Customer Loyalty Goes Both Ways


I’ve written how many companies overlook and end up screwing over their long-term repeat customers.

Last week another large business screwed over my account.

They decided to raise their prices and cut 75% of what features of my plan had. I had the option to pay 50% more for 1/4 of what I had or pay 4x to get the same plan I had.

No increase in value.

No improvement in service.

Just “pay us a lot more money”.

Customer loyalty goes both ways. Customers are loyal to you if you’re continuing to provide value at a fair price. Remove value or hiking the price too much on them and you’re not being loyal to them. They’ll leave and likely complain.

Likely this company won’t see the lost loyalty for months. By the time they notice, they’ll just whine about how no one is loyal anymore and never understand that they abandoned their long-term customers first.

But there’s an upside to this.

If you’re a company that treats customers with respect, does the right things for them, and works to keep their loyalty then you can attract those defecting customers. Word will get around that you honor your promises and once you earn their loyalty, they’ll stick around.

To track those customers, watch what your competitors do. When you see them misstep, watch your cohort reports (like in my app). You might see the new customer bump and then the symptoms of customer loyalty (e.g. repeat orders, low latency time in-between orders).

Eric Davis

Use cohorts to find out who the best customers are in your Shopify store

Repeat Customer Insights will automatically group your customers into cohorts based on when they first purchased. This will let you see how the date customers bought would impact their behavior.

Install Repeat Customer Insights for Shopify

This originally appeared on the LittleStream Software Blog and is made available here to cast a wider net of discovery.
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Steve has entrepreneurship in his DNA. Starting in the early 2000s, Steve achieved eBay Power Seller status which propelled him to become a founding partner of, a contact lens and eyewear retailer. Four years later through a successful exit from that startup, he embarked on his next journey into digital strategy for direct-to-consumer brands.

Currently, Steve is a Senior Merchant Success Manager at Shopify, where he helps brands to identify, navigate and accelerate growth online and in-store.

To maintain his competitive edge, Steve also hosts the top-rated twice-weekly podcast eCommerce Fastlane. He interviews Shopify Partners and subject matter experts who share the latest marketing strategy, tactics, platforms, and must-have apps, that assist Shopify-powered brands to improve efficiencies, profitably grow revenue and to build lifetime customer loyalty.

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