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Jul22
Do Bargains and Deals Trump Brand Loyalty?

Loyalty.  It's a word you don't hear much from people when it comes to shopping.  I even admit that I'm not loyal to any particular retailer or business.  I used to be loyal to Starbucks until I discovered other coffee establishments with better-tasting coffee and free wifi.  And it's not just people in the U.S. who aren't loyal.  This news report says that despite the rise in store loyalty cards, Britons are increasingly shopping around.  The problem (or not - depends on how you look at it) is that people just have way too many options nowadays. 

'Loyalty' Flickr photo by Jacob Boetter

Although people love loyalty programs, it doesn't necessarily mean that they're going to be loyal to a particular brand.  I have a Borders Rewards Card, but once in awhile you'll find me in Barnes & Noble or on Amazon.com buying a book.  Keeping a customer isn't about giving them a card with promises of free stuff or discounts (although it is nice sometimes!), if you truly want loyal customers, then all you have to do is offer great customer service

If you're looking for ideas on how to create loyal customers, I recommend reading this article, Five Ideas for Using Brand to Drive Guest LoyaltyThe article offers examples for the hotel industry, but the basic ideas could be used by anybody. 

Anyways, going back to this idea that loyalty is declining...

What would it take for people to be completely loyal to a brand?  In this recession that we're supposed to be in, do bargains and deal trump brand loyalty? 

Photo Credit:  Jacob Boetter

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