Optimise return on customer loyalty

Robert Passikoff and Amy Shea

Brand Keys

Effective customer loyalty predictors need to consider how the brand measures up to the consumer's category ideal

The question of whether or not brands really need predictive loyalty metrics is only ever asked out of sheer frustration that such a thing exists. After all, what marketer wouldn't want to know what is coming at their category and their brand 12 to 18 months in advance?

Scepticism is especially understandable when one thinks of major brands, such as General Motors, which certainly had neither shortage of research on how to get consumers to consider its cars, nor short-spending on advertising – which tallied in the billions. Was GM making faulty automobiles? Not according to auto reviewers, some of whom thought they were ‘gorgeous, fun to drive, well-equipped’ cars, and even put GM models on a par with German engineering. Yet, one of the largest brands in history was reduced to going cap-in-hand to the US government for financial assistance as it faced the truth – it did not know how to get more consumers to buy its product.