Loyalty versus Satisfaction - What's the Difference?

Satisfaction will not tell you if your customers will defect or your association members will drop their memberships.

Loyalty measurement captures the voice of the customer; their expectations and your performance against those expectations, as well as what you need to do to improve. Unlike satisfaction, loyalty encompasses the total customer experience; giving you a foundation for better decision making and action planning.
 

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Defining Customer Loyalty

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Core Services

The Loyalty Research Center offers a full range of core products/services to help companies understand the customer/employee perspective of their relationship with your organization. These core measurement tools provide baseline measures to those companies that are new to customer loyalty or employee engagement measurement or those that may already have measurement programs in place but are not satisfied with what they are getting.

The Loyalty Research Center’s core products include:
The Loyalty Research Center’s core customer research identifies:
  • what your customers value in the relationship and what they don’t
  • key drivers of customer loyalty
  • your loyal versus vulnerable customers
  • product or service problems
  • areas for process improvement
  • competitive advantages and disadvantages
Core customer research plus financial information and other CRM data identifies:
  • customer lifetime value
  • customers who cost you more than they’re worth
  • customers who don’t fit your business model
  • customers who would defect for a lower price
Baseline employee loyalty research helps you understand:
  • employee relationship health
  • drivers of employee loyalty
  • whether employees are ‘on board’ with company mission, strategies and goals
  • pockets of vulnerability
  • areas of customer service excellence
Baseline products taken together with employee – customer linkage research identify:
  • areas of disconnect and synergy between customers and employees
  • quantitative link between employee actions and customer loyalty
  • key priorities for improvement
  • how ‘engaged’ employees can improve customer loyalty and profitability
Companies can take immediate action with baseline measurement findings; because they will have gained a better understanding of what needs to be done to migrate neutral or vulnerable customers into becoming loyal customers.



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