Seth Godin outlines a simple loyalty lever product manufacturers can use:
If you put a little less in the box, people will run out sooner and have to buy more.
If you give people a little more for their money, they'll purchase less often, but become more loyal.
Most big companies are in the "little less" camp. Think: giant chip bag that's full of mostly air. "Warning: measured by weight, not volume" with a bag the size of a swimming pool.
Which is why store brands and cheap substitutes eat into their market share.
A little more can even be a complementary product. Sell a book, throw in a few bookmarks. Sell a dress, throw in a scarf.
Measure the different levels of customer loyalty with Repeat Customer Insights. It uses various models to segment and grade your customers based on their behavior.
Eric Davis
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