Connect with us

Advertising

Here’s 5 Ways to Build Customer Loyalty, According to Science

Published

on

Regardless of whether you are an entrepreneur, investor, or a business professional, the concept of customer loyalty is a crucial one.

The fact is that 68% of customers leave because they feel brands do not care about them, and the cost of these lost customers can add up fast. It’s estimated that acquiring new customers is 500% more expensive than keeping old ones.

How can brands get customers to keep coming back, to avoid the problem of high churn?

The Science Behind Customer Loyalty

One way of looking at customer loyalty is to think about the underlying behavioral psychology.

Today’s infographic is from West, and it outlines some of psychological principles surrounding customer loyalty, and how they can be applied to help retain existing customers.

The Science of Customer Loyalty

Retaining customers is vital to success, but achieving a low churn rate is never an easy task. After all, customers can be fickle, and brands already invest millions each year to make sure they can handle extremely high volumes of customer interactions.

How can brands lower their churn, while making the most out of their customer interactions?

Five Ways to Build Customer Loyalty

Here are some tried and true methods that help build customer loyalty, and why:

1. Deliver unexpected rewards
Unexpected rewards produce a huge rush of dopamine to the brain. By rewarding customers when they least expect it, brands can really make an impression.

2. Start and end strong
People tend to have cognitive biases towards the first and last things they experience. By making sure the customer experience is strong at both of these touch points, odds can be improved that they will come back.

3. Create a social identity
Social identity theory shows that when people feel a part of an established in-group, they are more likely to stay loyal to that group. Brands can help by creating or nurturing these channels, allowing customers to develop bonds with each other, as well as the company.

4. Let customers share rewards
People are frequently motivated by helping others, so giving customers the opportunity to share benefits or rewards can create a new facet to the customer relationship.

5. Show customers you share their values
Studies show that customers rate shared values as a key reason behind their relationships with brands. Make sure you communicate brand values loud and clear.

Subscribe to Visual Capitalist

Thank you!
Given email address is already subscribed, thank you!
Please provide a valid email address.
Please complete the CAPTCHA.
Oops. Something went wrong. Please try again later.

Continue Reading
Comments

Advertising

The World’s 100 Most Valuable Brands in 2019

Technology brands account for 20 of the world’s 100 most valuable brands in 2019, combining for a whopping 43% of total brand value.

Published

on

The World’s 100 Most Valuable Brands in 2019

Brand equity can be a challenging thing to build.

Even with access to deep pockets and an innovative product, it can take decades of grit to scrape your way into the mainstream consciousness of consumers.

On the path to becoming established as a globally significant brand, companies must fight through fierce competition, publicity scandals, changing regulations, and rapidly-evolving consumer tastes – all to take a bite from the same piece of pie.

Cream of the Crop

Today’s visualization comes to us from HowMuch.net, and it showcases the 100 most valuable brands in the world, according to Forbes.

Here are the powerful brands that sit at the very top of the list:

RankBrandBrand Value ($B)1-Yr Value ChangeIndustry
#1Apple$205.5+12%Technology
#2Google$167.7+27%Technology
#3Microsoft$125.3+20%Technology
#4Amazon$97.0+37%Technology
#5Facebook$88.9-6%Technology
#6Coca-Cola$59.2+3%Beverages
#7Samsung$53.1+11%Technology
#8Disney$52.2+10%Leisure
#9Toyota$44.6+0%Automotive
#10McDonald's$43.8+6%Restaurants

It should be noted that the list is ordered by brand value, a measure that tries to calculate each brand’s ultimate contribution in financial terms to the parent company. You can see that full methodology here.

Finally, it’s also worth mentioning that brands with only a token representation in the United States have been excluded from the rankings. This means companies like Alibaba or Vodafone are not represented in this particular visualization.

Tech Rules Again in 2019

For another straight year, technology dominates the list of the 100 most valuable brands in 2019 – this time, with six of the top seven entries.

