Return to: Introduction
People naturally congregate around common passions or interests. Connecting and interacting with others who feel the same way and who share common experiences creates stronger bonds. Savvy marketers use this level of participation as the foundation of their online communities and as a cornerstone of their loyalty efforts.
In a report titled "The Social Influence of Brand Community: Evidence from European Car Clubs," Paul Dholakia, an assistant professor of management at the Jesse H. Jones Graduate School of Management, said that it's not a matter of attempting to directly influence consumers, but of providing them support in interacting with each other through activities of their brand community, which, in turn, increases their level of engagement and loyalty."
Loyal customers already have an affinity for a brand's products or services, and they will instinctively be drawn to a brand's online community. Customers who are strongly engaged in the brand community are more likely to remain attached to the group, participate in group activities more often, and recommend the brand community to non-members. What's more, research shows that customers who are engaged in an online community stay longer and buy more. According to the Ogilvy Loyalty Index, such customers can be worth up to six times the value of an average customer.
In addition to driving loyalty, inviting customers to participate in the brand is an effective marketing research tool. After all, who knows how to best market to your target market than your target market itself?
Next: Loyalty Law #2: Don't just talk to customers … listen
