Earn Loyalty from Customers – Differentiate the Relationship

I want to share some of my takeaways from Masters of Loyalty by Duane Sparks (sequel to Action Selling).  The best start I could think of was to introduce you to Mary-Ellen Berg. For the past 5 years, she’s been one of a few people in my personal life who calls me on the phone with regularity. She asks what is new in my life, what projects we’ve worked on around the house and how my parents are doing. We share a love of family, Disney and our dogs. I cried when she lost her dog and she’s supported me on Facebook as mine continues to decline. I consider her a friend and I tell people about her all the time. Mary-Ellen Berg is my realtor, a real-life Master of Loyalty.

She delivered a beyond-exceptional experience to friends of mine and then to me upon their referral. She sold my first house at asking price, in 3 months, during the recession. She’s knows what she’s doing, she’s good. She’s also dedicated – she stayed with us on our 9 months home search through 45 on-site visits during snowstorms, mud season and one hot, humid summer before we found the home that met our somewhat unique needs. With that time investment, I would not have faulted her for ending the relationship or minimizing time with us. Instead, she continued to make us feel like we were her only client. She consulted us, counseled us out of negative situations and ensured we were in the best position with the best resources through the sale. She maintains this status by keeping our relationship warm and staying aware of any shifts in our needs. In addition to the phone calls, she also sends monthly snail-mail letters and for her more local clients, sometimes leaves little gifts like a plant on their doorsteps.

Mary-Ellen Berg is an excellent introduction to Masters of Loyalty because she exemplifies a lesson that Sparks highlights – if you differentiate yourself once, you make a sale, but if you consistently differentiate the relationship, you can create a loyal customer. A loyal customer is someone who isn’t simply satisfied, it is someone who has stopped shopping and cannot be tempted away.  Loyal customers aren’t responding to fancy marketing or flash sales, they respond to the relationship a representative built with them that they consider too valuable to give up.   

Sparks cites the following figures:

  • 75% of customers leave a supplier due to lack of a relationship (20% will provide this reason)
  • 10% of customers leave because their needs have changed (Salespeople think 1/3 leave for this)
  • 25% of customer say they left for a better price (Salespeople believe this is 50% of the reason)
  • 75% of customers who left say they were satisfied or very satisfied when they left.

These stats highlights a gap: on average, representatives don’t engage with their customers enough. At the same time – they demonstrate an opportunity. Action Selling teaches us how to best engage customers, but learning to be a Master of Loyalty causes us to take that practice a step further.  After we did the work to develop a relationship and close a sale, we can differentiate ourselves by planning to continue engaging these customers by reaching out to them long-term with sincerity. A commitment objective can be as simple as gaining agreement from the customer that he or she is more than just satisfied with the experience we are providing.

How many people in your personal life or professional career have made you beyond satisfied and achieved loyalty? There is one in mine. One. There is room for you to stand out in your world.

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