Glossary · Customer Satisfaction
Customer Loyalty
The likelihood a customer keeps choosing you over the alternatives. Earned slowly, lost quickly.
Customer Loyalty in Practice
The Loyalty Pyramid
- Satisfaction - The customer is happy with the last interaction
- Trust - The customer believes you will consistently deliver
- Preference - The customer actively chooses you over alternatives
- Advocacy - The customer recommends you to others
Each level is harder to reach than the last. Programmes that treat loyalty as a discount scheme conflate loyalty with inertia. Real loyalty is chosen, not bought.
Frequently Asked Questions
Satisfaction is what a customer feels about one interaction. Loyalty is the behaviour that emerges from many of them. You can have highly satisfied customers who still churn because your competitor is slightly better. Loyalty requires both emotional commitment and behavioural intent.
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