{"id":28662,"date":"2021-04-15T08:25:18","date_gmt":"2021-04-15T15:25:18","guid":{"rendered":"https:\/\/paladinpointofsale.com\/retailscience\/home\/?p=28662"},"modified":"2025-09-22T15:14:53","modified_gmt":"2025-09-22T22:14:53","slug":"rs-radar-customer-loyalty-is-key","status":"publish","type":"post","link":"https:\/\/paladinpointofsale.com\/retailscience\/home\/rs-radar-customer-loyalty-is-key\/","title":{"rendered":"RS Radar: Customer Loyalty is Key"},"content":{"rendered":"

[et_pb_section fb_built=”1″ fullwidth=”on” _builder_version=”4.16″ background_color=”rgba(0,0,0,0.29)” global_colors_info=”{}”][et_pb_fullwidth_post_title meta=”off” featured_placement=”background” _builder_version=”4.16″ title_font=”|700||on|||||” title_text_color=”#FFFFFF” title_font_size=”30px” background_color=”rgba(0,0,0,0.56)” text_orientation=”center” custom_padding=”15%||15%” text_shadow_style=”preset2″ parallax_effect=”on” module_bg_color=”rgba(255,255,255,0)” use_border_color=”off” border_color=”#ffffff” border_style=”solid” global_colors_info=”{}”][\/et_pb_fullwidth_post_title][\/et_pb_section][et_pb_section fb_built=”1″ admin_label=”section” _builder_version=”4.16″ global_colors_info=”{}”][et_pb_row admin_label=”row” _builder_version=”4.16″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” custom_padding=”54px|0px|18.95px|0px|false|false” global_colors_info=”{}”][et_pb_column type=”4_4″ _builder_version=”4.16″ custom_padding=”|||” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text admin_label=”Intro” _builder_version=”4.16″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” vertical_offset_tablet=”0″ horizontal_offset_tablet=”0″ z_index_tablet=”0″ text_text_shadow_horizontal_length_tablet=”0px” text_text_shadow_vertical_length_tablet=”0px” text_text_shadow_blur_strength_tablet=”1px” link_text_shadow_horizontal_length_tablet=”0px” link_text_shadow_vertical_length_tablet=”0px” link_text_shadow_blur_strength_tablet=”1px” ul_text_shadow_horizontal_length_tablet=”0px” ul_text_shadow_vertical_length_tablet=”0px” ul_text_shadow_blur_strength_tablet=”1px” ol_text_shadow_horizontal_length_tablet=”0px” ol_text_shadow_vertical_length_tablet=”0px” ol_text_shadow_blur_strength_tablet=”1px” quote_text_shadow_horizontal_length_tablet=”0px” quote_text_shadow_vertical_length_tablet=”0px” quote_text_shadow_blur_strength_tablet=”1px” header_text_shadow_horizontal_length_tablet=”0px” header_text_shadow_vertical_length_tablet=”0px” header_text_shadow_blur_strength_tablet=”1px” header_2_text_shadow_horizontal_length_tablet=”0px” header_2_text_shadow_vertical_length_tablet=”0px” header_2_text_shadow_blur_strength_tablet=”1px” header_3_text_shadow_horizontal_length_tablet=”0px” header_3_text_shadow_vertical_length_tablet=”0px” header_3_text_shadow_blur_strength_tablet=”1px” header_4_text_shadow_horizontal_length_tablet=”0px” header_4_text_shadow_vertical_length_tablet=”0px” header_4_text_shadow_blur_strength_tablet=”1px” header_5_text_shadow_horizontal_length_tablet=”0px” header_5_text_shadow_vertical_length_tablet=”0px” header_5_text_shadow_blur_strength_tablet=”1px” header_6_text_shadow_horizontal_length_tablet=”0px” header_6_text_shadow_vertical_length_tablet=”0px” header_6_text_shadow_blur_strength_tablet=”1px” box_shadow_horizontal_tablet=”0px” box_shadow_vertical_tablet=”0px” box_shadow_blur_tablet=”40px” box_shadow_spread_tablet=”0px” use_border_color=”off” global_colors_info=”{}”]Turning shoppers into loyal customers has long been a challenge and an objective of any business. Building customer loyalty in an age when<\/span>\u00a0<\/span>the coronavirus pandemic has more people shopping online, fewer venturing into stores, and more switching brands\u00a0<\/span>has made the\u00a0<\/span>difficult\u00a0<\/span>chore even harder<\/span>.<\/span>\u00a0<\/span><\/p>\n

