Building and sustaining a healthy and robust brand is crucial to gain a strategic advantage in this excessively competitive market. However, with unlimited options at their disposal, consumers today are truly spoilt for choices. The concept of brand loyalty or staying loyal to one brand is fast losing its relevance due to the market being full of offers, thus tempting customers to switch brands often.
Brand switching can happen for a number of reasons. While sometimes it is due to external reasons such as availability of low-priced options, peer preferences, other times it could be because of internal factors such as brand fatigue, unpleasant customer services experience, and more.
Before discussing the strategies to stop brand switching in more detail, let’s first understand what exactly switching brands means.
What is Brand Switching?
Brand switching refers to a situation where a particular brand loses its loyal base of customers to the competition. The reasons for this could vary (discussed in the next section). It generally happens when the customer changes their preferences and buying habits, thus selecting another brand instead of their previous choice.
Now that you know what is brand switching, let’s understand why does brand switching happens in the first place.
So Why does Brand Switching Happen?
7 Most Pressing Reasons
1. Lack of effective communication
The importance of marketing communications in building brands and attracting customers cannot be overemphasized enough. Having a robust communication strategy can be a game changer when it comes to retaining customers and not losing them to the competition.
It is important for brands to realize that investment in advertising can not only help you establish brand equity but also allow you to maintain the perception of your brand.
An excellent example of marketing communication is Vodafone’s “ZooZoo” initiative. It helped the telecom giant connect with the customers incredibly along with building a customer-friendly brand image that left other players in the market wondering about losing their market share even after offering good services.
2. Not getting value for money
Irrespective of the size or volume of purchase, every buyer wants value for the money they spend. Not getting enough value for their money is one of the basic reasons why a big chunk of the once loyal customers switch brands. This value need not be monetary always; it could be emotional value also.
3. Customer service is the key
Customer service plays a pivotal role in attracting and retaining consumers to a particular brand. It is essential for companies to realize that customers do not have infinite patience when it comes to inefficient service, mistakes, lack of empathy, or rudeness from sales staff.
With multiple brands offering exceptional customer service and the same quality (if not better), it’s easy for consumers to change their minds and switch brands without hesitation.
4. Lack of innovative solutions
Building customer loyalty is an ongoing process that requires constant efforts. When brand switching happens, it’s an indication that consumers are not satisfied with the offerings and needs something exceptional to stick to a particular brand.
One of the solutions you have to address this is to build customer loyalty with live chat. This live chat support software allows you to add a live chat feature that can not only improve your business prospects manifolds but also maximize the effectiveness of the website as well.
If you’re looking for options to add this live chat software to your website, Proprofs offers extremely affordable live chat option with several useful features such as chatbot, triggered campaigns, detailed reporting, customization options, and smart routing to help companies improve their performance.
5. Brand fatigue
Another common reason for brand switching is brand fatigue. This could either happen because the customers’ urge to try out something new in the market or simply because they are annoyed with the bombardment of marketing emails, offers, promotional events, etc. which irritates them.
6. Not keeping up with technology
Technology is one factor that separates an innovative brand strategy from that of an outdated one. And if a brand fails to keep up with the new technology, the inevitable result is customer switching brands.
A classic example of this is the rapid fall of the brand ‘Nokia’ after it failed to keep up with the technological innovations and had to see its substantial market share being eaten up by the competitors.
7. Not taking customer feedback
One of the most common mistakes brands make is not being open and honest in their communication without seeking any customer feedback. To ensure that customers remain loyal to your brand, you not only need to seek timely feedback but also take quick action on the same to be able to tackle customer issues efficiently as soon as you know that they exist.
How can you avoid Brand Switching?
While you cannot do much if the customer has changed their minds completely, but you can do everything to ensure that the quality of your goods and services is high and consistent.
We are discussing some of the strategies here that can help you avoid brand switching-
Build Brand Loyalty
In one of the articles by Best CMS Plugins, Extensions, Addons & Themes, you can also work towards building brand loyalty. Measures like constant communication and creating a VIP program can help you make your customers stay and do not switch away from your brand.
Make sure that the price of the product or service you offer justifies the level of service you provide. This does not mean that you need to have the lowest price in the market to succeed, but it should offer complete value to the customers.
Understand your customers
To succeed in this competitive space, you need to understand your customers, their behavior, expectations, and needs to be able to serve them better. Statistics show that as high as 74 % of the consumers are likely to switch brands if not satisfied with the products and services offered.
What this means is that you need to deal with your customers’ issues in a quick, polite, and an absolutely effective way. If you get this aspect right, you will have not only loyal customers but also the benefit of word of mouth publicity, and they will tell others about how good you were in handling them.
Treat customer convenience as a priority
There is a popular saying that the customer is the king, and this couldn’t be truer in this regard. The need here is to do everything from the customer’s point of view and make their convenience the top-most priority.
Make Your Customers Fall In Love With Your Brand
Brand loyalty is all about making your customers fall in love with you. Apart from the strategies mentioned above, ensure that you conduct your business and media interactions ( print as well as social media) in a way that will make your customers happy and satisfied to do business with you without feeling the need to look for alternatives.
Author bio: Jared Cornell is a customer-support specialist, a marketing evangelist and a book lover, associated with ProProfs Chat. Connect with Jared on Linkedin.