Explaining its benefits and importance in CRM
Posted: Wed Jan 29, 2025 5:18 am
The higher the customer loyalty, the more likely they are to purchase the same product repeatedly. This tendency is particularly evident in consumer goods. If customer loyalty to not only the product but also the company itself or the brand increases, the frequency of customers visiting the same store to purchase products will increase. The same phenomenon should occur on e-commerce sites. Increasing the number of repeat customers leads to increased and stable sales. Reduce churn Reducing cancellations is an important benefit, especially for subscription services.
If customer loyalty remains high, cancellations of the tunisia telegram database service they are using will be reduced. Customers who are not only satisfied with the content of the service, but also feel a sense of trust and familiarity with the service will be less likely to consider switching to another company's service. In the case of products, customers will continue to choose the successor model of the same product. Increase in average customer spending The purchasing behavior of customers with high customer loyalty is more likely to lead to upselling, where customers purchase higher-end products, and cross-selling, where related products are purchased together.
For example, when purchasing clothes or household goods at a favorite store, customers are more likely to purchase other products at the same time as the desired product. In other words, the higher a customer's customer loyalty, the higher the average customer spending. Even if a customer starts out purchasing inexpensive products, it is expected that they will gradually start purchasing more expensive products as they continue to use the service. Word of mouth spreads When customer loyalty increases, the likelihood that the customer will recommend the product or service to friends and acquaintances also increases.
If customer loyalty remains high, cancellations of the tunisia telegram database service they are using will be reduced. Customers who are not only satisfied with the content of the service, but also feel a sense of trust and familiarity with the service will be less likely to consider switching to another company's service. In the case of products, customers will continue to choose the successor model of the same product. Increase in average customer spending The purchasing behavior of customers with high customer loyalty is more likely to lead to upselling, where customers purchase higher-end products, and cross-selling, where related products are purchased together.
For example, when purchasing clothes or household goods at a favorite store, customers are more likely to purchase other products at the same time as the desired product. In other words, the higher a customer's customer loyalty, the higher the average customer spending. Even if a customer starts out purchasing inexpensive products, it is expected that they will gradually start purchasing more expensive products as they continue to use the service. Word of mouth spreads When customer loyalty increases, the likelihood that the customer will recommend the product or service to friends and acquaintances also increases.