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Why Customers Come Back: How to Create Lasting Customer Loyalty

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Loyal customers are the most important asset of any company-more important than land, patents, equipment, or buildings. While finding new customers is often expensive, time-consuming, and ultimately unprofitable, retaining old customers is surprisingly easy and highly profitable. Companies with a loyal customer base enjoy greater profitability in good economic times and can depend on their loyal customers to help them survive difficult ones.

Many businesses display banners proclaiming "Build Customer Loyalty!" but offer no training or tools to accomplish this mission. It is the moral equivalent of an athletic coach cupping his hands around his mouth and yelling at his players, "Score more points!" Why Customers Come Back is not about slogans, banners, or promotions. It is about discovering and utilizing specific activities that will make your customers buy again and again and tell the world why everyone else should buy from you too!

It isn't until a customer buys from you a second, third, or fourth time that you actually see any profit. So learning how to retain customers is far more important and profitable than chasing new ones. Even a seemingly negligible increase in repeat business-just five percent-produces a whopping 60 percent increase in profits.

What customers want today may fall out of favor tomorrow. American business is a fickle master. Technology, the Internet, and overnight delivery to anywhere in the country have made every business global-mom-and-pop corner stores must now compete with businesses thousands of miles away. Customer loyalty levels the playing field. It is the ultimate competitive advantage.

The practical advice in Why Customers Come Back is based on the real buying habits of real customers. The five principles to follow are not brain surgery. Business people, entrepreneurs, corporate leaders, and front-line employees can understand, embrace, and implement them right now.

About the Author

Customer spending habits and loyalty have been Manzie Lawfer's avocation for more than 25 years. Though he did not invent the five principles featured in Why Customers Come Back, he discovered them through hundreds of interviews with consumers, captains of industry, and business leaders. Lawfer consults, lectures, and conducts workshops throughout the United States.

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