Consumer champion Which? recently revealed customers that are loyal to their home insurance provider are, on average, being charged £75 more than new customers every year. Unsurprisingly, when customers find out about this ‘loyalty charge’ there is a risk of them becoming disillusioned, cancelling policies and switching to rival companies.
In an age where consumers expectations are at an all time high, such discrepancies between new business and retaining customers isn’t sustainable. Especially when research shows it can cost 25 times as much to attract new customers than retaining existing ones.
So how can businesses find the balance between enticing new business while driving brand advocacy in current customers? Karen Wheeler, Vice President and Country Manager at cxLoyalty UK discusses the importance of consistent customer engagement in Total Business.
Image credit: Total Business