The Key Question of Loyalty
From a loyalty marketing perspective, few business tools are as useful as NPS – or Net Promoter Score – described by Harvard Business Review as “the one number you need to grow” – and the industry standard since the model was first published more than two decades ago as a way to measurably link your customer’s loyalty to your future profitability. The ingenuity of the NPS approach lies in the question it uses which reveals customer’s true motivation. Whilst the factors that drive our buying behaviour are complex and varied, the “ultimate question” effectively sidesteps irrelevant influences to get to the true heart of the customer’s mindset by cleverly asking customers whether they would actually recommend the brand to a friend. By putting their own reputation on the line, customers commit what Fred Reichheld (the man behind the model) calls “the ultimate act of loyalty”. An alumnus of Harvard Business School, and a Fellow and Consultant with…
Payment-Led Loyalty – Simply Rewarding
A favourite approach for many marketers is known as the KISS Principle – “keep it simple stupid”. It surprised me the first time I heard it, but once I learned it was the design approach used by the US Navy, it quickly impressed me. With increasing competition for customer engagement, this principle is more important than ever before. Simplicity is becoming an essential marketing mindset that benefits loyalty programme operations, propositions and even customer communications. As retailers, taking payment is the only essential step that takes place with every customer every time, and with the increasing dominance of digital payments, the payment card has become the simplest and most effective way that you can track customer purchases and reward them effortlessly. Simply recognising and rewarding customers WITHOUT them needing to present a loyalty card or even scan an app is one of the most exciting ideas in the industry today – and customers of course just love it. Keeping Things Simple. Payment-Linked Loyalty Reitan…