 |
Companies spend millions of dollars to
create a brand that captures customer loyalty. When the brand delivers
the promised high quality products and services as well a consistently
positive customer experience, consumers reward the company with high
retention rates and increased spending. If, on the other hand, the
company fails to deliver its promise, customers view the brand with
cynicism and begin to take their business elsewhere. Not only the
integrity of the brand but also trust in the company suffers when a gap
exists between what is promised and what is delivered. It takes hard
work for a company to align its infrastructure and behavior to deliver
the intended customer experience, but those that do have customers loyal
to the brand and to the company.
What’s in a brand?
Companies budget millions of dollars to build a brand that will gain
loyal customers. The purpose of a company's brand is to invoke positive
associations with its products and services. In addition to delivering
the expected products and services, the company promises a predictable
customer experience. When a gap exists between what is promised and what
is delivered, the brand's integrity comes into question, and customers
begin to turn elsewhere.
At its simplest level, a solid brand delivers what it promises.
However, beyond the actual product or services, a strong brand evokes an
emotional and sensory quality that increases customer satisfaction and
loyalty. If our senses are tantalized and our emotions stirred in a
positive direction, then a stronger customer experience results. Think
of the ambience created by Starbucks where sights, smells, and tastes
assemble to entice the customer and where comfortable chairs and a
laid-back atmosphere invite the customer to linger and to re-turn time
after time. |
|
Brands can take on an almost mythical
personality that morphs into its own culture. For instance, Nike has
become synonymous with exceptional athletic performance. As one watches
Michael Jordan soar through the air or a committed athlete drip with
sweat, Nike becomes not only the shoe that enhances sports performance
but also the embodiment of our sports-worshipping culture. In buying
Nike products, the consumer signals his membership in an elite club that
embraces a sports- and fitness-oriented lifestyle and that implies a
desire to do one's very best. If a strong brand lives up to its
promise, then the customer can trust the company to deliver a high
quality product or service as well as a consistently pleasurable
experience that creates long-lasting memories. From a customer
experience perspective, the ambience supporting a brand has almost as
much value as do the products or services themselves. With quality and
ambience guaranteed, a good brand translates into repeat business from
satisfied customers. Marketing studies document the link between
positive customer experiences, increased spending, and customer
retention rates.
Service versus product companies
Is a company held more accountable to its brand message when its product
is tangible? Is it more difficult for a service business to keep a
promise because its products are less tangible? Perhaps it is harder to
understand and assess the customer experience with services than with
products.
<< Back to Insights |
go to page 2 >> |
|
Privacy Statement
