept of "customer loyalty" comes in.



Customers who have an emotional attachment to a product are more likely to buy the same product again or renew their contract. Once they become fans of the brand itself, they will naturally want to try other bolivia telegram number database products from the same brand. Based on such purchasing trends, companies now pay more attention to building customer loyalty rather than pursuing short-term customer satisfaction.


The Advantages of High Customer Loyalty
 

More returning customers



Customers who are attached to a company or product are more likely to buy the same product next time. Especially with consumables, many customers are likely to continue buying products they are happy to use. If customer loyalty improves, even if the shelves are filled with products, customers are likely to continue returning to the company's products because they can trust the brand. 



Reduce customer churn