Brad Sherwood’s Post

Customers loyalty is more fragile than ever, capturing it ahead of the competition is key. This article discusses strategies for maintaining customer loyalty in the face of inflation. As prices rise and purchasing power diminishes, businesses must adopt innovative approaches to retain their customers. Understanding and addressing the impact of inflation on consumer behavior is crucial for sustaining loyalty and trust during economically turbulent times. The importance of transparent communication and value-driven offerings cannot be understated. By clearly explaining price changes and demonstrating the value customers receive, businesses can foster trust and mitigate the negative effects of inflation. Additionally, offering personalized deals and loyalty programs can help maintain customer satisfaction and engagement, even when prices are on the rise. Moreover, the piece highlights the need for businesses to innovate and adapt their strategies to meet evolving customer needs. Investing in customer experience, leveraging technology for personalized interactions, and maintaining a customer-centric approach are key to navigating inflationary pressures. By staying attuned to customer preferences and delivering consistent value, businesses can retain loyalty and thrive despite economic challenges.   Read more here: https://lnkd.in/dymuAbZs #CustomerLoyalty #Inflation #BusinessStrategy #CustomerExperience #HarvardBusinessReview #Innovation #CustomerRetention

Pricing plays a crucial role in shaping customer perceptions and driving business success. To effectively capture customer value, companies must first understand their target audience's needs, preferences, and willingness to pay. This understanding allows businesses to set prices that reflect the perceived value of their products or services, rather than merely covering costs. A variety of pricing strategies can be employed, including value-based pricing, penetration pricing, and dynamic pricing. Value-based pricing focuses on what customers believe a product is worth, ensuring that prices align with their expectations. This approach can enhance customer satisfaction and loyalty, particularly when high-quality products justify a premium price. Additionally, it’s vital for businesses to regularly assess their pricing strategies in light of market trends and customer feedback. Flexibility in pricing can help companies adapt to changing conditions, ensuring they remain competitive and relevant. In conclusion, understanding customer value is key to developing effective pricing strategies that not only maximize revenue but also strengthen customer relationships and brand loyalty. By prioritizing customer insights, businesses can create pricing models that resonate with their audience and drive sustainable growth. #Price The amount of money charged for a product or service, or the sum of the values that customers exchange for the benefits of having or using the product or service. #CustomerValueBasedPricing Setting price based on buyers’ perceptions of value rather than on the seller’s cost. #CostBasedPricing Setting prices based on the costs of producing, distributing, and selling the product plus a fair rate of return for effort and risk. #CompetitionBasedPricing Setting prices based on competitors’ strategies, prices, costs, and market offerings. #TargetCosting Pricing that starts with an ideal selling price and then targets costs that will ensure that the price is profitably met. #PricingStrategy #CustomerValue #BusinessGrowth #MarketTrends #byuhawaii Tserennyam Sukhbaatar Tutehau Hunkin

Here are some valuable tips for successfully increasing the price of a product: ✨ Communicate value: Highlight the value of your product and justify the price increase to meet the expectations of price-sensitive customers. ✨ Be transparent: Explain the reasons behind the price increase to maintain customer loyalty and trust. ✨ Improve customer perception: Set prices based on customer needs and perceived value to enhance the impression of quality and trustworthiness. ✨ Build customer loyalty: Strengthening customer loyalty can lead to increased purchases, premium pricing, and positive word-of-mouth promotion. ✨ Increase market share: Growing your market share provides more flexibility to raise prices without facing intense competition. ✨ Consider prestige pricing: Leveraging prestige pricing focuses on exclusivity and image, making consumers more inclined to purchase high-priced products seen as prestigious. ✨ Adjust product amounts: Pricing a product higher can elevate its perceived value, attracting a larger pool of buyers. Implementing these strategies can help businesses effectively navigate price increases and enhance overall market positioning. #BusinessTips #PricingStrategies #CustomerPerception

