Posted on Jun 11th 2015 under Customer Loyalty
You have your finger on the pulse of your industry and know all the numbers about your limousine business backward and forward. This means that you are keenly aware of how much it costs to acquire each new customer. When you realize how much time, effort and other resources you have to devote to converting great leads into loyal customers, it should reinforce in your mind the importance of building and maintaining customer loyalty.
In fact, loyal customers are worth as much as 10 times the cost of their initial purchase, noted a recent article at Help Scout that cited figures from the White House Office of Consumer Affairs. It would be a shame to put so much of your sales team's time to waste just because you didn't have a system in place to reward your loyal riders.
Lack of Loyalty
In any industry, you can typically expect that at least some of your customers are doing business with you based on convenience or price more than any other factor. They may jump ship at the slightest provocation, such as seeing a competitor offering discounted services.
Keep in mind that when your customers focus more on price than on service, they may be less inclined to give you referrals that cite anything beyond costs (such as how polite the chauffeurs are or how one of your managers helped them overcome a last-minute problem).
You may eventually wind up converting customers in this category into loyal passengers, but if their initial concerns revolve around price rather than other benefits that you offer (high customer service level, contingency plans to always ensure punctual pickups and drop-offs, etc.), they may remain fickle for the duration of their time doing business with you.
However, the corporate transportation managers who rely on you to transport their VIPs to the airport, convention center or any other destination on a regular basis will be prime candidates for entering the ranks of your most loyal customers. You can encourage them to stay with you by setting up a customer loyalty program.
Customer Loyalty Program
When you consider how valuable your loyal customers are, it makes sense to implement a customer loyalty program to reward their fidelity.
You can offer customers a number of rewards that they can receive after accumulating a certain number of points, which will be based on the dollars you spend with them, and the number of rides they book.
Rewards come in a variety of forms. For example, you can offer them a free upgrade to get a more luxurious vehicle, or add more time to their next ride. Gadgets are another popular reward, and will serve as a permanent reminder about your company whenever the customers use them. You can also encourage loyalty by giving customers points when they refer new business your way.
Each member of the senior marketing team at DriveProfit Limo has spent more than 20 years assisting customers with their limousine marketing campaigns. When it comes to the chauffeured transportation industry, we've learned that one of the most valuable things you can do is build customer loyalty. For more information on setting up a customer loyalty program and how it will work with your overall limousine marketing efforts, please feel free to contact the experts at DriveProfit today at 203.426.7780 or email us at firstname.lastname@example.org.