The other day, I came across an article titled "Opinion: The Cost of a Successful Loyalty Program" by Dan Durbin, a recently retired businessman. In this article, Durbin speaks on his experience when attempting to run a loyalty program.
At first, he struggled to find an example of a program that was capable of providing a margin that led to profits, but he buckled down and made adjustments that he felt he could maintain.
Although facing steep competition from a growing competitor, Durbin and his loyalty program were successful at retaining those much-needed customers. Since installing the loyalty program, his company's margins "have grown by 1.5% and gross margin dollars are off the charts."
While Durbin's example of loyalty is within the B2C market, loyalty among buying customers is often the same between B2C and B2B markets. We're all human, it seems.
I highly enjoyed Mr. Durbin's story and I hope you do, too. It reminded me that loyalty may seem fleeting, but if we really buckle down on our efforts to secure it, we can inspire, motivate, and reward everyone involved.
To read Dan Durbin's story, click here.