Tips to build customer loyalty using custom packaging
In this world when every business is fighting to take over each other’s place and customer, what keeps the customer coming back to the same brand over and over again? The answer is customer loyalty. It is customer loyalty that keeps a brand or a company in the competition.
When we look at the statistics we will find that the total percentage of loyal customers to a brand makes up to 20-25% of the customers but the revenue generated by them is around 65-75% for a brand.
These statistics are a good way to understand the hype behind customer loyalty and why brands and companies are trying so hard to get them. If you own a business then it is important to build customer loyalty using various methods.
In this article we will talk about customer loyalty, how it is important and how custom packaging will help in building customer loyalty. In addition to it we will talk about the 4 things that can be done to build brand loyalty.
What is customer loyalty?
Customer loyalty is the relationship and trust that is formed between brand and customer due to which the customer buys a product from the specific brand or company. The customer is considered loyal when they buy 2 or more products within a specific time period.
This is due to the positive and delightful experience of the customer while using the brand product. There can be multiple reasons for a customer to keep buying products like high quality products, good discounts and offers or some aesthetic custom printed tape.
Why is customer loyalty important for a business?
“According to the statistics, you have a 60-70% chance of selling products to an existing customer compared to the 5-20% chance of selling to a new person.”
While running the business, there is one thing that directly impacts a company, we are talking about the sales. This is the most important part of any business. Everything else indirectly impacts the business like brand awareness, advertising, designing etc there is one more thing which has a huge impact on the revenue system and that is customer loyalty.
Customer loyalty is the thing that makes people come back for more. There are a lot of reasons which make it an important element in business. We can point some way some ways which explain why customer loyalty is important for business :
- Confidence in brand - When we are talking about the customers who are using our products then it means that they have put trust in us by buying our products. When this happens we will get positive feedback from them which will improve our brand image. It's an overall win-win situation.
- Easy on pockets - When we are talking about selling products, it is easier to sell products to an old customer as compared to a new one. Especially when we are talking about the increasing competition in e-commerce, it is extremely important to keep the loyal customer engaged with the brand.
- More share of wallet - Share of wallet is a term which refers to the amount that is spent by the customer on a specific brand as compared to the other brand in the competitive market.
- WOM marketing - WOM stands for word of mouth marketing. When the customer is happy and satisfied with services of a brand then it is a common phenomena to tell other people about your positive experience regarding a product.
When other people hear positive things about a brand then they will be more inclined to buy from them as well as this creates a positive brand image will have a favorable impact on the brand sale
How does custom packaging help in building customer loyalty?
In the previous sections, we have talked about the importance of customer loyalty for the business. In this section, we will talk about how custom packaging impacts customer loyalty.
Packaging is an important part of a business, especially when we are talking about customer loyalty. But how does custom packaging impact customer loyalty? To understand we need to ask ourselves why would you keep buying from a company over and over again?
The answer is because it made customers happy and satisfied with the products. This is where the custom packaging comes into picture. Custom packaging is the way to make them impressed with the products. Even before a customer holds a custom packing even before they hold the product.
This is how important good custom packaging is for a company. If you have a good product but the packaging is not nice then there is a good chance that customer will not buy that product ever again.
As they say, the first impression is the last impression. This seems true in the case of custom product packaging. If we look at statistics, then out of 30,000 new products that are launched 95% of them fail. That is 28,500 failed products and one the leading cause for that is bad product packaging.
Custom packaging for a product is the gateway of a brand and 70% of the customers judge them on the basis of their looks alone. If you fail at this then you will lose the race of customer loyalty even before you think of buying running shoes. To avoid that from happening. We have listed some of the ways which explain why custom packaging important :
# A ‘WOW’ factor
An unboxing of a product is like an adult equivalent of unwrapping a Christmas present. When the customer is unwrapping a product it is important to make sure that the packaging has a ‘WOW factor’ in the packaging. It could be anything from witty personalised messages to free coupons and discounts to reward them for their loyalty.
You can add many things to your customised boxes that will help to make memorable unboxing experiences. There are few things that you can add to your product like
- Handwritten Notes
- Discount coupons
- Free samples
- Thank you messages
# Proper protection of packages
It is important to make your packaging look pretty and aesthetic but in order to achieve all those things it is important to make sure that the packaging must not lose its original purpose and that is to protect the product from damage.
As it is very unfortunate for a brand and customer to send or receive damaged products.
# Easy on Budget
If you are worried about the price of the custom packaging then opting for a custom packaging tape is the right choice for you. To impress the customer you don’t always have to spend thousands but a quirky tape will help to create a sense of humour which will make it memorable for the customer.
It is an important aspect to look into especially when you have advertised yourself as a high end brand then it is important to make sure you deliver what you promise. Because if you have advertised yourself as a high-end brand but you fail to deliver it as such. Because of poor quality of packaging you will fail to make a positive impression on the customer's mind.
To sum things up
We have reached the end of the article which is about how we can build customer loyalty using custom packing. Here we have talked about customer loyalty and its importance. Then we talked about the custom packing and how it can help in building customer loyalty. And now we end this article.
To The Packaging, is a firm with more than 20 years of experience in the packaging business. We believe in creating innovative solutions for all kinds of packaging problems for big and small businesses.