How to build customer loyalty through paid advertising campaigns

How do you inspire customer loyalty?

PPC and social campaigns might not be the first things that come to mind – but maybe they should.

Most marketers focus on attracting new customers when it comes to paid marketing.

That's understandable – who doesn't want new customers?

Acquiring new customers can help your brand grow. However, studies show that loyal customers are the lifeblood of your business.

You spend 67% more on your company than new customers. When you introduce a new product or service, they are 50% more likely to try it than new customers.

The value of customer loyalty is undisputed. But how exactly can you do that?

Here's why loyalty matters and how you can use your paid campaigns to not only increase sales, but also build long-term relationships with loyal customers.

Why customer loyalty is important

Why exactly is customer loyalty so important? You could just focus on getting new customers, right?

Here are a few reasons why customer loyalty is critical to long-term business success.

1. Save marketing costs

Marketing costs money. Your exact budget will of course depend on your industry and size. The more competition you have, the more money you will have to spend to grab your market's attention, make connections, and increase sales.

Loyal customers can help cut costs. Acquiring a new customer costs five times more than retaining an old customer.

This makes sense: Your current customer already knows your brand and has at some point decided that your product or service is right for them. By cultivating relationships and building customer loyalty, you can ensure that they don't buy from you just once, but continuously.

2. Improve your reputation

Word of mouth marketing is the most effective marketing strategy out there. This is because people are much more likely to trust their friends, family, and other consumers than brands.

Creating a trustworthy and reputable brand takes a lot of time and effort. Suppose you've already managed to show your existing customers that you can be trusted. In this case, they can act as trademark attorneys by telling their family and friends about your amazing product or service.

3. Increase sales

Loyal customers spend more money and tell their friends and family about you much more often. This valuable connection will of course lead to an increase in sales.

When you focus on customer loyalty, you can also better understand your customers, improve your sales strategy, improve your marketing efforts, and even manage product development.

How to build customer loyalty with paid marketing campaigns

Studies show loyal customers convert more easily and spend more on brands they have developed a relationship with.

If you want to develop closer relationships with your customers, here's how.

1. Engage customers with ads

Thanks to the digital age, it is now much easier to connect with your customers.

Whether you are communicating through social media, your company blog, or your email newsletter, staying connected has never been easier.

How can you use it to build customer loyalty?

First of all, it's important to understand the value of platforms like social media to marketers.

Before the digital age, things were less complicated.

To grab the attention of your market, all you had to do was place advertisements on television, in flyers, or in relevant newspapers and magazines.

The challenge was that the communication was one-way. You could talk to your customers, but not to them.

Now the conversation can be two-way.

Using social channels like Instagram and Facebook, you can run ads and get instant feedback from your customers. You can share when things are back in stock or answer questions about features.

This can be beneficial as with a limited number of characters it can sometimes be difficult to say everything about a particular product or service.

When you engage with customers in the comments, you can provide additional information that wasn't shared in the ad.

Just pay attention to the needs, wishes and concerns of your customers. This information will give you a clearer picture of who they are and what they need, and will keep you informed of all of your future marketing efforts.

Example of an Instagram ad from customers providing feedback in comments and showing customer loyalty

2. Be genuine in the ad copy

At its core, customer loyalty is about building trust between you and your customers. To do this, you need to be real, honest, and transparent.

Transparency is becoming increasingly important to consumers, and this is something that marketers need to consider.

Sprout Social surveyed 1,000 U.S. consumers and found that 86 percent say corporate transparency is more important than ever.

What does it actually mean to be “transparent”?

In the same survey, 59% of consumers defined transparency as a company that was open to them, 49% emphasized honesty and 53% said clarity.

In practice, this is as simple as being honest about your product or service.

Every product or service has certain limitations, and there is nothing wrong with letting your customer know about them. When a customer reaches out to you or comments on an ad, it's important to say what your product can and cannot do.

The more honest you are, the more likely your customers will know they can trust you.

