Boost Customer Loyalty with Amazon's Proven Strategies: Insights by Shep Hyken
Discover five key strategies Amazon uses to enhance customer loyalty, shared by expert Shep Hyken. Learn how to put customers first and create lasting loyalty.
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Customer Loyalty Tips from Amazon
Added on 10/01/2024
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Speaker 1: Wouldn't you like to increase your customer loyalty? Well, stay tuned for some amazing tips on how to do just that from one of the most amazing companies on the planet, Amazon.com. Hello, this is Shep Hyken, customer service and experience expert. And since this month is customer loyalty month, I thought it would be a great time to share some tips from a company who truly knows how to create customer loyalty. And that company is Amazon.com. So let's get right into it. Here are five ways that Amazon creates loyalty. Number one, they put the customer first. The first question that Amazon asks when rolling out a new program is very simple, is this going to be right for our customer? Then the second question they ask is, is it right for Amazon? And I'd say that makes them the definition of customer focused. By the way, many companies make a mistake and put the second question before the first question. That's if they even ask the first question at all. Number two, set it and forget it. Amazon makes it easy. Think about the last time you were doing the laundry or the dishes and used the last bit of soap and then you forgot to pick up more when you went shopping at the market. Wouldn't it be more convenient if you could have a button right on the washer that you can push whenever you notice that you're almost out of the soap? Then almost as if by magic, that soap shows up the very next day on your doorstep. Well, the great minds at Amazon have figured it out. Amazon has their customers in mind and knows exactly what they want and that is convenience. That button feature that I just described is Amazon's dash button. It allows users to have a button connected to Wi-Fi that when pressed alerts Amazon to deliver the product. This makes it easier than ever for the customer to order consumables that are frequently purchased. You just adhere that little button to a convenient place and there it is whenever you need it. Amazon has created the first step in home automated logistics. Number three, create a loyalty program that is so good that the customer would pay for it. The Amazon Prime membership for which customers pay an annual fee offers free two-day shipping on most purchases. It's all about speed and convenience. Their customers love it and they're willing to pay for it. Of course, Amazon Prime membership doesn't end with just free two-day shipping. They also offer free video and music streaming, unlimited photo storage, a free Kindle e-book every month, plus a rotating selection of over a thousand e-books that are available for free. Prime early access to Amazon's daily lightning deals and much, much more. As for the loyalty factor, the average Prime member spends about $1,200 annually compared to just $500 per year for non-members of the program. Number four, keep the interactions human. Amazon.com is a great technology company. Even if you never interact with an Amazon employee, you still feel like you're receiving great service. That is until the technology fails. When it does fail, it's a simple matter of just picking up the phone and dealing with one of the very helpful Amazon customer service representatives. Amazon recognizes that even with their amazing system, they still need the backup of human support. By the way, when the customer is taken care of by an Amazon employee, the customer feels an even stronger connection. This can't always be said about technology companies, but Amazon once again delivers on what their customers want. And finally, number five, remember your customers. There are some very sophisticated ways of tracking customers and getting data on the customer's buying patterns. If used the right way, you can deliver an even better experience. Every time I sign into Amazon, I'm welcomed with a message that reads, hello Shep, welcome back. They also make suggestions based on my previous searches and past purchases. If I search for a type of product and I've already ordered it, it even populates, buy it again at the top of my search, making it easy for me to reorder anything I bought in the past. Their system was built to take care of me because they know me. By the way, it doesn't matter if it's online or in-person, remembering your customers works in every customer interaction. So there you have it, five ways Amazon delivers amazing customer service and creates loyalty. So I hope you enjoyed this short lesson. Next month, we'll have another set of tips to enhance the customer service experience that customers have with you and your company. And if you like these, you'll love our weekly video blogs, which come out every Thursday. So be sure to subscribe. Thank you very much for tuning in. This is Shep Hyken, reminding you, to always be amazing.

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