Loyalty Will Destroy You

I don’t think he knew it, by my dad taught me a LOT about the difference between repeat customers and loyal customers.

I vividly remember sitting at our dinner table with his clients feeling  they were part of our family.  This was normal in our household because my parents insisted everyone feel at home;  “If you want something more to drink (eat), go to the fridge and get it, you’re no stranger here.” 

It wasn’t your typical, phoney corporate “let’s invite the client to dinner” thing…no, these people were regular guests…they swam in our pool, attended our birthday parties and believe me, there was nothing for us to hide; and it’s how my dad wanted it.

Be You. Period.

What I learned from this was that my dad wasn’t afraid of who he was … as a person & businessman, & neither am I.  The closest, most personal relationships I have with colleagues, customers, & friends are those that allow me to be who I am – raw, uncut, emotional and never polished.

It’s why my coaching clients & joint venture partners are always welcome in my home – and I don’t just mean that in words, they ACTUALLY come here to socialize, play board games, sit in the backyard for summer barbecues, etc.

My wife and I open not only our home, but our lives because it’s the only way I feel comfortable doing ‘business’.  I feel that too many others are afraid of ‘getting to close’ to their customers and draw a line in the sand between friendship and business.

Well essentially, they’re right, there IS an imaginary line…but I can tell you, if you have a true, authentic relationship IN business you’ll have it IN friendship and vice versa and that allows both of you to know which side you are on at all times.  Go ahead, ask me how I know that.

When we’re asked “why do you do all of this?”  the simple true answer is “because we enjoy having you here.”

It’s not a crock because I value my time, my family and my home.  I don’t need to impress anyone, however, if I DID look at this purely from a business point of view it’s MASSIVE!   How many companies are comfortable opening their lives to their customers and more importantly genuinely LIKE their customer?

You see, this is not about a ‘new world marketing’ strategy, it’s about bringing back the community that my grandmother had at her fruit store.  She knew everyone that walked in and half of them were neighbours that would be at her house three or four nights a week having an expresso and biscotti. Even to this day in my wife’s small hometown in Italy, everyone walks to the single corner store that is owned by a paisono (friend).

Which Do You Want, Repeat or Loyal Customers?

The sense of community has slipped away into the corporate atmosphere of ‘BIG’ business and rallying for massive groups of customers…REPEAT customers.

That’s all fine for them, because repeat customers will always be just that…until someone else offers something better, faster and cheaper.

THAT’S what is challenging to so many businesses today…but was it for my dad or my grandmother?  I don’t think so.  My father NEVER competed on price – he “competed” on reasons beyond faster and better…loyalty…which eventually DESTROYED competition.

So, how will loyalty will destroy you?

I believe if you constantly build your reputation around facts and figures and better and cheaper, you, you’re company and your product / service are commodities and you will be constantly competing for repeat customers.

You’ve ALWAYS got something to prove, you’re constanly stressing for the next sale
and if you make a mistake, good luck.

The businesses/entreprenuers that understand what I’ve just written, and define why they’re in business in the first place, that care more about their customers than anyone else are going to win simply because of loyalty.

What do you think?