about Simplicity

Simplicity is a small creative marketing & web design company. The concept behind Simplicity is to provide hands-on, practical and creative marketing support for your business to get you up and running; give you a competitive edge, and let you concentrate on your business.

To find out more about us, please click here; or call us to discuss how we can help.

simplify, edition #3

is brand loyalty dead?

What is Brand Loyalty? Typically, brand loyalists have the following mindset: “I am committed to this brand”; “I am willing to pay a higher price for this brand over other brands”; “I will recommend this brand to others”. Brand loyalty is a consumer's preference to buy a particular brand in a product category. It occurs because consumers perceive that the brand offers the right features, images, or level of quality at the right price. This perception becomes the foundation for a new buying habit.

However, is there such a thing as brand loyalty anymore? People have been talking about the declining importance of brand loyalty in marketing arenas for some time now. Many suggest that low switching costs, a seemingly unlimited choice of stores, products and services coupled with the spread of information technology has led to better educated, more fickle consumers who are less willing to place their faith in a logo or a name.

Moreover, the Web is clearly a cause of this shift in shoppers' attitudes toward brands. When Web shoppers' actual behavior is monitored, it demonstrates that brand loyalty is on the wane. The best evidence for this is the rise in use of Internet search engines for shopping - 92 percent of all Web users employ search engines such as Yahoo! and Google to shop or purchase online according to NPD Group. According to DoubleClick, 92 percent of searchers never use brand names in searches before making a purchase. And even those who do use brand names don't start there - they start by using generic names at the outset. Only after their generic searches find some brand names do they search for brands. Then on the other hand I think Playstation vs. X-Box; Apple vs. Microsoft; dog people vs. cat people. And what about that Tommy Hilfiger-like buzz?

Yes! It's alive! When I saw a guy with the Apple logo tattooed on his forehead, I was convinced that brand loyalty is still very much alive! It's just that too few companies focus on assessing where their brands stand or for that matter, what they stand for... And it's obvious which companies do it, and which companies don't. For the first batch, think Starbucks, Virgin or Apple.

in:fact

• Customer loyalty can be worth up to 10 times as much as a single purchase.
• It costs 4-6 times as much to get a new customer as it does to keep a current one.
• A dissatisfied customer will tell 9-15 people about his or her experience.
• Companies can boost profits by 75-100% by retaining as few as 5% of their current customers.
• Repeat customers spend 33% more than new customers - About.com

What makes YOU different? Building loyalty to the point of advocacy like Apple has achieved is about the total brand experience. When shoppers sleep outside of stores just to be one of the first to buy an iPhone, it's obvious that Apple Inc. is a company that enjoys fanatical brand loyalty. However, this brand success is not the result of pure luck or forces beyond Apple's control; it's part of a well-thought-out plan to deliver strong products and create a whole Apple culture. Click on the link below to read the entire article and learn more about Apple's clever way of marketing.

What can we learn from Apple? Brand loyalty is about the whole experience one has with a brand. It has to be EARNED. It does not occur over night. It is a long-term investment. Every time someone interacts with your brand, he or she forms perceptions and memories, - an experience. Don't ignore your brand touch points. EVERY point of contact matters.

Ask yourself, what is it that my product or service does that makes it different? What is it that makes me stand out? What can I do to make my customers not want to consider switching over to other brands? How can I try and attract my competitor's customers to consider switching to my brand? Does my brand evoke the same level of excitement and for that matter loyalty as Apple? If not, WHY not?

Learn more about Simplicity: View our services; or simply contact us to discuss how we can help. You can also download the full article by clicking here: Article download.

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Who? Simplicity is a small web design and creative marketing company. For whom? We specialise in working with small, medium and start-up businesses. Why? Small feet, big shoes; just because you’re a small business does not mean you don’t need to get your message out there in a big way. What’s it all about? We help make your marketing and design matter, be known, be heard, be found; and make the pieces fit. It's not just about your products and sevices, it's about the whole experience. What’s the difference? Personal. We strongly believe in the personal approach to doing business. Creative. We fuse strategy & creativity into one compelling voice. No fuzz. We are practical & hands-on; passionate about what we do; and practice what we preach. Focus. We specialise in working with small companies and start-ups. Ideas. Ideas are the currency of our business. Ideas can have the power to change minds, transform brands and even make a difference to the bottom line. How much? Because we’re a small company without the high set-up costs of larger marketing firms and the fancy London postcode, we don’t charge London rates and are able to pass on some cost savings to our clients. What’s in the mix? [The Roadmap] Marketing Planning & Strategy: Get your marketing up and running. [Image Works] Branding & Brand Identity: Define who you are, what you can see, touch, feel, hear and watch. [A Box Of Chocolates] Demand Generation & Integrated Marketing Campaigns: Integrated marketing in harmony & style. The ideal blend of marketing initiatives. [The Bigger Picture] Website Design: Every website tells a story. Let your website do the work for you. [A Refreshing Change] Website Re-Design: Give your website an inspiring facelift. [The Perfect Pitch] Collateral Design: You don’t get a second chance to make a first impression. What is the concept? Simplexity. The concept behind Simplicity is to simplify complex matters and make the pieces fit. Simplicity, where ideas come to life.