Tapping into local loyalty
Whether you own one shop, several locations, or are part of a national brand, your survival depends on happy customers and repeat business. No easy task in the face of intense local competition. But costly if outdated or ignored. Consider this:
- 46% of consumers are likely to switch providers
- U.S. “switching economy” is up 29% since 2010
- 82% of companies agree that retention is cheaper than acquisition
Here are some of our top tips to boosting local loyalty:
- Deliver brand consistency and relevant value – Deliver relevant, local, value-oriented messages. What will be irresistible and appreciated by those who frequent your place and can spread the word? Deals – delivered via coupons and vouchers – matter.
- Know your competition and differentiate your business – Study the competition. What makes you different? Capitalise on your unique strengths or create new ones. For ideas on what will resonate with customers, keep tabs on industry news.
- Leverage your data – make the most of the customer buying behaviour embedded in your transaction data to understand the unique geographic and psychographic characteristics of your customers. This will help you locate lapsed customers and your big fans, and create customised offers that show you understand them.
- Advertise in your communities – When you advertise, go where the locals go, with at least part of your media spend. Why? Nearly two thirds (63%) SMB owners confirm that marketing/selling directly to the local community is a key component of their company’s success.
- Use hyper-local targeting online and offline – If you find a pocket where loyal customers live, there are likely to be more who fit the same profile and it would be worth sending your coupons and offers.