Mkt 421 Week 4 Brand Loyalty
Running head: MARKETING JOURNAL #4
Brand Loyalty
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March 26, 2015
Brand loyalty involves a promise of tangible and intangible benefits that are designed to meet the needs of the customer, thereby creating lasting relationships. A successful brand is not simply a product that receives the most media attention, strong sales, and customer satisfaction. Strong, enduring brands are built with the vision of brand loyalty in mind. “Brand loyalty is the strongest form of brand equity and reflects a commitment to repeat purchases. Loyal customers enable a company to reduce marketing costs, leverage trade relationships, and speak to competitive threats with greater success” (Marshal & Johnston, 2010, p 310). …show more content…
One of the few companies today that can truly speak to brand loyalty is Apple. “By creating an emotional connection with its customers, Apple has done the near impossible – it has acquired a loyal following. Brand loyalty has played a huge part in its global success. There’s no doubt about that” (Goodson, Scott, 2011, p 1). Customers have choices. And often times what causes a customer to choose one product or service over another is the way they feel about the product and how they feel about the organization. Apple’s worldwide success is attributed to a mission statement that resonates throughout each and every part of its operations. “Brand loyalty begins from the inside out. You can’t fool people and loyalty won’t come so easily” (Goodson, Scott, 2011, p 1). Brand loyalty is built through relationships with customers based on honesty, trustworthiness and transparency. It involves reaching out to customers on a personal level and relating the product in an emotional and/or cultural way that will enable them to connect with the company’s passion and dedication for the products they manufacture. Higher sales volume, premium pricing ability, lower costs of advertising, marketing and distribution are just a few of the key elements achieved through brand loyalty.
“Apple’s mission statement doesn’t really talk about what it does; it talks about what it believes in. It reads: “Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and Internet offerings” (Goodson, Scott, 2011, p 1). Customer loyalty doesn’t develop overnight. Nor is it won through attitude or extravagant promises, flashy images or gimmicky designs. “The ability to distill highly complex business concepts into simple consumer propositions is one reason why Apple is one of the most valuable brands in the world” (McKee, Steve, 2014, p 1).
Loyalty is developed through a succession of positive experiences customers associate with the brand.
Each experience should be satisfying and reassuring. Even more important, each experience should build momentum in the customer’s mind, reinforcing the brand as their preferred choice. As experiences accumulate and expectations develop, it is the brand that makes the implicit promise to perform successfully against those expectations.
Loyal customers can and should be the foundation for marketing strategy. Beyond the profit they generate, loyal customers provide the basis for brand development and improvement. The brand that loses sight of its loyal customers has lost its direction, and is prone to lose its market share. Brand loyalty “means people won’t go elsewhere, even if the competition offers lower prices. It keeps revenues high and retains market share. You can see why brand loyalty is a priority for any business” (Goodson, Scott, 2011, p 2).
Brands that are the most successful have developed strong connections with their customers through consistent delivery of credible and meaningful promises. Not only do customers develop deeper attachments to the products, but they give the company value above and beyond repeated
purchasing.
The challenge for marketing into the future involves the concepts of brand simplification and brand loyalty. A single word or a simple concept that envelops the essence of the brand is important. The need to simplify is crucial, not just for businesses with limited resources but because the growing number of media options are becoming ever-more complex. Brand loyalty is vital for the future success of any business because it establishes meaningful connections between manufactures and their customers. If successful, their ability to build trust and loyalty will result in the consumer selecting a particular brand and then continuing to choose it.
References
Marshall, G. & Johnston M. (2010). Introduction to Marketing Management. Marketing Management, Ch. 10-12
McKee, Steve (2014, October 13). Branding Made Simple. Bloomberg Business, Commentary http://www.bloomberg.com/bw/articles/2014-10-13/branding-made-simple Goodson, Scott (2011, November 27). Is Brand Loyalty the Core to Apple’s Success?
