Customer Loyalty

As I sit in row 3A, on my next flight going to work this weekend, I am greeted by the employees of American Airlines with special attention. From the gate agent, flight attendant and Admirals Club staff I am made to feel exceptional as a traveler. Why? Because I AM exceptional. You see, I am now moving onto 4 million miles traveled on this airline alone which with my Executive Platinum status I have qualified for lifetime Platinum. It's fashionable for those who don't travel often to belly ache about the service, flight delays, cancellations of almost all airlines which also includes AA. They are not perfect. However, they continue to get my business because of their loyalty to ME as I show loyalty to them. For those who might wonder, the airfares are almost the same as the "discount" providers. Often cheaper, and their schedules are great, for me, to be able to connect anywhere in the world.


But this is not an article about an airlines. It's about loyalty to a customer and the extent some companies go through to demonstrate, in REAL terms, appreciation for returning customers on a frequent basis. As I sip my complementary beverage and enjoy the upgraded seating, I think of how few companies REALLY show their most loyal customers their gratitude beyond just giving price breaks and multipliers.

* With some of my customers I have had the opportunity to lead them into "Customer Appreciation" activities. This includes special customer days of communication to award programs much like the airlines do.

* When it comes to employees, I am a big proponent of appreciation for the top percentile of performers in our organizations who are the super stars among the masses. I subscribe fully into an evaluation and performance feed back system like the 20/70/10 rule espoused by Jack Welch (former GE CEO.)

* Firms who have long term supportive vendors and suppliers should be showing them how much they are appreciated, and relied on, for mutual growth and success. This might include an occasional bonus or a special event in which all top vendors are brought in together to experience genuine "thanks" for a partnership above and beyond the norm.

Think about your own firm. What have you actively done differently to demonstrate your loyalty to the customer, rather than merely hoping your customers will be loyal? Here are some facts.

68% will leave because of perceived indifference from a single individual.


70% will leave for greater feeling of connectivity elsewhere.


It takes five times as much time and effort to attract a new customer as it does to retain the one you've got.

This is a top management commitment to go beyond what the competition is doing. You need fresh and innovative ideas!! You may post off what your company is doing on the blog site.
Let me know if you need help with ideas for your firm.
 I have time to think about it as I sit in 3A traveling to my next assignment.