A pair of reports conducted in 2020 show how drastically the pandemic affected shoppers\u2019 preferences.\u00a0<\/span>A\u202fJuly r<\/span>e<\/span>port<\/span>,<\/span>\u202ffrom\u00a0<\/span>the\u00a0<\/span>communications firm Ketchum<\/span>,<\/span>\u00a0<\/span>showed that\u00a0<\/span>45% of American shoppers\u00a0<\/span>had\u00a0<\/span>altered their brand preference\u00a0<\/span>because of the pandemic closures and restrictions.\u00a0<\/span>A month later,<\/span>\u00a0a\u00a0<\/span>report<\/span><\/a>\u00a0from McKinsey & Company showed that\u00a0<\/span>the\u00a0<\/span>number had grown to\u00a0<\/span>75%.<\/span>\u00a0<\/span><\/p>\n

Why the changes? The pandemic is to blame on\u00a0<\/span>al<\/span>m<\/span>ost<\/span>\u00a0<\/span>all\u00a0<\/span>levels. Disruption in production caused by\u00a0<\/span>factories and mills being shut down\u00a0<\/span>affected\u00a0<\/span>supply chains<\/span>\u00a0at their roots. Stay-at-home restrictions changed the way everyone shopp<\/span>ed<\/span>,<\/span>\u00a0communicated, taught their kids, and entertain<\/span>ed themselves.<\/span>\u00a0<\/span><\/p>\n

The McKinsey study expects these changes to turn into permanent behavior for many Americans with upwa<\/span>rd of 60%\u00a0<\/span>planning to<\/span>\u00a0stick with\u00a0<\/span>their new ways<\/span>\u00a0<\/span>after the pandemic has abated.<\/span>\u00a0<\/span><\/p>\n

Value<\/span><\/b>\u00a0and<\/span><\/b>\u00a0Convenience\u00a0<\/span><\/b>are<\/span><\/b>\u00a0<\/span><\/b>N<\/span><\/b>ow<\/span><\/b>\u00a0<\/span><\/b>K<\/span><\/b>ey<\/span><\/b>\u00a0<\/span><\/h2>\n

Where shoppers would go out of their way to shop for certain products and brands<\/span>, or a<\/span>t<\/span>\u00a0specific stores<\/span>, the pandemic\u00a0<\/span>stopped those behaviors<\/span>.<\/span>\u00a0<\/span>C<\/span>onvenience and price\u00a0<\/span>are\u00a0<\/span>more\u00a0<\/span>important\u00a0<\/span>than ever.<\/span>\u00a0<\/span><\/p>\n

Reduced income caused either by layoffs or reductions in working hours forced shoppers to consider price as a key factor in a purchase.<\/span>\u00a0<\/span>A desire to avoid busy stores had shoppers looking for businesses that featured\u00a0<\/span>convenience\u00a0<\/span>programs like buy online, pick up in-store (BOPIS)<\/span>,<\/span>\u00a0or curbside pickup<\/span>.<\/span>\u00a0<\/span>\u00a0<\/span><\/p>\n

Customers\u00a0<\/span><\/b>Looking\u00a0<\/span><\/b>to Support Their Community<\/span><\/b>\u00a0<\/span><\/h2>\n

Many shoppers increased their desire to support local\u00a0<\/span>businesses\u00a0<\/span>amid<\/span>\u00a0the pandemic. The\u202f<\/span>National Retail Federation<\/span><\/a>\u202f<\/span>says\u00a0<\/span>that 49% of consumers made a purchase specifically\u00a0<\/span>intending to support<\/span>\u00a0local small businesses during the\u00a0<\/span>pandemic<\/span>.\u00a0<\/span>They have been doing it by using stores that have online shopping options and by\u00a0<\/span>taking advantage of delivery and pickup options or opting for outdoor dining at local restaurants.<\/span>\u00a0<\/span><\/p>\n

Turning Pandemic\u00a0<\/span><\/b>C<\/span><\/b>hanges into\u00a0<\/span><\/b>N<\/span><\/b>ew\u00a0<\/span><\/b>B<\/span><\/b>ehaviors<\/span><\/b>\u00a0<\/span><\/h2>\n

The\u202f<\/span>McKinsey report<\/span><\/a>\u202fon consumer sentiment indicated that 65% of those polled intend to continue to engage in different shopping behaviors. A\u202f<\/span>report on brand reckoning<\/span><\/a>\u202f(registration required) from communications firm Ketchum indicated that, of those consumers who switched brands during the pandemic, 62% will make that change permanent.<\/span>\u00a0<\/span><\/p>\n

Dan Nesmith, founder and president of\u202f<\/span>Paladin Data Corporation<\/span><\/a>, a leading provider of\u00a0<\/span>point of sale and digital business solutions, says increasing the bottom line is simple logic and mathematics. Retailers can either find ways to increase their margins or boost the number of their\u00a0<\/span>regular\u00a0<\/span>loyal\u00a0<\/span>customers. Margins can only be raised\u00a0<\/span>so much before customers start looking for somewhere else to shop. So, increasing\u00a0<\/span>the numbers of loyal customers makes more sense and strong customer loyalty programs are key components of that effort.<\/span>\u00a0<\/span><\/p>\n

