Improving Customer Loyalty

Date: 24/07/20  |  Author: Lisa Gilham
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People develop brand loyalty if they like (or, better, LOVE) a product or service. Therefore, even if the price fluctuates then they will stay loyal.

Products are generally sold like this:

High volume, low cost (essential)

Low volume, high cost (desirable)


Businesses attempt to increase loyalty by offering rewards and/or loyalty cards, this is crucial as competition for customers as we have so many options for a variety of things such as branded goods or own labels. According to studies, the desire for more affordable products is increasing.


Customer Service

71% of customers who have had a positive experience with a brand on social media are likely to recommend the brand to their friends and family.

Good customer service is crucial for a business's success because it promotes customer loyalty - in turn leading to more profitability, thus higher market share. If customer service provision was poor, this would mean that profit margins decrease. 

To improve customer service, employers could send staff on an intensive training program (preferably have 80% in house training and 20% off the job training). Therefore, they get more efficient at their role and don’t need to rely on someone else’s time in the long run. Despite the initial expense, it is worth forking out on training staff in the long run. 

Having excellent customer recommendations/reviews/feedback will help to promote your business as customers will feel more confidence in you. Feedback can be given in a variety of ways - such as phone calls, emails, Social Media Direct Messages or Google Reviews etc. You should work on feedback to make your business better - nobody is perfect, but I’m pretty close smile.


Innovative ways to Improve Loyalty

The best way to improve customer loyalty is to bribe customers. Not really…but sort of.



Try offering discounts for loyalty, for example, ‘every 10th haircut is free’, or ‘save £10 for every £100 you spend’. This will get people to come back to you again and again because of the cash saving incentives. People love to save money, especially students - they love to whip out their Student ID in shops - I tried it in the canteen at my old college once, it didn’t work but the thought was there.


Rewarding customers

Rewarding your customers is vital as they’ll feel as if it’s worth investing in your business compared to competitors (as they gain something from doing so). For example, you could do giveaways, shoutouts or offer conveniences such as next day delivery or free delivery if you spend XX amount. You could also offer free advice or products for testing (don't just ask for money) - if they like the product then they will become customers. Some companies offer exclusive clubs for members - this could mean that they become a part of a group chat/active support group - benefiting everyone: all because they once bought from the site.

Here’s the cake - we offer free Xero, Receipt Bank, Fluidly, Ingenio IT support, unlimited support, Legal advice and much more free stuff - we also hold free training and networking events every month - the icing on the cake. 

Check out the events page on our website to come and join the fun here



It is imperative that you ask for feedback from your customers and take action on it. This can be done via many forms such as:

  • Email
  • Direct Messages (DM’s) on Social Media Platforms (Instagram, Facebook, LinkedIn, Twitter)
  • Phone call
  • Text message
  • Online chat rooms
  • Suggestion boxes
  • Letters
  • In branch


This will keep customers and gain many more as it will improve their experience of your brand.



The demographic of your audience can influence your communication method. For example, my Grandad Trevor won’t be sliding into a company’s Dm’s on Instagram. Instead, he might go in store and ask for help or phone up a company from his big yellow book.

Social media is a fairly recent advancement and tends to be used by the younger generation - therefore it’s very easy to target them. A lot of trendy clothing manufacturers that offer affordable clothes have a huge presence on Social Media as this is where their market hangs out. A lot of these companies use celebrity endorsement or affiliate marketing to promote.

We have a Social Media Blog coming soon - why do businesses need it? Check it out here.


Word of mouth

You are likely to become loyal to a company if your family or friends use them. The best method of advertising is the cheapest and easiest - it’s called word of mouth. Someone will inform one of their family members about how good a service is, next minute the whole family is using them and sticks with them for years. Shout out to Dave the mechanic - we’ve used him for years because of his honesty and reasonable pricing.


What now?

Nail customer service - it’s so important, plus, sign up to our email alerts so you know every time we post super exciting content for small business owners.


Stay safe

Many thanks from the Dream Team at Diverso


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