What creates customer stickiness?
I feel like I’ve been asked that before in my undergraduate studies. At the time Jack Welch, the infamous CEO of GE, had just retired and I believe I delved into one of his refrigerator success stories for my answer. I promise to not go down the rabbit hole of the psychology in marketing, rather stick to the macro elements of a business.
What’s the businesses mission? Do they have a slogan or statement that backs their mission? World class companies do. Take BMW for instance they’re commonly known as the “Ultimate Driving Machine”. That’s heck of a statement and one that sticks with you right? With that slogan your made to think that the price you pay for their product will provide you a luxury automobile experience. Will it be strong enough to get you to the lot? At the right time in my life it worked for me. What brand mission or slogan speaks to you? And are you an avid consumer/ supporter?
History should denote market success. If an organization is newer I tend to wonder who is backing their growth and what recent successes have they had. Anyone heard of RepairSmith? I hadn’t until I saw a uniquely blue tradesman truck rolling around Phoenix with the accompanying logo. A quick (stoplight) google search showed they’re a mobile auto repair service. Brilliant! But auto repair shops have a stigma that isn’t always great. Peel back another layer to this onion and Daimler AG is funding their growth. (That’s very same of Daimler- Benz) so their investors probably feel very bullish on them. So, while RepairSmith is new, their investors are a world class organization and because of that I’m going to try them out. In the end, find the validation that works for you.
2 Chainz is ‘Different’
It’s not too often that a product or services launches without industry competition. So, what sets the company apart? Like 2 Chainz the insurance disrupter Lemonade is different. You may already have their coverage because of it. Aside from an ‘automated’ enrollment process Lemonade is incorporated as a public benefit corporation. Don’t they all just take? Nope, Lemonade’s differentiator is its Giveback program which lets customers designate a charity where their excess premiums will go (after they take for overhead and premiums). That’s unique!
Walk the talk
It’s common sense that they should be reputable however the product/ service lifecycle usually often has a shelf life. When it does, it begs the question is price you pay commensurate for the value received? If you own a business or live outside of a municipality you may pay for trash hauling out of pocket. The US’s largest environmental services company by revenues is Waste Management (WM). Economies of scale could help WM in a few ways off the top: investment capability in renewable waste disposal, ability to always have ready drivers & trucks for routes, and capital for land acquisitions. Waste Management seems to be very good at what they do.
So, what creates customer stickiness? In short, a company with a clear identity, that walks the talk and has their clients backs; always.
The complete package
Identity. History. Differentiation. Reputation. When you have all of these as an organization you’re about there. But isn’t there something missing from this delicious recipe for success? Salespeople or a sales strategy that doesn’t break the bank and allows the business to grow dramatically through revenues of new clients, maintenance of existing and insurance they stay with you. S&P Data Digital’s DNA is sales. We’re expert in the first and last mile of the client lifecycle. Focus on your product/ service all allow S&P Data Digital to act as a genuine partner to your organization to help grow your top line by providing on demand, digital solutions that set you apart from your competition.