The 4 Kinds of Customer Loyalty

What kind of 'loyal' are your customers?

What kind of ‘loyal’ are your customers?

The Broadcaster. The Enthusiast. The Lazy Loyal. The Seeker. No, it’s not a band of superheroes. It’s the four kinds ‘customer loyalty’ described in a new report from software giants Oracle. It’s a fascinating insight, and has implications for businesses keen on creating engaging content for their customers.

Retail 2018: The Loyalty Divide details four typologies of consumer loyalty, including: The Broadcaster who may flit between brands but shouts about their experiences good or bad; The Enthusiast an engaged retail brand follower who is loyal but not loud; The Lazy Loyal typically disengaged but tend to be loyal to brands because it’s easy to be; and, The Seeker who likes to shop around for the best value and holds little affinity to retail brands.

Let’s take a look at the four different ‘types’ of consumer loyalty. Which categories do you consumers fit into? And more importantly, do you know how to reach to them?

The Broadcaster

  • 32 percent of consumers will recommend to others the retailers they are most loyal to
  • 41 percent would share photos on social media of great retail experiences in exchange for rewards
  • 47 percent would feature the retailer or its products on their social media accounts in exchange for offers / rewards
  • 42 percent would submit a product review through YouTube in exchange for an offer / reward

 The Enthusiast

  • 43 percent of consumers are most loyal to brands that they have a high opinion of
  • 1 in 5 consumers (20 percent) will follow their favorite brands on social media
  • 71 percent say product quality and 59 percent an enjoyable shopping experience are most important to them
  • 51 percent say it’s important that they can engage with new and exciting products from brands they are loyal to

 The Lazy Loyal

  • 60 percent say convenient store locations are most important to them
  • More than 1 in 3 (40 percent) will typically stick to the brands they like rather than shop around
  • 1 in 4 consumers would not find a loyalty program that can be used across multiple brands appealing
  • 72 percent think an effortless loyalty program where points are automatically redeemed is appealing

 The Seeker

  • 66 percent choose a retailer because of competitive prices / promotions
  • 56 percent would exchange personal details in exchange for a personalized offer or promotion
  • 53 percent of consumers would always ‘shop around’ for different retailers to shop with
  • Almost 1 in 5 (19 percent) would rarely sign up to retailer loyalty programs

Creating content for the different types of ‘Loyal’

One thing is clear, it’s becoming more difficult to paint our audiences with a single, broad stroke. In truth, we are marketing to different segments of people who each have unique needs, attitudes and perspectives. A one-size-fits-all approach to marketing is no longer an effective strategy.

The first step is to know who you’re marketing to. And I’m not talking generic demographics. I mean really know them. Who are they? What are their motivations? At what point in the buying process do they want to speak to a sales rep? Which information sources do they trust? What are their pain points? What are the barriers preventing them from buying your product or using your service?

Understanding this kind of information is critical in tailoring your content. It means you can identify the kind of information different audience segments are looking for. It could be Blogs, eBooks, Videos, LinkedIn Posts, White Papers, Infographics, Brochures or a combination of each.

Building a detailed Buyer Persona is the best place to start. This means talking to your customers and finding out why they bought your product or service. It also means having conversations with your leads and prospects and asking them why they didn’t buy your product or service. They can be tough conversations to have, but they’re vital.

Understanding the true nature of your audience helps you develop a content strategy that can nurture a customer through the sales process, and over time make them a loyal brand ambassador.

Not sure what a Buyer Persona is? Start with this 100-word definition from HubSpot

Want to build a loyal customer base?

Ink Copywriting is here to help. From initial strategy right through to final delivery, we can help develop content that will reach your audience and help build brand and business loyalty. Learn more.

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