The ENTERTAINER business’s Chief Revenue Officer, Vaibhav Goel, dives into how brands can assess and improve their engagement levels. Read on to discover more.
A loyal customer base is the backbone of any successful brand. To achieve this, your business needs to provide experiences that motivate and inspire buyers to return repeatedly. There are different ways to measure customer loyalty, such as:
- Brand advocacy.
- Repeat transactions.
- Positive feedback.
However, loyalty is not an instant accomplishment; it requires time and effort. That's why it's crucial for brands to create and maintain positive interactions with their customers. Although loyal customers tend to make more frequent transactions, building a lasting relationship with them and a gradual shift in their consumption behavior is the key to long-term success.
Even with a loyal customer base, it is important for brands to evaluate the level of engagement that their customers have with their brand. It is possible for customers to be loyal, yet not fully engaged with the brand. This lack of engagement can limit a brand’s growth potential and hinder its ability to acquire new customers.
So, how can brands evaluate the engagement level of their customers? Here are a few ways:
Social Media Presence: This is a great way to measure the engagement level of customers. Brands can analyze the number of likes, shares, comments, and followers on their social media accounts to gauge how engaged their customers are with their brand.
Customer Feedback: Regularly asking for customer feedback through surveys or reviews can provide insight into the level of engagement customers have with the brand. If customers are satisfied with the brand’s products and services, they are more likely to provide positive feedback.
Repeat Purchases: This is a good indicator of customer loyalty. However, brands should also pay attention to the frequency and amount of each purchase. Higher frequency, incremental amounts, and cross-category engagements suggest a deeper level of engagement with the brand.
Customer Retention: Brands can measure customer retention by analyzing the number of customers who continue to make purchases over a certain period and comparing them against non-engaged customers. A higher retention rate of engaged vs non-engaged customers suggests that customers are engaged with the brand and find value in its products and services.
Once brands have evaluated the engagement level of their customers, they can take steps to improve it as follows:
Personalization: Personalizing products and services to meet the needs of individual customers can increase engagement. Brands can use customer data to create best-fit offers, recommendations, and relevant promotions.
Rewards Program: Implementing a rewards program can encourage customers to make repeat purchases and increase their engagement with the brand. Rewards can include instant discounts, free products, or exclusive access to events or allow them to accumulate points for bigger rewards, or have a hybrid model that is more relevant to influence consumer engagement.
Communication: Regularly communicating with customers through email, social media, or other channels can increase engagement. Brands can share news about new products, promotions, or other relevant information to keep customers informed and engaged.
To sum up, this means that while customer loyalty is crucial for the success of a brand, it’s just as important to also evaluate the engagement level of customers. Brands can use various metrics to evaluate engagement and take steps to improve it. By doing so, brands can increase customer retention, drive repeat purchases, and acquire new customers.
Get in touch with our loyalty marketing experts today for more details, whether you want to improve your existing loyalty program or create a new one from the ground up.