People judge brands like their friends

This article outlines some basic rules for companies to build customer loyalty, based on a survey of more than thousand American consumers, reporting that people scrutinize brands in a similar way they look at other people, hence on the basis of warmth and competence.

There are three indispensable lessons brands should bear in mind in order to build consumer loyalty:

1. Brands are people, too

This means that brands that are perceived as warm and competent will be more attractive to consumers.

2. Don't confuse market share with brand loyalty

Companies should keep in mind that having a significant market share doesn’t implicate having loyal customers. When a more appealing brand appears, consumers are likely to switch brands.

3. Integrity is the best loyalty program.

Although it is hard for companies to live by sincerity and selflessness, instead of to strive for short term gain, they are important. After all, organic growth from existing customers is the most profitable and sustainable source of growth.

Assuming companies and brands comprehend this conception, it reveals numerous opportunities for them to create a lasting connection with their customers.

(Forbes)