Whose job is it to create member / customer loyalty for your organization?
Account managers? Customer service reps? Maybe YOURS?
You may even have a team in your organization dedicated to the client experience, like we do.
According to our VP of Client Success, Emily Hayes, EVERY SINGLE employee is an important player in the member retention and satisfaction game. From web designers to shipping clerks to payroll representatives, each employee should understand how their efforts contribute to happy members.
Because when organizations get it right, and members are loyal, the payoff can be huge. Research shows that 81% of emotionally connected consumers will not only promote the brand among their family and friends, but they will also spend more.
And we’re not talking pennies.
Repeat customers spend 67% more than new ones, according to one study.
So…member retention, engagement and loyalty are clearly a big deal.
But what about the employees at your organization… the ones expected to create engagement-invoking, loyalty-inducing experiences for your members?
What about THEIR retention, engagement and loyalty? Does THAT matter?
Human resource departments are typically tasked with keeping workers happy. And in the tightest labor market the U.S. has seen in 5 decades, HR professionals are learning that it absolutely matters.
Engaged Employees Lead to Engaged Customers
Studies show that if you are looking to engage customers, the best place to start is with engaged employees. In fact, a study conducted at Cornell University linked companies on Fortune Magazine’s Best Companies to Work For with higher customer satisfaction scores.
The payoff comes in both retention and revenue. One report suggests companies with engaged employees see 233% greater customer loyalty and a 26% greater annual increase in revenue.
We’ve written before about how engaged employees = engaged customers, but it’s never been more evident than it is today.
The unemployment rate recently descended to 3.7% - the lowest it’s been since 1969 when millions of men were pulled out of the workforce by the Vietnam War Draft. The Fed considers the “natural” rate of unemployment to be between 4.5% and 5%. So at a rate this low, there are more open jobs than workers to fill them.
And, frankly, it’s impacting the customer experience.