Why focus on loyalty?

THE UK AUTOMOTIVE MARKET

According to a recent survey:​

  • 58% of drivers will change their used car every 1-3 years
  • 27% of drivers will swap change their used car every 4-6 years
  • Only 7% of drivers will wait between 7-10 years to switch their car

On paper, this looks like a brilliant opportunity to sell more cars.​

However, we know that things aren’t always as rosy as the stats imply – particularly when it comes to customer loyalty.

What happened to brand loyalty?

A huge factor in this is the tsunami of information now available to customers 24/7 at the click of a button. ​

​They can now watch plenty of TV-quality product reviews on YouTube. They can shop around for the best deals on comparison sites. They know that Google will turn up plenty of discussion threads about every annoying quirk a car might have.​

The result of this? ​

Why bother trying to retain customers?

  • Spend more with you
  • Offer their valuable feedback to improve your products and services
  • Visit you more often
  • Promote you by recommending you to their family and friends

In a competitive landscape, brand loyalty is a strategic advantage, offering stability and long-term success. It creates an emotional connection that transcends products or services. Brands that prioritise customer satisfaction and build authentic relationships are more likely to withstand market fluctuations, making brand loyalty an indispensable asset in the business world.​

Through building authentic relationships with your customers, you have an opportunity to understand their needs over a longer period. This can be used to provide a personalised experience and keeps you at the forefront of their minds. Going to a different manufacturer with an unproven customer experience track record becomes a higher-risk decision for the customer.

Loyalty Vs satisfaction


Customers who receive an excellent level of customer service at every stage of their ownership are more likely to come back to you when they are ready to purchase their new car. ​

But don’t confuse a satisfied customer with a loyal customer. Satisfaction is easy. An experience meets our expectations, and we are satisfied. ​

Loyalty is much harder to achieve and must be earned over a longer period. Expectations must be exceeded to encourage customers to return to you for their next car purchase.