About relationship building and brand loyalty
In the last six months I have seen two well stocked neighborhood optical stores and a thriving mechanic shop nearly 20 years in business close “over night.” It’s understandable, many people think, in these days of economic hardship for businesses to fail.The reason I mention the closings here is to make a point about relationships. I did business with these companies. I had my eyes examined and bought glasses at the optical stores and had my car serviced at the shop. More importantly, I knew the owners, managers and staff that worked at these places. I looked these people in the eye, we greeted warmly when we saw each other, I asked about their families and gave them my business on a regular basis for months, even years.
Yet, after their closings I only heard from one of them. He, the former owner of the mechanic shop, called to say he was working nearby at a national car repair franchise in case we should need to have our car serviced. The others disappeared without a word. There wasn’t even note on the door, an explanation, a farewell or an apology to their customers.
We do business with people. We do business with people who own businesses or are employed by businesses we patronize. It’s often the people and the way they smile and welcome us or the way they take care of our business and behave favorably that makes loyal customers out of us. It’s those relationships that help make a business grow and develop into a brand over time. Likewise, when the people behind a business can’t be bothered, behave unprofessionally or leave us stranded we also remember their actions, sometimes for a long time. These experiences may send us running toward another company, another brand.
It is in search of assurance that many of us rely on brands. They provide a sense of stability and safety. We usually know what we will find when we enter a franchise store or buy a name brand item. This makes sense. Especially when times are lean and budgets are tight. Even if a broader search might reveal a less expensive alternative or better service we may opt for the known brand. As one commercial put it, “The best surprise is no surprise.” Isn’t that the basis of brand loyalty?
This brings me back to relationships. I spoke with Michael, the manager of the optical store, a few days before the store closed. He was friendly and said he would call back to let me know when my glasses were ready for pick up. He never called. The next time I saw the inside of the store four days later there were workers removing the remnants of the inventory that had been sold to new owners. I will remember Michael because I never recovered the glasses I had already paid for and more importantly because I was so disappointed in him. When you provide the opposite of good customer service, do you deserve the opposite of brand loyal?
Negative experiences stay with us for a long time. I know someone who was mistreated by employees at Sears 22 years ago. She tore up her store credit car and has never purchased another Sears product again. My point is that in these times of hardship and economic uncertainty relationship building to create brand loyalty is more important than ever.
Latinos, according to some researchers, are often brand loyal. Depending on the product or service they may be more brand loyal than the average shopper. In exchange for their loyalty as customers they want to feel welcome. They seek service and are willing to pay more for a product or service if it is accompanied by good tech support or customer service. If Latinos represent 40 percent of all new consumers, as researchers tells us, it’s likely that many new consumers value relationships and customer service highly, and offer high potential for brand loyalty. Is your businesses prepared to cater to these highly desirable potential new customers? Are you willing and able to establish long term relationships in the hope of nurturing their brand loyalty?
Elena is principal of LNA World Communications, a marketing and communications company, where she is responsible for media training, strategic planning and client relations. She is editor of Hispanic Marketing & Public Relations (Poyeen Publishing) as well as editor and host of the companion website and weekly audio podcast, HispanicMPR.com. A 20 year plus marketing and public relations veteran and frequent speaker at national and international events, she has worked extensively with clients targeting domestic Hispanic and international markets. She is author of the only chapter in print on Hispanic media training and the recipient of the 2004 D. Parke Gibson Pioneer Award Multicultural Communications Professional Interest Section of the Public Relations Society of America (PRSA).
Posted by Contributor on January 16, 2009 3:13 PM | Permalink | Comments (0) | TrackBacks (0)
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