- Customer advocacy is a hot topic in marketing
and customer service circles, and for good reason.
It can be a powerful part of building a strong brand
and creating great business results,
but what is really?
I mean, how do you tap into it?
Let's explore answers to those questions here.
If you do a search for customer advocacy,
you'll find two very different definitions.
One's an internal perspective,
focusing the organization on doing what's best
for customers, creating great experiences for them.
The other is external, customers who advocate for us,
spreading the word about our products, services and brand.
So which is correct?
Both.
Well, at least both are half correct.
Let's put them together.
We can define customer advocacy this way.
Customer advocacy consists of the actions we take
to focus the organization on doing what's best
for customers, which in turn,
rewards us with loyal customers,
who advocate for our products and brand.
Customer advocacy can play out in small and big ways.
It can help guide individual interactions.
The reservation agent mentions to the customer
that hey, if they'd prefer the earlier flight,
it would save $175.
It can be the catalyst to more involved decisions,
such as keeping a customer service department
open on weekends.
And it can be the driver of dramatic change.
When the late Steve Jobs returned to Apple,
and revived its sagging fortunes,
he eliminated some products,
in which the company had invested heavily,
and focused on others that were better aligned
with customer needs.
He said, you've got to start with the customer experience,
and work back toward the technology,
not the other way around.
That's customer advocacy at work.
Customers are advocates
when they positively promote your products and brand.
Brand advocates, as they're often called,
bring much value to the organization.
A McKinsey study finds that word of mouth drives 20-50%
of all purchase decisions.
And according to Bain & Company,
advocate customers spend two times more
than regular customers, and because they stay longer,
have a customer lifetime value five times greater
than regular customers.
And yet, research also shows that fewer than half
of all companies know who their brand advocates are,
and far fewer than that recognize and engage with them.
This is missing a huge opportunity.
Here are four important principles I've seen
in turning loyal customers into brand advocates.
First, don't forget the real reason you have loyal customers
in the first place.
Solve problems for them.
Serve them well, through great products
and customer-focused service.
Ensuring that this happens should be a key focus
of customer service leadership.
Second, enable your customer service operation
to be engaged.
A colleague recently purchased a blender,
and said the choices were at first overwhelming.
The thing that swayed her is that one manufacturer responded
to every low or mediocre rating with an offer to help.
Their comments were right there below the other reviews.
Many of those same customers later posted positive updates.
She went with the brand that was engaged.
Third, find appropriate ways to ask customers
to write reviews.
The owner of a fabulous new restaurant asked me recently
if I'd share my thoughts.
Sure!
I bought a new pair of sports headphones recently,
and received an email from the company founder.
It said, we're passionate about providing great products
and services.
Oh, and if you like your new sports headphones,
would you be willing to provide a testimonial for us?
It was genuine and effective.
Fourth, for your most active advocates,
provide a more involved level of engagement,
such as VIP or inner circle programs.
Recognize them, engage with them.
Make them a part of your eyes and ears
for new ideas and innovation opportunities.
LEGO engages with its customers through design contests
and robotics challenges and fun stories on Facebook
and other sites that introduce new products.
For some dramatic examples,
go to YouTube and search for Red Bull, GoPro or Patagonia,
to see how they engage with biking, surfing,
and other sports communities.
Connecting with advocates doesn't happen by accident.
You need a plan, and a person or a team who's responsible.
And they should be collaborating with
and part of the same efforts you're putting into motion
internally to improve customer experiences.
Connecting and engaging with advocates
is a strategic decision.
It takes leadership to define its importance,
and how you'll approach it.
And when successful, it helps create what some refer to
as the organization's most powerful sales force,
your customers.