Forbes, MarketShare
http://www.forbes.com/sites/marketshare/2011/11/27/is-brand-loyalty-the-core-to-apples-success-2/
Brand Loyalty
XXXXXXXX
XXXXXXXXXXX
March 26, 2015
Brand loyalty involves a promise of tangible and intangible benefits that are designed to meet the needs of the customer, thereby creating lasting relationships. A successful brand is not simply a product that receives the most media attention, strong sales, and customer satisfaction. Strong, enduring brands are built with the vision of brand loyalty in mind. “Brand loyalty is the strongest form of brand equity and reflects a commitment to repeat purchases. Loyal customers enable a company to reduce marketing costs, leverage trade relationships, and speak to competitive threats with greater success” (Marshal & Johnston, 2010, p 310). …show more content…
One of the few companies today that can truly speak to brand loyalty is Apple. “By creating an emotional connection with its customers, Apple has done the near impossible – it has acquired a loyal following. Brand loyalty has played a huge part in its global success. There’s no doubt about that” (Goodson, Scott, 2011, p 1). Customers have choices. And often times what causes a customer to choose one product or service over another is the way they feel about the product and how they feel about the organization. Apple’s worldwide success is attributed to a mission statement that resonates throughout each and every part of its operations. “Brand loyalty begins from the inside out. You can’t fool people and loyalty won’t come so easily” (Goodson, Scott, 2011, p 1). Brand loyalty is built through relationships with customers based on honesty, trustworthiness and transparency. It involves reaching out to customers on a personal level and relating the product in an emotional and/or cultural way that will enable them to connect with the company’s passion and dedication for the products they manufacture. Higher sales volume, premium pricing ability, lower costs of advertising, marketing and distribution are just a few of the key elements achieved through brand loyalty.
“Apple’s mission statement doesn’t really talk about what it does; it talks about what it believes in. It reads: “Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and Internet offerings” (Goodson, Scott, 2011, p 1). Customer loyalty doesn’t develop overnight. Nor is it won through attitude or extravagant promises, flashy images or gimmicky designs. “The ability to distill highly complex business concepts into simple consumer propositions is one reason why Apple is one of the most valuable brands in the world” (McKee, Steve, 2014, p 1).
Loyalty is developed through a succession of positive experiences customers associate with the brand.
Each experience should be satisfying and reassuring. Even more important, each experience should build momentum in the customer’s mind, reinforcing the brand as their preferred choice. As experiences accumulate and expectations develop, it is the brand that makes the implicit promise to perform successfully against those expectations.
Loyal customers can and should be the foundation for marketing strategy. Beyond the profit they generate, loyal customers provide the basis for brand development and improvement. The brand that loses sight of its loyal customers has lost its direction, and is prone to lose its market share. Brand loyalty “means people won’t go elsewhere, even if the competition offers lower prices. It keeps revenues high and retains market share. You can see why brand loyalty is a priority for any business” (Goodson, Scott, 2011, p 2).
Brands that are the most successful have developed strong connections with their customers through consistent delivery of credible and meaningful promises. Not only do customers develop deeper attachments to the products, but they give the company value above and beyond repeated
purchasing.
The challenge for marketing into the future involves the concepts of brand simplification and brand loyalty. A single word or a simple concept that envelops the essence of the brand is important. The need to simplify is crucial, not just for businesses with limited resources but because the growing number of media options are becoming ever-more complex. Brand loyalty is vital for the future success of any business because it establishes meaningful connections between manufactures and their customers. If successful, their ability to build trust and loyalty will result in the consumer selecting a particular brand and then continuing to choose it.
References
Marshall, G. & Johnston M. (2010). Introduction to Marketing Management. Marketing Management, Ch. 10-12
McKee, Steve (2014, October 13). Branding Made Simple. Bloomberg Business, Commentary http://www.bloomberg.com/bw/articles/2014-10-13/branding-made-simple Goodson, Scott (2011, November 27). Is Brand Loyalty the Core to Apple’s Success?
Forbes, MarketShare
http://www.forbes.com/sites/marketshare/2011/11/27/is-brand-loyalty-the-core-to-apples-success-2/