Earning customer loyalty with your supply chain
Earning customer loyalty with your supply chain
The term “loyalty” is a huge one. Most business choices, it may be said, can be traced back to the principle of creating, growing, or enhancing customer loyalty, because it leads to increased revenues and repeat purchases, as well as improved customer satisfaction, advocacy, and brand love. According to a study conducted at Northwestern University’s Kellogg School of Management, up to 15% of a company’s most loyal consumers account for 55–70 percent of overall revenue.
Loyalty is a feeling that arises from interacting with a company in a variety of ways, from unique in-store experiences to discounts or coupons. However, as digital commerce expands, every point of contact throughout the supply chain becomes a chance to establish loyalty. When getting a meal delivery, for example, the delivery firm has the ability to enhance the experience and drive loyalty by providing a gift, a coupon, or simply by establishing a standard of service for how delivery employees should perform upon arrival. In some ways, as retail and food shift away from physical establishments, there’s a void for beautiful moments like free samples with a cosmetics purchase.
Simultaneously, technology is introducing new touchpoints to connect and delight consumers along the supply chain, such as real-time communication and visibility with drivers, the ability to rate and review services, and an overall layer of transparency. All of this allows customers to choose the most convenient delivery alternatives for them, such as click-and-collect, one-hour deliveries, or a specific delivery window.
Businesses must consider a few things that will help them to utilize the supply chain to fuel consumer loyalty as they continually search for methods to enhance and optimize the supply chain with customers in mind:
Where does loyalty lie? This is especially important for firms that outsource their delivery logistics to a third-party supplier. Many business owners seek to quickly expand their delivery capabilities by partnering with third-party delivery logistics businesses. The dilemma is whether the consumer would think of your brand first or the delivery service first. While Domino’s owns the brand experience across the supply chain (from truck branding to the logo on the hat), rival businesses that use a third-party delivery partner can’t connect or roll out their loyalty programs or marketing initiatives. So, if you’re using a third-party delivery service, consider how you can make your brand and experience stand out so that customers stick with you.
Who is the face of your business? When a product is delivered, cashiers, waiters, front-of-the-house doormen, and other critical customer-facing positions are removed from the equation, it is critical for businesses to train, prepare, brand, and equip drivers and delivery workers properly. After all, they are the company’s face, and how they engage with consumers has a significant impact on their overall happiness. In addition to delivering excellent customer service, delivery personnel should transmit brand messaging, wear your logo, and present marketing items such as vouchers, future deals, or samples.
How can I compensate for the lack of physical activity? When companies are unable to rely on a controlled environment in which to thrill consumers and pull out all the stops to pamper them with a memorable experience, the battle for their hearts and minds becomes even more intense. Some businesses are becoming innovative to guarantee that their clients experience the enchantment of retail. High-end luxury firms like Ralph Lauren and Louis Vuitton, for example, gift wrap every online order and include the retail bag in the package. Other retailers add stickers and freebies in their delivery to surprise and delight consumers. Companies will have to think harder as competition grows and delivery becomes the norm to discover ways to surprise customers with acts and gestures that make them feel cherished and pampered.
While convenience, speed, and service are important aspects of delivery logistics, customer loyalty should be at the top of the priority list. It’s time for businesses to make every interaction with their customers as memorable as possible, resulting in long-term brand affinity and customer loyalty.
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AMG Logistics is a Lagos-based TRACE certified logistics company. Our services include Freight Forwarding, Customs Clearance, Trucking, Distribution, and Warehousing within Nigeria.
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