You may be thinking advertising and customer loyalty are incongruent and shouldn’t be used in the same sentence. However, times have changed, and advertising that is genuine and trustworthy wins customers and can go a long way towards building up their loyalty.
There are many proven marketing strategies for securing customer loyalty including discount coupons, free samples, exclusive previews and loyalty programs. Where does paid advertising fit in the marketing mix?
Advertising spreads the word beyond business communities and social networks. In this business blog, we recap. on what customer loyalty can bring to a business and why paid advertising has a vital role in making it happen.
Customer loyalty is when a customer has a continuous preference for our business and products over those of our competitors. Customers that are loyal to a single provider are not easily influenced by availability, price and competition. However, any business that invests in strategies like a paid advertising campaign will profit when it offers transparency, is personalized and focused on promoting a customer loyalty scheme that rewards buyers on every sale.
One channel that works really well with personalized ads is TV so think again about how you can broaden your reach to reward existing customers, so they’re happy to act as brand champions.
Why is Customer Loyalty Important?
It’s crucial for a business’s success to keep customers coming back. What is a good customer retention rate? Aim for a quarter or 25% of all sales to come from existing customers.
One factor that motivates marketers is the cost to get a new customer vs getting an existing customer to buy again. New customers need your business to invest five to 25 times more in marketing. However, paid advertising campaigns focused on customer loyalty can attract new customers and retain current clients a win-win! 🙂
How Paid Ads Build Customer Loyalty
Paid ad campaigns, whether the medium is TV, social media, search advertising or on publisher sites, are part of the digital marketing mix.
Implementing personalised, targeted ads is the ultimate way to engage with and build rapport with new and existing customers. How is this achieved with TV?
The solution relies on access to data reports presenting reliable viewer demographics. TV still attracts impressive audiences, yet you want to avoid the cost of a scattergun approach where your advert is offered to anyone versus being shown to viewers with the right interests.
A higher conversion rate is achieved when you engage the services of data mining providers with access to reliable data from broadcasters. Follow-up campaigns can retarget audiences with new or additional products, and with the power of advertising, a discount also works to improve your customer loyalty.
Did you know loyal customers are more likely to see your promotions and engage with your business? Plus, use multi-channels to spread the promotion simultaneously. For example, have your ads and products appear in your existing customer’s search results and online spaces by analyzing their data and habits and on billboards, TV, and niche magazines.
There are so many strategies to use to get more sales for your business. You cannot ignore how you can customize your brand campaigns to win over your existing customers. Invest in a loyalty program that sells itself. Imagine what can be achieved when your business can leverage its relationship with existing customers, so they refer more business your way!
Who doesn’t want to be recognized and rewarded for their loyalty? Only 12% – according to 78% of survey respondents, a show of gratitude for their custom is essential.
Moreover, 80% of consumers are more likely to purchase a product or service from a business that provides them personalized experiences through ads and such.