Most of these brands saw double-digit growth in value from the previous year, including Apple (12%), Google (27%), Amazon (37%), Microsoft (20%), and Samsung (11%). The one notable exception here is Facebook, which experienced a 6% drop in value attributed to various struggles around the company’s reputation.

Here’s a look at how industries break down more generally on the list:

Industry# of BrandsBrand Value ($B)
Total100$2,231.9
Technology20$957.6
Financial Services13$198.1
Automotive11$208.9
Consumer Goods10$123.8
Retail8$133.0
Luxury6$124.1
Beverages4$49.3
Diversified4$56.8
Alcohol3$69.8
Apparel3$34.7
Business Services3$33.5
Restaurants3$73.0
Telecom3$24.3
Heavy Equipment2$36.7
Leisure2$19.8
Media2$34.8
Transportation2$41.1
Tobacco1$12.6

As you can see, technology brands make up 20% of the list in terms of the number of entries – and a whopping 43% of the list’s cumulative valuation.

In total, technologies brands combined for $957.6 billion in value. Even when including Facebook’s recent drop, this is an impressive 9.7% increase on last year’s numbers.

Will the double-digit increases for the world’s largest tech giants continue into 2020, or are brands such as Amazon and Google going to start seeing the same type of pushback that Facebook has grappled with among consumers and regulators?

Subscribe to Visual Capitalist

Thank you!
Given email address is already subscribed, thank you!
Please provide a valid email address.
Please complete the CAPTCHA.
Oops. Something went wrong. Please try again later.

Continue Reading

Advertising

This Giant List of 100+ Marketing Stats Reveals What Actually Works

This massive infographic uses 100+ marketing stats to highlight the tactics that are working in modern-day digital universe.

Published

on

In just the last decade, the marketing world has been dramatically transformed.

Spending on digital media surpassed television ads in 2017, and now global digital spend is anticipated to top $333 billion this year.

As a result, today’s entrepreneurs and small businesses are starting to think about marketing in almost exclusively digital terms – and to have a successful online strategy, it’s important to see the data on what tactics are actually working.

Visualizing 100+ Marketing Stats

Today’s infographic comes to us from Serpwatch and it highlights seven of the most important digital marketing trends to keep an eye on this year.

Along the way, it highlights over 100 useful marketing stats that help to reveal the strategies and tactics that maximize ROI in the online arena.

This Giant List of 100+ Marketing Stats Reveals What Actually Works

It’s well known that digital media tactics – such as using social media, SEO, search, email, and content marketing – all offer unprecedented levels of analytics, customization, and segmentation for the modern marketer.

However, with so much to think about when using these techniques online and at scale, they can also be quite overwhelming.

Luckily, the above list provides some marketing stats that stand out in potentially helping businesses make the most out of their digital campaigns.

Stats That Stand Out

Here are some of the marketing stats from the above list that we thought stood out the most, for each category:

  • Search:
    The top five search results for a keyword on Google get 70% of the clicks.
  • Social media:
    80% of B2B leads come in through LinkedIn vs. 13% on Twitter and 7% on Facebook.
  • Video marketing:
    Video will represent 82% of all internet traffic by 2021.
  • Cold email marketing:
    Emails sent between 10-11am have the highest open rates. Tuesday is the best day to send cold emails.
  • Paid advertising:
    The mobile ad blocking rate has increased 90% year-over-year.
  • Lead generation:
    61% of marketers say generating traffic and leads is their top challenge.
  • Content marketing:
    47% of buyers viewed 3-5 pieces of content before engaging with a sales rep.

Although the digital marketing space is vast, the useful statistics above may help create some clarity for marketers trying to get the most out of their efforts in 2019 and beyond.

Subscribe to Visual Capitalist

Thank you!
Given email address is already subscribed, thank you!
Please provide a valid email address.
Please complete the CAPTCHA.
Oops. Something went wrong. Please try again later.

Continue Reading
Novagold Company Spotlight

Subscribe

Join the 100,000+ subscribers who receive our daily email

Thank you!
Given email address is already subscribed, thank you!
Please provide a valid email address.
Please complete the CAPTCHA.
Oops. Something went wrong. Please try again later.

Popular