Discounts Aren't Always the Answer👌 In a market where your product is well-loved, used regularly by your customers, and faces little competition, offering discounts might actually diminish the perceived value of what you offer. Why? Because discounts can send the wrong message. They can imply that your product isn't worth its full price or that you're struggling to attract customers. But when your product is genuinely good, customers will happily pay for the value it provides without needing a financial incentive. Instead of discounting, focus on enhancing the customer experience, delivering consistent quality, and adding more value. This approach not only reinforces your product's worth but also strengthens customer loyalty. Remember, confidence in your product is key. If you believe it's worth the price, your customers will too. #ProductStrategy #PricingStrategy #CustomerValue #BusinessGrowth #Marketing -——————————————————————————————— This post emphasizes the importance of maintaining the perceived value of a product when it's already well-received and has little competition.

#Price Matching Price matching is a powerful pricing strategy that retailers use to stay competitive, attract price-sensitive customers, and build customer loyalty. This strategy allows retailers to maintain their competitiveness and appeal to cost-conscious consumers without permanently lowering their prices. #PriceMatching

Over the past few years, we have witnessed a fundamental shift in the approach to loyalty programs. This evolution is driven by a dynamically changing market environment and growing customer expectations. In the era of digitalization and globalization, customers have unlimited access to information and choices. This forces companies to find new ways to stand out and build lasting relationships with consumers. ➡️ Traditional Loyalty Program In the traditional model, a loyalty program existed as an add-on to the main business activities. It was an external tool designed solely to reward repeat transactions. In this scenario, the loyalty team often competed with the sales team, as the brand offered both general promotions for all customers and exclusive deals for club members. ➡️ Mature Loyalty Program In the mature model, loyalty is not just an end goal but the foundation of the entire business ecosystem. This approach enables better understanding of customer needs, personalization of offers, and creation of added value at every stage of the purchasing journey. Today, loyalty programs have become an integral part of business strategy. They are not merely tools for rewarding customers but crucial elements in building long-term relationships and enhancing brand value. 🔍 What does it mean in practice? Building an entire business around a loyalty program can yield tangible benefits, such as: ✅ Increased customer engagement  ✅ Higher customer lifetime value (CLV)  ✅ Greater market competitiveness Is your loyalty program an integral part of your business strategy? It's time to shift your approach and fully leverage the potential of loyalty! Let’s connect and let us to create something extraordinary for you and your customers! #loyaltyprogramstrategy #businessgrowth #loyaltyapproach

Loyalty programs are often seen as the silver bullet for brands, but measuring their impact is far more complex. Brands need to focus on metrics like incremental revenue—revenue that wouldn’t have happened without the loyalty program. This comes from increasing customer retention, average order value, or purchase frequency. One common mistake? Comparing loyalty members with non-members as a metric for program success. This method is flawed with a self-selection bias, where customers who join the program tend to already be more loyal. In my next post, I’ll delve into how to accurately calculate incremental revenue and ROI.

Mistakes and lessons in Coupon Campaigns 🤑 Decision: Set an overly ambitious discount rate to attract more customers to our coupon campaign. 💸 Outcome: High initial traction, but profitability suffered as the campaign progressed. ❌ Mistake: Underestimating the long-term impact of aggressive discounts on the bottom line. 📈 Lesson: Balance is key! Opt for moderate discounts that attract attention without compromising profitability. Focus on building customer loyalty over time rather than relying solely on short-term gains. #DiscountStrategy #MarketingLessons #Profitability

Mistakes and lessons in Coupon Campaigns 🤑 Decision: Set an overly ambitious discount rate to attract more customers to our coupon campaign. 💸 Outcome: High initial traction, but profitability suffered as the campaign progressed. ❌ Mistake: Underestimating the long-term impact of aggressive discounts on the bottom line. 📈 Lesson: Balance is key! Opt for moderate discounts that attract attention without compromising profitability. Focus on building customer loyalty over time rather than relying solely on short-term gains. #DiscountStrategy #MarketingLessons #Profitability

Agree with the framework : Loyalty drivers influence customer attitudes (Heart, Mind and Value) that ultimately impacts behavioural loyalty. Good work Epsilon APAC & MEA, I would recommend anyone want to dig deeper on loyalty to read this study!