Big Dawg loyalty
In the Air Force, I would be the first member of my flight crew to gather prior to a flight briefing. As the navigator of the KC-135 refueling aircraft, it was my responsibility to arrive early and prepare the chart that would detail how we would accomplish our sortie.
One day the Boom Operator rushed into the planning room with a big grin on his face. He stood 6’3”, and was at the maximum allowable weight to still be in the Air Force. He was also a hard-core Harley-Davidson motorcycle rider and we all called him by his nickname, Big Dawg.
So Big Dawg was excited that morning to show me something, and he said: “Hey Nav, look what I got!” He then rolled up his left flight suit sleeve to expose a huge Harley-Davidson logo. I was in shock, and said something silly like, “Wow, Big Dawg! How long do you plan to keep it?”
Obviously, Big Dawg not only had the brand tattooed on his forearm, he also had it on his heart. I won’t share with you some of the not-so-nice-things he would say about the motorcycle competition, but in his mind there was no competition to Harley-Davidson.
What does it take to create the kind of customer loyalty where someone would tattoo their favorite brand on some body part? Forget the tattoo—how can you create the kind of loyalty that would even get customers to come back again, and not consider buying from your competitors?
Let’s take a look at a successful beauty salon business and what they have done to create greater brand loyalty with their customers. John Robert’s Hair Studio is one of the top salons in the country with a retention rate of 70 percent. The average retention rate of a beauty salon is about 35 percent in the United States. A rate of 50 percent is considered acceptable and anything above 60 percent is excellent. In addition, the studio offers their services at a premium price.
According to owner, John R. Dijulius: “It’s the small surprises that impress our clients and do more than anything else to increase our clients retention dramatically.”
Some of those small surprises that their clients enjoy most are the scalp massage they receive before the shampoo, the hand-and-arm massage during the haircut, the makeup touch-up for women, and the minifacial for men during the shampoo. In addition, every hair station has a jewelry cleaner so while the client is getting the hand-and-arm massage, their jewelry is being cleaned.
In addition, John Robert’s offers free bang trims and cleanups any time between scheduled visits. They also provide a free blow-dry lesson so clients can duplicate the look they received at the salon. We don’t think people are tattooing the salon’s logo on part of their body, but the salon’s exceptional service has caused customers to view their service as a necessity instead of a discretionary expense.
According to David Wagner: “Clients want either the best or the least expensive; there is no in-between.”
Do you compete on price and have a no-frills operation that causes your business to be categorized as a common commodity-type venture?
John Robert’s is more expensive than the typical hair salon, but their clientele are willing to pay the extra price because of the extra service and personalized attention. Harley-Davidson Motorcycles are not the least expensive, but many of their loyal followers would never consider owning anything else.
John Robert’s Hair Studio admits there are other salons that also give a great haircut; however, John Robert’s delivers a better experience and clients will spend their discretionary money wherever they feel they have the best experience. You might ask: “Is the experience my customers encounter with my business better than my competitor?” If the answer is “no,” then you should ask some of your customers if they would be willing to pay more for the little extras, or would it cause them to be more loyal to your business.
Brainstorm with your staff the little surprises that you can offer to your customers that will turn them into loyal clients. Many of those things you could offer cost little or nothing, and it can usually be accomplished during your downtime. You may be surprised that your customers will be willing to pay more for your products and services if you offered those little surprises. To survive in a slower economy like we have on Saipan, you need to create Big Dawg loyalty.
(Rik is a business instructor at NMC and Janel is the owner of Positively Outrageous Results. They can be contacted at: biz_results@yahoo.com)