What is Loyalty?

Loyalty is a metric that defines a customer’s affection or feelings towards a brand. The higher the quality of your service and product is, the easier it will be to attract and keep customers loyal. Loyalty cannot be marketed or bought in any way, it relies solely on word of mouth and personal recommendations. This makes it cheaper and more effective than any other method.

Find out how to foster customer loyalty


Picture 1. What is Loyalty?

What Is Brand Loyalty?

It is a type of loyalty customer develops towards a brand when using particular products. People who are loyal to a brand are more likely to buy a new product from them. Because they are based on a previous positive experience. To marketing experts, getting and maintaining brand loyalty for an established product is the ultimate goal.

What Is Employee Loyalty?

When employees are loyal to a company, it can mean a few things. For example, an employee has a good experience when working with that company. Or like the culture that the company has. Either way, both are great. Loyal employees will want to do an excellent job for the company which results in employee productivity.

Customer Loyalty Programs

According to HubSpot: „A customer loyalty program is a rewards program offered by a company to customers who frequently make purchases. A loyalty program may give a customer free merchandise, rewards, coupons, or even advance released products.“

To put it another way, this program encourages customers to be loyal by offering rewards or opportunities for them. That surely leads to customers want to do repeat business with your company.

Examples of loyalty programs

Business.gov.au – online government resource, wrote a few great examples:

  • rewarding customers with free or discounted products or services once they’ve purchased a certain amount from you
  • giving benefits to customers if they join a VIP program
  • sending out discount codes or coupons to your existing customers 
  • providing customers with added incentives whenever they purchase from you 
  • rewarding customers when they bring new customers to your business.

Picture 2. Rewarding customers


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Loyalty was last modified: November 4th, 2019 by Igor Mirkovic
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