So how do you turn a casual occasional shopper into a loyal customer?<\/span>\u00a0<\/span><\/p>\n

Loyalty programs are one answer<\/span>. Third-party\u00a0<\/span>customer\u00a0<\/span>loyalty programs such as\u00a0<\/span>RepeatRewards<\/span>\u00a0are\u00a0<\/span>an option<\/span>. Some retail management solution providers also\u00a0<\/span>offer<\/span>\u00a0<\/span>alternatives<\/span>. Paladin has its own royalty-free Rich Rewards.<\/span>\u00a0<\/span><\/p>\n

For those interested in other methods, t<\/span>his story from\u00a0<\/span>Home Improvement Retail<\/span><\/i>er<\/span><\/i>\u00a0<\/span>\u2013\u00a0<\/span>\u201cThree Ideas to Build a Community of Loyal Customers\u201d<\/span><\/a>\u00a0\u2013\u00a0<\/span>offers some suggestions that are relevant to\u00a0<\/span>all small retail businesses<\/span>.\u00a0<\/span>\u00a0<\/span>[\/et_pb_text][et_pb_text admin_label=”Author” _builder_version=”4.16″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” vertical_offset_tablet=”0″ horizontal_offset_tablet=”0″ z_index_tablet=”0″ text_text_shadow_horizontal_length_tablet=”0px” text_text_shadow_vertical_length_tablet=”0px” text_text_shadow_blur_strength_tablet=”1px” link_text_shadow_horizontal_length_tablet=”0px” link_text_shadow_vertical_length_tablet=”0px” link_text_shadow_blur_strength_tablet=”1px” ul_text_shadow_horizontal_length_tablet=”0px” ul_text_shadow_vertical_length_tablet=”0px” ul_text_shadow_blur_strength_tablet=”1px” ol_text_shadow_horizontal_length_tablet=”0px” ol_text_shadow_vertical_length_tablet=”0px” ol_text_shadow_blur_strength_tablet=”1px” quote_text_shadow_horizontal_length_tablet=”0px” quote_text_shadow_vertical_length_tablet=”0px” quote_text_shadow_blur_strength_tablet=”1px” header_text_shadow_horizontal_length_tablet=”0px” header_text_shadow_vertical_length_tablet=”0px” header_text_shadow_blur_strength_tablet=”1px” header_2_text_shadow_horizontal_length_tablet=”0px” header_2_text_shadow_vertical_length_tablet=”0px” header_2_text_shadow_blur_strength_tablet=”1px” header_3_text_shadow_horizontal_length_tablet=”0px” header_3_text_shadow_vertical_length_tablet=”0px” header_3_text_shadow_blur_strength_tablet=”1px” header_4_text_shadow_horizontal_length_tablet=”0px” header_4_text_shadow_vertical_length_tablet=”0px” header_4_text_shadow_blur_strength_tablet=”1px” header_5_text_shadow_horizontal_length_tablet=”0px” header_5_text_shadow_vertical_length_tablet=”0px” header_5_text_shadow_blur_strength_tablet=”1px” header_6_text_shadow_horizontal_length_tablet=”0px” header_6_text_shadow_vertical_length_tablet=”0px” header_6_text_shadow_blur_strength_tablet=”1px” box_shadow_horizontal_tablet=”0px” box_shadow_vertical_tablet=”0px” box_shadow_blur_tablet=”40px” box_shadow_spread_tablet=”0px” use_border_color=”off” global_colors_info=”{}”]<\/p>\n

Brian Bullock<\/span><\/h3>\n

Author[\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":"

Building customer loyalty when the pandemic has more people shopping online and fewer venturing into stores takes planning and determination.<\/p>\n","protected":false},"author":13,"featured_media":28664,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[3,75,16,4],"tags":[126,27,100],"class_list":["post-28662","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-posts","category-grow-your-business","category-how-tos","category-industry-news","tag-customer-loyalty","tag-loyalty-programs","tag-retail-technology","et-has-post-format-content","et_post_format-et-post-format-standard"],"yoast_head":"\nRS Radar: Customer Loyalty is Key - Retail Science<\/title>\n<meta name=\"description\" content=\"Building customer loyalty when the pandemic has more people shopping online and fewer venturing into stores takes planning and determination.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/paladinpointofsale.com\/retailscience\/home\/rs-radar-customer-loyalty-is-key\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"RS Radar: Customer Loyalty is Key - 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