Why would you not want to build long term customer relationships? A loyal customer base leads to better brand awareness, repeat business, an increase in market share and additional referrals. To acquire a customer costs money, time and energy, customer retention is vital to the long term performance of a business. To ensure customer retention over the long term then it is vital to have built a great relationship with that customer, that means trust and loyalty have developed.
In the world of business, trust is important to build the foundation of this relationship, once in place you can build on top of that loyalty. This is your customer’s commitment to do business with you again and recommend you and your services or product to friends and family. Loyal customers are great for business as they tend to be less price sensitive, they are easier to engage with new product lines or services. Also, generally it is a more pleasant experience selling to these people as there is a relationship already in place, therefore a more relaxed and confident approach can be taken.
Loyal customers will help to reduce your marketing spend, they will recommend your business and endorse your service or product by word of mouth. Referred prospects that have come directly via a loyal customer often are less price sensitive too, they do however, have high expectations of service levels and will be expecting excellence.
Long term customers relationships absolutely underpin great businesses, they drive recommendations and build brand identity within a demographic or geo-specific location. Building a loyal customer base should be a top priority for any organisation.