The Internet Test of Brand Loyalty

 

I think the feeling of continuing loyalty with great passion under any circumstances like you are “addicted” might be a good starting point for defining “loyalty”. “Loyalty” is the final goal of every brand. The gains brought through promotions, special offers, platforms where consumers can make financial gain and incentives are no more than “conquering paper castles” for brands. Sports club fans’ loyalty to their team colours examines “being together in good times and in bad” as in a wedding vow. Brands would like to have a catholic wedding with their consumers sooner or later.

In 2000s, we became a “the-emperor-has-no-clothes” type of society. We learn how much brands keep their promises not from themselves but from their testers’ experiences whilst information technology introduces us to the depth of all kinds of information that we cannot even dream of. We see hints of brand loyalty in the comments sections when comparing products on the Internet.

When we look at the examples of brand loyalty these days, we witness that the managers of these brands gradually build sensitivity towards their consumers with love and patience. We see that brand loyalty has entered a very significant period that it will never be able to enter again in the history of brands. Let us first look at the reasons for this, and then the examples of it.

First of all, “brand equity” is still the reason d’être of companies. It’s a figure which is checked first in mathematical terms as the main driver of both brands and company valuation. These indicators lie at the core of research on the world’s most valuable brands or companies.

Loyalty is one of the first elements which has a multiplier effect among these indicators. Loyalty is still the main element that flies the flag for brand representation. Consumers themselves fly the flag. Consumers play the key role in making new consumers join the club. If they have brand loyalty, of course!

Loyalty provides new product development opportunities for the ones who know how to use these opportunities. Consumers’ comments, criticism and expectations about brands are full of innovative ideas. Expectations of the consumers who have brand loyalty are as scarce as hen’s teeth for filling gaps in the market. These ideas can help create new inventions, products or services which may change the market direction.

Loyalty is still a concept beyond the limits of a single industry. In other words, practices regarding brand loyalty do not belong only to the industry where a brand is represented. An unsuccessful retail practice can turn into a very successful loyalty program for the automotive industry.

The meaning and value of brand loyalty are understood in “hard times”. Loyal consumers can come together for a brand even if they do it emotionally. They look after it. They provide full support so that the brand can stand up against its competitors.

When we look at the other side of the coin, we see that two things are required to actualise the above-mentioned things about brand loyalty: trust and experience. Brands must provide trust beyond all question in terms of what they do, say and promise, and they must encourage their consumers to experience this trust.

If we consider how much internet technology occupies in our lives, we will see that “moment marketing” is moving at a gallop. If people end their intention of online purchasing by comparing products and prices, and spend money mostly based on their tendencies to benefit from promotions and special offers, “loyalty” will be nowhere to be seen. Brands whose existence depend on these policies have an uncertain future! They especially keep away from the opportunities for experiencing loyalty or think that these opportunities are a waste of time! Consumer participation is still a precondition for brand loyalty. However, they do not have that much time!

Standing by your words is, of course, the first one of the main rules which haven’t changed on the path to brand loyalty. However, I think the second rule, surprising consumers when compensating for faults / mistakes, plays a significant role in opening the doors of loyalty. Because that’s where stories begin. Stories that are worth recounting and sharing with others are hidden in this “surprise“. Resentful consumers suddenly become loyal consumers. An information desk employee who shows empathy towards consumers is among important input into the loyalty program.

Let’s have a look at the leading brand loyalty roles.

Apple. I see Apple as a brand which will have a privileged part in the history of brands in terms of loyalty. When I scanned the Internet for this article, I saw that Apple had such a different place which could not be compared to other examples. How did a brand, which is not even 40 years old yet, establish such loyalty?

Steve Jobs’ vision and leadership are, of course, the number one elements in the creation of Apple’s identity and character. In the mid-90s, Apple went financially bankrupt, lost its best employees and had nearly no consumer trust. When Jobs returned to Apple, the company that fired him, he defined the strategy that brought it to this day as “think different”. He was actually preparing the roadmap to brand loyalty.

If we talk about “brand loyalty” after those days, we need to look at the kilometres-long queues created in front of Apple stores before an Apple product is launched. What makes consumers get into this situation which can be seen as torture by others? What motivates consumers to become happy since they have the same tastes with tens of strangers in a queue for Apple products? I think this emotional bond is a journey no other brand can make.

Products, quality, design… They cannot ensure loyalty on their own. These features are already included in the design of Apple. Apple’s difference is hidden in its policies which can establish an emotional bond through consumer participation and experience. To be able to achieve this, you should build “trust“. Trust can be gained by ensuring that the principles of “transparency and accountability” penetrate into all the areas where a brand is managed, into the heart of that brand.

We are talking about a process whose realisation can take tens of years although it seems easy on paper. For instance, there was only a picture of Nelson Mandela on Apple’s website when Nelson Mandela died. Not a product or anything else! The new Apple centre, which is being built, can be given as another example. There are a lot of clues about identity and character in terms of the world’s sensitivity to the matter of climate change in this centre. Apple stores are examples of enterprise that no other brand can venture into. We come across many more examples in Apple’s DNA.

Apple established this loyalty by marketing its identity and character. In fact, this issue lies at the core of global competition. In 2000s, we found out that elements which can reveal our identities and characters such as what kind of a company we are, who we are managed by, how sensitive we are to social matters considering the entire society are the main input into brand loyalty.

In recent years, Apple has tested its identity and character through sensational developments that can happen to any brand. For instance, accusations about violation of human rights against its suppliers in China, moving its headquarters to Ireland due to high tax amounts in the USA or the pressure FBI put on Apple so that the company breaks the codes of iPhones found on terrorists within the scope of terror investigations. These kinds of front-page headlines that can be seen in every part of the business world have not decreased the level of consumers’ loyalty to Apple. Apple carries on as the world’s most valuable brand and a company which is worth more than the Turkish Republic’s GNP.

On the other hand, Samsung, which have recently likened loyal Apple consumers to “sheep” and defined them as “isheep” is obviously in no good shape as a brand. In the coming years, we’ll see what kind of a loyalty program Samsung can employ as a mobile phone brand which can be dangerous during flights.

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