Understanding Customer Loyalty

Customer loyalty happens when consumers choose to purchase a particular service or product from a particular company rather than going to other shops and companies. Customer loyalty is exhibited when people are happy with what they are purchasing over a period of time.

Customer Relationship Management focuses on creating and understanding customer loyalty as this brings more business to companies through repeat purchases and referrals. If you’re struggling with keeping your consumers then you have to understand the different reasons why people choose to be loyal to certain companies.

Psychological

With all the reasons, psychological is the most influential one as this reason is connected to the most number of customers. I’m saying this because the most number of people, the general buying public, is swayed by reasons about how they think and feel about a service or product. An example of this is how children who grow up eating candy bars still buy the same brands because it reminds them of their childhood. Another example is how Starbucks, the famous coffee shop chain, has made their shops look like a comfy living room. People who come to Starbucks for coffee are treated with great beverages and a relaxing environment which others picture as the perfect home to come to after work or school. You can use this information to come and think of a way to spark loyalty in your students. Keep them happy by giving the best customer service. It will remind them that being in your martial arts school keeps them blissful and content.

Economic

This reason is more concerned about business to business markets but it can also influence customers. Knowledge about a company’s status can alter how customers think about their products. An example is a company struggling to survive. This may cause an alarm because a company’s economic status can reflect on their product. Small companies rarely have to deal with this if they are close to bankruptcy. So just in case, be careful with spreading information, and take really good care of your school’s image.

Contractual

Here is my least favorite among the different reasons why people stay loyal. Contracts prevent customers from leaving a subscription so technically, they stay “loyal”. Contracts are written up for a myriad of reasons, if you’re thinking of making one, make sure your reason is good.

Technical

The last reason we are going to talk about is technical. This reason influences customers when things are changed about the service or the product. Change is good, but when it doesn’t please the public, they get outraged. Just take a look at Facebook every time they change something about their website. People freak out about the tiniest change. So if you’re thinking of changing something about your martial arts school, make sure it’s for the better.