CUSTOMER LOYALTY AS AN IMPORTANT COMPONENT OF BUSINESS

ABSTRACT

In modern business, it is necessary to take care not only about the quality of the goods, but also the qualifications of employees and the image of the company. It is also necessary that the client receives not only material bonuses, but also moral remuneration – he feels chosen and involved. Working with a stream of regular customers buying a product or service will be a source of much more income than focusing on one-time customers. It is for this reason that it is worth creating a customer loyalty system that will make customers loyal to the company.

Keywords: loyalty, customer service, brands, brand commitment, value.

In a world where there are hundreds of similar options for just about any product or service, the fact that so many customers keep coming back to the same brands is really worth something [1]. If the customer trusts the brand, then the value they receive outweighs the potential benefit from a lower price or a different product.

Customers are an important component of continued prosperity, which is why any successful business depends heavily on them. However, when there is intense competition, it can be difficult for businesses to attract new customers and retain old ones. Research has shown that acquiring a new customer costs 5-25 times more than retaining an existing one.

For large companies with a constant flow of customers it is important to show their advantages and stimulate consumers. After all, a regular customer is a guarantee that he will recommend the product to his friends, and his average check will be much higher than that of those who have just met the company and are not yet sure of its quality. Loyalty is brand commitment, company, store or enterprise. In a broad sense it is a caring and positive attitude that has a rational and emotional beginning [2].

The emotional side of loyalty is based on the fact that the client is close to the values of the company, its positioning in the market, advertising images and messages. While rational one is based on satisfaction with the quality of goods and services and the benefits that the client receives from long-term and regular cooperation with the brand. Without emotional involvement the consumer will not become truly loyal, since nothing will keep him if prices rise slightly and the quality of service falls [3].

Loyal and regular customers are not the same thing. The Regular makes purchases frequently, but is not necessarily committed to the company. A loyal customer may buy less often than a regular one, but loyalty is more important for the brand, because such a customer:

1) Spends more than others. The average check of a loyal customer is higher than the usual one: even if prices rise, he will not go to competitors, because he is attached to the brand and loves the product, associating himself with it.

2) Recommends the company to friends and colleagues. A loyal audience is an inexhaustible source of word of mouth, free advertising. A potential client, having heard a lively, flattering review of a brand from a loyal client, is highly likely to give preference to the recommended company, even if there are competitors.

3) Become a brand advocate. After seeing a negative review, a loyal customer will voluntarily rush to defend the brand and share their personal positive experience.

4) Helps the company directly. If the company needs to test a new service or try out a pilot version of a product, a loyal customer will be happy to be at the forefront and will readily give feedback [4].

Stages of customer loyalty:

1) First contact. A potential client still knows little about the company, goods and services, he does not know the prices. He visits the site for the first time, in a store or office. Someone advised the company to him, or he was led by advertising or search results.

2) First purchase. The consumer made the first purchase. Now he evaluates whether he likes everything. He already had an opinion about the competence of the company's employees if the first contact was in person. He appreciated the convenience of the site, the terms of delivery if online purchase has been made. And most importantly, the quality of the product. This is the most important parameter; it depends on whether a person wants to buy something again.

3) Repeated contacts. The client will certainly return for a purchase again if he likes the product, the attitude of the staff, and the company's services. At this stage, you need to use promotions; loyalty program; competitions, drawings of prizes; personalized offers; demonstration of special attitude, care, etc.

4) Loyalty. The customer develops an emotional connection with the brand. He willingly participates in surveys, marketing activities, tries to help, constantly returns for shopping. Now such a consumer can be called loyal, he will bring the greatest profit [5].

Loyalty is needed where there is commerce, business, partnership. That is, customer loyalty is directly related to primary and repeat sales, the average check, the effectiveness of discount programs and other indicators that are important for business. There are methods that allow you to manage loyalty, as well as encourage repeat purchases and optimize your marketing budget. The task of building loyalty is always part of a business strategy, a marketing strategy, and even a social media presence strategy.

References:

1. Лояльность клиентов | считаем и увеличиваем NPS [Электронный ресурс]. – Режим доступа: https://blog.oy-li.ru/loyalnost-klientov/ (дата обращения: 16.03.23)
2. Лояльность клиентов: что это и как её увеличить [Электронный ресурс]. – Режим доступа: https://kontur.ru/compass/spravka-compass/25088-loyalnost_klientov_chto_eto_i_kak_eyo_uvelichit#header_25088_1 (дата обращения: 16.03.23)
3. Повышение лояльности клиентов-как выявить причины и методы [Электронный ресурс]. – Режим доступа: https://faros.media/articles/zachem-nuzhna-loyalnost-klientov/(дата обращения: 16.03.23)
4.  Кто такие лояльные клиенты и какую пользу они приносят бизнесу [Электронный ресурс]. – Режим доступа: https://www.sberbank.ru/ru/s_m_ business/pro_business/kto-takie-loyalnye-klienty-i-kakuyu-polzu-oni-prinosyat-biznesu/(дата обращения: 16.03.23)
5. Лояльность клиентов: что это и как посчитать [Электронный ресурс]. – Режим доступа: https://altcraft.com/ru/blog/customer-loyalty(дата обращения: 16.03.23)