Introduction
In a world of omni-channel marketing, customer experience is at the heart of every sale.
To remain competitive, businesses of all sizes need to ensure that they are creating value for each and every customer with their digital and physical offerings. In a world where consumers have more options than ever before, gaining and maintaining customer loyalty is a must.
Based on HubSpot research, 89% of respondents said that gaining customer loyalty was more important than generating sales. Interestingly, 41% of those respondents said that they used digital channels to gain customer loyalty, while only 28% said they used their physical presence in stores.
To better understand how loyalty marketing and digital channels interact, we need to dive into the nuances of each type of channel.
Digital
The web has changed the game when it comes to customer engagement. Customers can research products and find the best deals online, which means that the funnel starts way before you even lay eyes on the product.
In an era where customers can research products online and compare prices, it’s essential that your brand is available and accessible online. If your company website isn’t doing justice to your brand’s image, consider investing in a custom-designed website that accurately conveys the value that your brand brings to the table.
Customers may prefer to research products online instead of physically going to a retail store due to distance or time restraints. If this is the case, having an online presence is essential. The key to maintaining a viable online presence, however, is search engine optimization (SEO). Essentially, SEO is the process of improving the ranking of your website on search engines (e.g. Google, Bing, and Yahoo). Inbound marketing expert Danny Brown says that SEO is a great way to create value for customers because it drives organic traffic to your site. Organic traffic is free traffic.
The bottom line is that digital marketing is about creating value for customers wherever they are in the funnel—from initial interest to repeat purchase.
Physical
The inbound marketing principle states that customers should own the experience, not the product. With this principle in mind, consider investing in inbound marketing tools that enable you to interact with customers in the most useful and delightful way possible.
Customers prefer to receive physical goods than digital ones. In fact, 68% of respondents to the HubSpot survey said that they would prefer to receive a physical good rather than a digital one. Only 15% said they would rather receive the digital version. This makes sense; after all, what’s the point of having a website if you aren’t going to interact with visitors on your terms?
Inbound marketing expert Andy Crestodina underscores the importance of investing in a physical presence:
“Put yourself in your customer’s shoes for a moment. Imagine you’re searching for a new mattress and stumble upon one of our blog posts. You read the post and decide that it’s valuable information—especially since it comes from a recognized brand. You give us a call and set up an appointment with one of our expert partners. During your chat, you mention that you’re also interested in purchasing a new mattress. We tell you about a couple of our best-selling mattresses and how long they’re on the market. You end up purchasing one of our mattresses and a year later, you’re browsing our website to see if we have any new products. That’s value.”
The Importance Of Online Loyalty Marketing
For decades, marketing experts have advised business owners to focus on customer loyalty over customer acquisition. These experts say that people are less likely to be loyal to a brand, product, or service than they are to someone they feel empowered to fight for. In a world of social media and brand awareness, this is easier said than done.
This concept is even more important today, as 62% of respondents to the HubSpot survey said that they used digital channels (e.g. websites, social media) to research products or services. The key is to focus on developing and maintaining a credible brand identity that customers can trust.
Based on HubSpot research, 89% of respondents said that gaining customer loyalty was more important than generating sales, while only 11% said they used digital channels to generate sales.
Although you may see a correlation between digital marketing and customer loyalty, it’s not necessarily the case. According to HubSpot, 41% of these respondents said that they used digital channels to gain customer loyalty, while only 28% said they used their physical presence in retail stores.
This means that even if you have a strong digital marketing presence, you may still need to ramp up your offline efforts to generate sales. The truth is that with multi-channel marketing, customers can access your brand and gain trust wherever they want, whenever they want. Your job is to ensure that each touchpoint is consistent, valuable, and memorable.