Can You Buy Loyalty?
A study by Accenture showed that more than 50% of people said they had switched a provider in the past year. Nearly 80% said the are switching faster than they did in the past 5 years.
Banks were listed (as well as cable/satellite companies, internet services and retailers) as the most likely victims of people pulling their loyalty. What is really putting fear into businesses is the fact that millennials are not responding to the typical loyalty programs.
“New ‘languages of loyalty’ have emerged, driven by brands experimenting with creative digital experiences, which have changed the dynamics of customer loyalty today,” said Robert Wollan, senior managing director, global lead of Advanced Customer Strategy at Accenture Strategy. “Every consumer has a natural instinct around what makes them ‘stick’ to a brand. The traditional ‘low price’ and ‘reliable service’ mechanics are no longer as effective at driving loyalty.”
The Accenture strategy of loyalty identified several areas driving customer relationships, particularly with millennials. Some of these are:
- Tokens of affection—59% feel loyal to a brand that gives them small tokens of affection, such as personalized discounts.
- Get to know me—41% are loyal to a brand that offers personalized products to create something special. 85% are loyal to brands that safeguard privacy and personal information.
- Thrill seeker—41% are loyal to brands that present them with new experiences,
Kevin Quiring, managing director, Advanced Customer Strategy at Accenture said, “An appetite for extra-ordinary, multi-sensory experiences, hyper-personalization and co-creation, are changing consumer dynamics around loyalty and forcing brands and organizations to shift their approaches and programs.”
Mark Mathis
Mark wrote his first direct-mail fundraising letter in 1981 for the University of Iowa Center for Advancement. The effort raised a few million dollars in undiscovered wills and legacy gifts. From that day forward Mark discovered a love of the big idea that moves the needle.
After 12 years at KWWL, Mark became a business owner as a co-founder of ME&V — rebranded as AMPERAGE in 2015. After 25 years of leading creative teams in video production, graphic design, PR, writing and web development, Mark transitioned out of ownership in 2021. Today he serves in an employee role as special projects consultant.
He is creatively ambidextrous — son of an artist and engineer — and famous for distilling complex ideas down to a few words and a few visuals. Mark is a writer. When he found that many nonprofits struggled with complex branding puzzles, he wrote the book, “NonProfit-NonMarketing .” He also wrote a novel called “Reenactment.”
Mark is an active blogger OneMinuteMarketer® with nearly 1,000 readers each week on LinkedIn, Facebook, Twitter. One of his most popular YouTube videos is on “How to Look Good on Zoom.”
One of Mark’s fondest business memories was being named to INC 500 two times and attending the INC 500 conference with other winners. Mark is considered by some a Civil War expert (and that explains his novel). Mark also served as an adjunct professor in the business and in the communications departments at Wartburg College.
Mark is a graduate of the University of Iowa and is currently vice president of the University of Iowa Journalism and Mass Communications Advisory Board.
Mark is married to state Sen. Liz Mathis, and the two love to travel, even when it means being trapped by a volcano in the Czech Republic for three weeks.