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

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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.

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Visualizing the World’s Flower Bouquet Export Market

This graphic highlights global flower bouquet sales in 2021 and how a few countries dominate the entire flower export market.

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Flower Bouquet Exports 2021 Shareable

Visualizing the World’s Flower Bouquet Export Market

For many, flower bouquets are the go-to gift choice when congratulating a colleague, visiting an ailing relative, or simply showing love and kindness to partners and friends.

And the global popularity of these carefully-arranged and vividly-colored bundles has led to the creation of a billion-dollar flower bouquet market. And demand for beautiful bouquets has kept growing, with global flower bouquet exports in 2021 reaching $11 billion—which is a 30.2% rise since 2017.

Louis Lugas Wicaksono uses data from World’s Top Exports to highlight the spread of this industry. In this image, he shows the flower bouquet exports across different countries in 2021.

Countries Trading the Most Flower Bouquets

Far at the top of the list and best known for their tulips, the Netherlands dominated the flower bouquet export industry in 2021.

RankCountryContinentFlower Bouquet Exports (2021 USD)
1🇳🇱 NetherlandsEurope$5.7B
2🇨🇴 ColombiaAmerica$1.7B
3🇪🇨 EcuadorAmerica$927.3M
4🇰🇪 KenyaAfrica$725.5M
5🇪🇹 EthiopiaAfrica$254.5M
6🇧🇪 BelgiumEurope$150.0M
7🇮🇹 ItalyEurope$140.9M
8🇨🇳 ChinaAsia$124.6M
9🇲🇾 MalaysiaAsia$90.5M
10🇨🇦 CanadaAmerica$82.0M
11🇮🇱 IsraelAsia$77.5M
12🇿🇦 South AfricaAfrica$70.4M
13🇪🇸 SpainEurope$69.6M
14🇩🇪 GermanyEurope$65.8M
15🇹🇷 TurkeyAsia$59.4M
🌎 Rest of the world$735.2M

The small European nation exported $5.7 billion worth of bouquets in 2021, accounting for over half of global flower bouquet trade. This dominance comes from centuries of being the world’s largest producer of flowers and being a floral trade hub due to its advantageous location and connections with other growers, suppliers, and wholesalers.

Colombia and Ecuador fall next on this list with their exports totaling $1.7 billion and $927 million, respectively. Roses, carnations, and chrysanthemums are heavily exported from these South American nations.

On the other side of the Atlantic, cut rose flower exports were the leading drivers for Kenya and Ethiopia, earning these African nations $725 million and $254 million respectively.

Together, these five nations contributed to 85% of the world’s flower bouquet trade in 2021.

Post-Pandemic Strategies

Despite the challenges posed by the COVID-19 pandemic, the flower bouquet export industry remained resilient. However, this was not an easy feat.

Many florists embraced new strategies like online sales and free home deliveries, and exporters dealt with global shipping slowdowns. Some countries including Columbia and Kenya focused on producing flowers with longer shelf lives that could be shipped further away.

As we continue to drift away from the pandemic and global trade eases up, we can expect this industry to blossom further.

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