Depending upon the sector, an increase in loyalty of just 3% is equivalent to a 10% across-the-board cost reduction program.
Photo via Travelarz/Wikimedia.
Brand Keys released the results of its customer loyalty index, with research concluding that consumer expectations increase annually on average 25%.
"Trust has become the connective tissue between brands and loyalty," Robert Passikoff, president of Brand Keys, said in a statement. "Expectations for trust are up across all product/service categories and brands an average of 250+% year over year. Meanwhile, customer concerns regarding privacy, security, and brand transparency have reached a tipping point."
Loyalty Generators In The Automotive Category
Top brands customers rated highly at creating emotional engagement and loyalty in the automotive sector are:
Car Rental
Rideshare
Gasoline
Automobiles
7. BMW
8. Lexus / Nissan
Car Insurance
In 2019, and for the foreseeable future, there are three concrete fiscal realities of loyalty and engagement that marketers should keep in mind:
- It costs 9 to 11 times more to recruit a new customer than to keep an existing one.
- An increase in loyalty of only 7% can lift lifetime profits per customer by as much as 85%.
- Depending upon the sector, an increase in loyalty of just 3% is equivalent to a 10% across-the-board cost reduction program.
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