![]() Founder Blake Mycoskie said in an interview with the New York Times, “It’s a competitive advantage if you make a great product and have a larger purpose that people can be a part of.” Instead, most of the space is dedicated to community activities such as yoga classes and movie screenings. Its new brick-and-mortar locations hardly even have shoes in them. Or consider TOMS, an ecommerce fashion and lifestyle brand that first captured customer love by giving away one pair of shoes to charity for every pair that customers bought for themselves. The company hasn’t said why its taking this seemingly backward step in bookselling economics, but industry analysts mostly agree that it’s a smart way to improve its ecommerce business as it will help the online retailer better understand the customer experience and drive online sales. Take Amazon’s new brick-and-mortar bookstore in Seattle, for example. Many brands are finding that customers are turning to offline experiences more and more, so they are experimenting with unique events, pop-up shops, and showrooming. ![]() ![]() Coffee Bars and Comfy Chairs Don’t Cut It Any Longer That means customers talk about, tweet about, pay for, and come back for the "hot towel experience." Customers are loyal to great experiences, so instead of thinking in terms of customer LTV, marketers would be better off trying to create customer return-on-experience. The notion of brand loyalty is changing, and there’s a shift to what I call experience loyalty. Bring the Hot Towel or Get a Cold Responseīecause of this attention problem, along with the fact that products themselves are getting harder to differentiate in a commoditized world, customer retention really requires creating a boutique experience. That’s especially true now that every customer carries a computer in her pocket that can access almost any product or service, along with infinite sources of information and entertainment. Marketers are dealing with a paradox where views get cheaper but real attention gets more expensive. You can’t lose one customer for every one you gain and expect to do anything more than manage your brand’s decline.īut retaining customers can be labor intensive and expensive. Everyone knows that reducing churn, retaining customers, and increasing lifetime value are levers businesses have to pull if they’re going to grow.
0 Comments
Leave a Reply. |