need new customers? then appeal to their senses.
It’s common sense. To attract or retain customers it really is a good idea to make them feel special and valued. The question is how to do it in a way that makes your budget work a lot harder, still delivers the kind of results you expect (or dream of in some cases) and makes you stand out from your competitors?
To change customers behaviours’, change yours
We all, customers included, much prefer to do things because we want to. Things that are ‘have to do’ go on lists of jobs and chores. It’s the same in business. How often do we see vouchers, or hard cash, offered as an enticement to change? Change policy, change account, change service provider. Whatever the reason, is it because everyone does, so we ‘have to’? There are a few things that work against the use of financial customer incentives:
Voucher inflation can be, maybe even is, rampant. Sometime back the going rate was £50 say, then to differentiate someone offered £60, then £75 and so it goes on and on.
The cost of a voucher, a few points discount for volume aside, is pretty much the face value. The more customers you attract or retain, the greater the cost per customer. That’s not good economic sense.
Differentiation is harder than ever. With competition fiercer and customers more mobile, an undifferentiated customer incentive to change (or stay) cannot be truly effective.
What are the options? To acquire customers, or retain your best ones, what turns their heads is the promise of something imaginative, something to savour and something thoughtful and relevant. Be different, be memorable and customers will respond because they want to. That’s if you want to obviously.
Making memories makes sense
Experiences create memories. We all remember places and special moments in time. And who doesn’t love a bit of pampering? Customer acquisition and retention by appealing to the imagination and senses make a lot of sense and potentially many memories.
The price of a memory? A lot less than is commonly thought, and a whole lot less than a voucher. Typically, rewards of an equivalent perceived value can cost 30, 40, 50, 60% less. That’s lots of spare budget to put to good use elsewhere.
Customers will remember a special hotel or spa break, a sumptuous dining experience, an adrenaline rush, a great time with the kids.
They will also remember who made it possible.
Who remembers a voucher?