Although I have told you about 3 different loyalty strategies, the truth is that there are really only 2 , because both the product-based strategy and the deal-based strategy can be grouped into one:

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The most complete customer loyalty strategy: far exceed expectations

When we think of acquiring a product or service, we have expectations based on our previous experiences with companies in that sector.

People who listened to music on a Walkman had a number of expectations based on these devices:

• They were heavy.
• They did not fit well in a pocket.
• I had to carry records with me.
• I couldn't listen to more than 12 songs without changing the disc.

When the iPod hit the market, it far exceeded the expectations of anyone listening to music on a Walkman.

The same thing happened with people who went to buy soluble coffee at the supermarket and, suddenly, they found a store where they gave them a coffee machine, they invited you to have one every time you visit them and they recommended you among many styles of coffee based on your preferences.

When Nespresso hit the market, it far exceeded the expectations of anyone who had to buy coffee.

Expectation management can be explained brilliantly with a graph:

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With your experiences, you create average expectations.

If the experience is much worse, you cross the brand and do not buy anything from them again.

If your experience is much better, the magic of loyalty begins to take effect.

This loyalty strategy is incredible and the most recommended for you if you are able to offer a product or a deal well above the industry average.

And when to use promotion-based customer loyalty strategies?

Simply, when you are not able to apply a strategy based on expectations.

The strategies based on promotions have the advantages that we said before and, also, 2 big problems:

With these two characteristics, it is relatively easy for a brand to overcome your strategy and rob you of your loyal customers simply with lower prices or more aggressive promotions and prizes.

What do you invite your clients to dinner number 11?

The restaurant next door can make it at dinner number 9.

What is the Nescafé salary 2,000 euros?

The competitor's coffee can invent one of 2,500.

And so with everything.

You can build a loyal audience with this strategy, but an expectation-based strategy is simply more powerful.

Can I work a strategy based on expectations without a CRM?

If you want to focus on giving an incredible and personalized service, the truth is that no.

Continuing with the Nespresso example: The reason you are identified when you enter is to be able to recommend new coffees based on your preferences.

And they know this because they have all the information centralized in a CRM.

Without such a tool, the experience in a Nespresso store would simply be much weaker.

If you also want to replicate it, the first step is to have a good CRM strategy.