In addition to being trustworthy, be sincere while communicating with customers. Depending on your industry, this could mean using GIFs, some casual language, or the slang of the industry.

Have you ever received a general automated email or text reply from a company?

Did you feel like you were communicating with a brand? Or did you feel like you were speaking to a real person who knows and understands your needs?

People look for real connections with brands.

You don't want to feel like another customer.

Because of this, it's important to have someone on your team respond to customer questions or requests on your social channels. If you're using automated replies (like a chatbot), add a little personality to personalize the message instead of sending a generic or robotic reply.

3. Show appreciation

Most importantly, remember that your customer is human and that people want to feel valued.

To earn some points, show your appreciation for your loyal customers through small gestures like sending a personalized thank you discount after completing a purchase.

Targeting loyal customers with ongoing campaigns helps your brand stand out.

If you're struggling to find the right ad copy for your existing customers, you need to understand them first.

For example:

  • Are you parents? If so, do you have young children or grown-up children?
  • Are you a small business owner, an employee, or do you have a few extra jobs?
  • What kind of books do you read?

All of this information will help you understand which ad copy makes the most sense.

For example, if you own an e-commerce business and sell products for pregnant women and mothers with babies, you can create an ad that focuses on specific products that are appropriate for their child's current age.

One of the best ways to get more ideas about what existing customers are looking for is to pay attention to the interactions of your most loyal customers with your brand.

Take a look at the vulnerabilities they create when you interact with you on social media or other channels.

For example, Harry doesn't have to go far to see what fragrances their customers want. It's right there on their ads.

Improve customer loyalty with information from social media

In fact, I'll just say, "Thank you for trying our product!" or "I'm glad you had a good experience!" Having someone comment on an ad can make all the difference.

4. Create incentives

Sometimes your customers need a little motivation to stay true to your brand even though they have bought from you before.

Even though your product or service may be great, you still have a lot of competition. In the digital age, your customers are likely to see other brands' ads and engage with them on social media.

How do you use paid ads to stop competitors from attracting them?

You can start with incentives!

Incentives have long been a key component in promoting customer loyalty. Think of it as a way to give your customers one more reason to love your brand and stick with it.

Consider using paid ads to provide incentives like:

Save credit and discount codes

In your ads, mark the discount or loan amount your customers will get if they keep shopping with you. Make it special by offering it for "loyal customers" or as a "welcome back" offer.

Offer upgrades

When you sell a product with an upgrade (such as an app or a monthly membership box), you are offering an incentive such as a discount or free shipping to current customers if they choose to stick with your product and get the upgrade.

Remind customers of the points they have earned

Did you know that 43% of rewards expire before they are redeemed? To make sure your customers redeem their rewards, consider using retargeting ads to remind them to use their points before they expire.

5. Highlight Social Proof in Ad Copy

Social evidence is essential to drive customer loyalty and drive new sales.

Here's why.

Research shows that reviews influence the buying process.

How can you use this in your PPC and advertising campaigns?

Use statistics from your customer success stories that prove the value of your product or service.

For example: "See why 10,000 customers recommend our toothbrushes!" or "Read how we helped 5,000 people lose weight through our program!"

This type of ad copy sets the value of your product and shows them to other customers like your company.

Conclusion

Your loyal customers are the most valuable part of your growing business.

They keep buying your products – even if they're not for sale.

Loyal customers can also act as brand ambassadors, letting their family and friends know how great your brand is.

By now you should have some ideas on how to use your paid advertising campaigns to further build customer loyalty.

What unique ways do you plan to build customer loyalty? Share in the comments below.

Consultation with Neil Patel

See How my agency can drive Firmly Traffic volumes on your website

  • SEO – Unlock tons of SEO traffic. See real results.
  • Content Marketing – Our team creates epic content that is shared, links accessed and visitors drawn.
  • Paid media – effective paid strategies with a clear ROI.

Book a call

LEAVE A REPLY

Please enter your comment!
Please enter your name here