Customer Loyalty

Customer Loyalty

            Is there such a thing as customer loyalty? It is the desire of most reputable businesses that a relationship is begun between the company and the customer. If product offered product accepted is the depth of the experience it makes sense that we should always be on the lookout for the next best thing. I mean, what is the reason for the consumer’s choice? If the reason is price then they will cut and run to any sale that any company puts on this week. On the other hand if it is a unique product the customer is more likely to return simply because there may be no other place to get it. It is the same with a service; unique services can gain a level of customer loyalty.

            What about products and services that are not in themselves unique? It is here where most of America dwells as business owner’s claw for their share of the same dollar circulated back and forth every day. Well of course the company in this situation has to somehow make themselves unique… different from all of their peers… standing out like a beacon saying, “I am the direction you want to go.” There is no shortage of ideas when it comes to this sort of a situation but most of them are centered on price.

            In the plumbing industry it is exceptionally difficult to gain customer loyalty because it is exceptionally difficult to separate yourself from everyone else; whether they are a good company or an unscrupulous one. In this situation it often becomes a matter of branding… plumber is a particular brand and people expect certain things when they hear that word… some good and some bad. In the same way if you think of a particular company you have used or heard of; (maybe a jingle comes to mind) you can realize that they have done a good job branding themselves apart from the common things that one associates with a mere “plumber” they have left an imprint on you in the form of their brand.

            Recently I discovered that I hate it when companies create an incentive or discount for new customers. It is completely anti-loyalty. Let’s think about this for a minute… all of the loyal long-time customers get to pay extra so that you can reward the new customers? At the same time when I am no longer a fresh customer you are okay with hiking the price up on me… because after all I was getting a good deal for so long. That sounds like pure manipulation to me. The truth is customers are smarter than this. Loyalty takes a backseat for everyone involved because as soon as the competition offers their “New Customer deal” people jump ship and run to them.  

            Why should loyal customers get beat up on price while new customers get advantages? That is the question that has been keeping me up at nights. It is the reason that in my businesses I am continuing to seek out new ways to bring loyalty back… not simply for my company and my industry… but because I believe it is better for us as a whole. There really is enough to do out there that we can all be busy in our corner of the world doing whatever it is we do in our communities. We should at least find ways to reward people who are loyal and who have been there.

            I am open to suggestions from anyone… what can one small plumbing company do to increase the incentives for loyalty and to reward loyalty? As it stands we already offer a progressive loyalty advantage… the longer you are a customer the more of a discount you can receive. Let us know what you think businesses in your community should do about this problem… even ours. 

deacon@crystalclearplumbing.com