Brand loyalty is the key to unlocking repeat customers and word-of-mouth advertising. So, what is it and how can Australian businesses make use of it?
By definition, brand loyalty is when a customer consistently chooses your product or service over the competition. This is done regardless of whether the competitor’s product or service is perceived to be of the same, or better, quality and regardless of the price of either product or service.
Why focus on Australia?
Besides being the home of Neat Ideas, Australia is also a unique market. Australian businesses face fierce competition from international companies that are not governed by Australian law. This means they can produce goods at a lower cost because they are not obliged to pay the minimum wage of Australia, and so can sell their goods at a lower price.
By contrast, businesses in Australia must provide safe working conditions, decent wages and meet many other obligations. Obviously, Australian businesses are more than happy to follow these conditions because they believe in treating their workers well. However, it does mean they cannot afford to match the prices of their international competition. Brand loyalty can level this playing field and give Australian businesses a competitive edge.
How can Australian businesses encourage brand loyalty?
Unfortunately, there is no ‘magic bullet’ when it comes to brand loyalty. Customers don’t become loyal overnight, instead, it takes time, patience and incentives.
The factors that typically affect brand loyalty are:
- Quality of customer service
- Presence of a rewards/loyalty program
- Brand engagement on social media platforms
Businesses in Australia that take the necessary steps to encourage brand loyalty typically see the following results:
- Repeat business from customers
- Word of mouth advertising
- Positive perception of their business
How can Neat Ideas help?
At Neat Ideas, our motto is, “Reward, Recognise and Engage”. We help your business set up a rewards program that builds brand loyalty.
Level the playing field and start building brand loyalty today. Contact Neat Ideas on 08 6389 0055 to find out how we can help you.