A direct view in Seth’s thoughts on customer loyalty
Seth Godin is one of the most remarkable marketers active today. He is an author, entrepreneur, and marketing expert, having written over 20 books including bestsellers such as "Permission Marketing," "Purple Cow," and "The Dip." Seth has been publishing Seth’s Blog for over a decade and you would be considered a “wise marketer” if you subscribe to his daily email feed.
The problem with people like Seth is that they are often unapproachable. I was lucky to hear him speak in person at a client event five years ago. Some aspects of his keynote still resonate in my mind. Other than a unique opportunity to hear him in person, how would you be able to have direct time with him and be able to ask him anything you wanted to know about loyalty marketing?
Chat GPT, that’s how.
Seth announced this week that he had created an experimental AI chat bot that has been trained on all 5,000,000 words of his blog. You can find it here. You can ask the AI enabled bot anything you like, but we have already done some of that work for you.
We asked three important questions about customer loyalty to “Seth” and we share the responses here. What you will see in the responses to questions #2-4 is reinforcement of the principles we advocate here and in our Loyalty Academy curriculum as foundational to creating sustainable groups of loyal customers over the long term. When we asked “AI Seth” to define a “wise marketer”, we received a response that we could have written ourselves.
Now you can see the power of AI in our business. It may not be able to beat a Loyalty Consultant in a head-to-head match up but it does give you the opportunity to cull through 10 years of blog posts totaling over 5 million words and make you feel like you were visiting with Seth Godin one on one.
Q #1: Will customers forgive you for making a mistake?
A: Yes, customers will forgive a brand for making a mistake, but it depends on how the brand responds to the mistake. If the brand takes responsibility for the mistake, apologizes sincerely, and takes steps to make things right, customers are more likely to forgive and forget.
If the brand is open, engaged, and focused on making things better, the door is open to building a resilient, ongoing partnership. On the other hand, if the brand fails to allocate enough emotional labor to do the most important part--making things right, they risk losing the customer's trust and loyalty. Additionally, if the brand tries to cover up the mistake, blames the customer, or fails to take action to correct the mistake, customers are less likely to forgive and may even take their business elsewhere.
It's important to remember that customers are human, and they understand that mistakes happen. What they really care about is how the brand responds to the mistake. Brands that prioritize building trust and delivering value to their customers are more likely to be forgiven for their mistakes and to maintain long-term relationships with their customers.
Q #2: How important is Trust in creating long term, valuable relationships with customers?
A: Trust is absolutely essential in creating long-term, valuable relationships with customers. Without trust, there can be no real relationship. Customers need to trust that a brand will deliver on its promises, that it will treat them fairly, and that it will act in their best interests.
Trust is the foundation of any successful relationship, and it's especially important in the context of business relationships. When customers trust a brand, they are more likely to remain loyal, to recommend the brand to others, and to forgive the occasional mistake.
Trust is not something that can be built overnight, but rather it is earned over time through consistent, reliable behavior. Brands that prioritize building trust with their customers are more likely to create lasting, valuable relationships that benefit both parties.
Q #3: Is it really possible to develop truly loyal customers?
A: Yes, it is possible to develop truly loyal customers. However, it's important to understand that loyalty is not something that can be bought or forced.
True loyalty is earned over time through consistent, reliable behavior, and by creating a story that resonates with the customer's values and beliefs. Customers who are truly loyal are not just satisfied with a brand's products or services, but they also feel a deep emotional connection to the brand. They are willing to stick with the brand through thick and thin, and they are more likely to recommend the brand to others.
To develop truly loyal customers, brands need to focus on building relationships with their customers, rather than just selling products or services. This means engaging with customers on a personal level, listening to their feedback, and responding to their needs and concerns. Brands that prioritize building trust and delivering value to their customers are more likely to develop truly loyal customers who will stick with them over the long term.
Q #4: How profitable are loyal customers?
A: Loyal customers can be very profitable for a business. They tend to spend more money over time, are more likely to refer new customers, and are less likely to switch to a competitor. In fact, studies have shown that it can cost up to five times more to acquire a new customer than to retain an existing one.
Additionally, loyal customers are more likely to purchase additional products or services from a brand, and are more likely to pay a premium for those products or services. They are also more likely to provide valuable feedback and insights that can help a brand improve its offerings and customer experience.
Overall, loyal customers can be a significant source of revenue and growth for a business, and it's important for brands to prioritize building and maintaining long-term relationships with their customers.
Q #5: What is a wise marketer?
A: A wise marketer is someone who understands that marketing is not just about selling products or services, but about building relationships with customers. They prioritize delivering value to their customers, and focus on creating a story that resonates with their customers' values and beliefs.
A wise marketer also understands that marketing is a long-term exercise, and that building trust and loyalty takes time and effort. They are willing to invest in their customers and are constantly looking for ways to improve their offerings and customer experience.
Finally, a wise marketer is someone who is humble, empathetic, and effective. They understand that marketing is not about manipulating or tricking customers, but about creating a genuine connection and delivering real value. They are committed to building authentic relationships with their customers and are always looking for ways to improve and innovate.