Relationships Matter: Why and how brands build long-term customer relationships
Struggling with where to start? For a step-by-step guide on assessing the power of your brand check out our free Brand Analysis Tool here.
Want to build brand equity? Focus on building strong customer relationships.
Your relationship with your customers is the foundation of your brand. For long-term success, you’ll want to build solid long-term relationships.
Without your customers, there is no business. And increasingly, customers look for more than a good product or cheap prices when choosing where to shop.
They look for a brand they can feel good about.
They look for a brand they’re willing to invest in a relationship with.
79% of U.S. consumers say they want to know a brand understands and cares about them before buying anything. It’s the difference between picking up a one-night fling or finding someone you can bring home to meet your parents. They want to know there’s potential for something long-term.
Strong customer relationships aren’t just good for customers – they’re good for business.
Companies with strong customer relationships are more resilient and better able to weather disruptions
52% of consumers will go out of their way to purchase from their favorite brands
Loyal customers are 5x more likely to purchase again, and 4x more likely to make referrals
And, selling to existing customers is less expensive and more reliable than acquiring new ones
On the flip side, the average business loses around 20% of its customers each year by failing to nurture their customer relationships.
Laying the foundation: What makes a solid relationship?
Of course, you want customers to buy what you’re selling but purchase isn’t the basis of a strong relationship, it’s a byproduct.
So what is the basis of a strong customer relationship?
Emotional Connection
Customers want to feel seen and understood. They want a spark.
Whether you pull at their heartstrings or inspire them to try new things, finding a way to connect emotionally will help forge a real bond with your customers.
Trust
Lasting relationships are built on trust, and trust must be earned.
No one wants to do business with someone shady, so you need to continually show your customers you’re on the up-and-up.
Authenticity
We hear it all the time when it comes to romantic relationships: you have to know and love yourself before you can know and love someone else.
For brands, that means having a strong brand identity, and consistently showing up in an authentic manner whenever – and however – your customer engages with you.
Communication
Even the best relationships will fade away if you don’t communicate. Customer relationships are no different.
Communicating often keeps you top-of-mind for your customers.
Now, does that mean spamming their inbox with incessant emails they never asked for? Of course not. No one likes a clingy brand. But, don’t ghost them either. The goal is to find the balance that works for your relationship.
Need ideas? You’re in luck…
7 tactics for brands to build lasting customer relationships
Ready to start wooing your customers but not sure where to start? Here are 7 tactics for building customer relationships that are in it for the long haul:
1) Social media
If you’re not using social media to engage with your audiences, you need to be. It’s a space where you can connect and communicate authentically, and show the more human side of your brand.
Not just that, it’s an opportunity to meet customers where they already are. 54% of social browsers (people who engage with social media even though they may not post themselves) use social media to research products. If you’re not there, they may not find you.
2) Email communication
What’s the difference between effective email marketing and spam?
Empathy.
Emails have the potential to connect with your audience and demonstrate that you understand them, their needs, and their priorities.
Whether you’re sending a monthly newsletter or a post-purchase follow-up, the key is taking a customer-centric approach and tailoring the message based on their needs.
3) Events
Events are a great opportunity to build and nurture customer relationships – whether in-person or virtual. They bring together people with a shared interest, who are ready and willing to connect about that topic.
B2B companies may host industry expos.
Athletic goods stores may host or sponsor running clubs.
Career coaches may host webinars about acing job interviews.
Host an event that makes sense for your brand, or start attending or speaking at partner events. It’s a great way to connect over shared interests that may spark a lasting relationship.
4) Loyalty Programs
If you want to drive loyalty, reward loyalty.
Loyalty programs encourage ongoing engagement. Plus, 84% of customers are more likely to engage with companies that offer them.
And you don’t just have to stick with a punch-card approach – get creative! Offer rewards for feedback, reviews, money spent, or any other type of engagement you’d like to see.
5) Customer service
Ask yourself: when do you reach out to a brand’s customer service department? Usually, it’s when you have an issue or obstacle you need to resolve. This is a make-or-break moment in customer relationships.
Nearly 3 in 5 consumers say that good customer service will make them feel more loyal to a brand.
Providing top-notch customer service, with plenty of options (e.g. live chat, FAQs and forums, and the ability to talk to a live rep) can turn a potentially bad situation into a loyalty-building experience.
6) Content marketing
Content marketing is all about providing valuable, relevant content for your audience. It showcases your expertise and authority and demonstrates that you understand your customers.
The whole strategy is designed to foster strong, ongoing customer relationships.
Content marketing is a long-game, so start building your strategy now. By showing your customers that you get them you will position yourself as brand-relationship material when they’re ready to buy.
7) Listen
This is less a tactic, and more an evergreen piece of advice for all relationships.
People want to feel heard. So, listen to your customers. Seek out feedback and show that you actually care about their responses. If they come to you with an issue, follow up to show you heard them.
When customers feel their input is valued by a brand, they feel a sense of ownership over that brand. And that will keep them invested for years to come.
Ready to take your customer relationships to the next level?
We can help!
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