Brand loyalty is when a customer prefers your brand over your competitors. A loyal customer isn’t interested in trying out your competitors’ options because they already feel that your product totally meets their needs. They’ll make repeat purchases, buy from your brand regardless of the convenience or price of your products and recommend your products to others. All of this drives your business and boosts your bottom line.
Let’s dig into how to build and maintain brand loyalty, how to use surveys to find out what customers want from your brand and what you can learn from some brand loyalty examples.
Brand loyalty has a huge effect on your business’s revenue and profit. Loyal customers typically spend more than other customers, especially over the course of their entire customer lifespan. Loyal customers are also less price-conscious than other customers, so it’s easier to retain them if your prices increase or a cheaper alternative hits the market.
Consider Apple, a widely-cited example of brand loyalty. Over the years, the company has amassed a devoted customer base; 90.5% of current iPhone owners plan to stay loyal to Apple the next time they upgrade, despite the fact that newer models typically have higher price tags and cheaper alternatives are readily available.
Loyal customers are more likely to try new products from your brand, which makes it easier to launch new products successfully. Because three in five people say they’d rather purchase a new product from a familiar brand than from a brand they don’t know, loyal customers are often your most enthusiastic early adopters. This demonstrates how brand loyalty is a critical component of brand equity or the extra value that a business gets from a product with a recognisable name compared to the generic alternative. When more people are loyal to your brand, you can leverage your brand equity to raise your prices and expand your product line.
A brand loyalty survey helps you understand the opinions and habits of the loyal customers who advocate for your brand. To build brand loyalty for long-term success and track shifting customer loyalty, stay in communication with your audience. Ask for periodic feedback by surveying your customers and target market two to four times per year.
Here are a few great ways to measure brand loyalty over time:
Two in three senior marketing managers find the “brand loyalty” metric very useful in their work. The results of a brand loyalty survey tell you what your loyal customers like about your brand, which helps you position and develop the brand over time. By using SurveyMonkey Audience, marketers can also learn why people are loyal to competitors instead of their brands.
Ready to start building and measuring brand loyalty? Get started with our brand loyalty survey template.
Although the path to brand loyalty is different for each brand (look to your survey results for guidance), here are a few strategies to increase brand loyalty: