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Customer Loyalty Is Coffee Shop Loyalty - The Best Blend Of All
By Paul Hathaway, Sat Dec 10th

b>Abstract

Too often we look at the online store as if it was removed fromreality. We try to invent new propositions and processes forsuccess. Most of what we need for online success has alreadybeen well-researched and tested. Why continually invent the newwhen solutions already exist? This article examines 'coffee shoployalty'; its strengths and value to online merchants and itsoffer of free advertising.

I choose what I like


So you do not follow a sporting club; wear only Dior; drive aBMW. You wear whatever you feel like, watch all sorts of sportsand drive a car you liked at the time of purchase; not becauseof its make, you just liked it. As I mentioned in our lastarticle there are many types of loyalty besides brand, sport orclub loyalty. Today we will explore one of the most importanttypes of loyalty. One which I call: 'coffee shop loyalty'. Thisis not to be confused with loyalty programs which must bydefault be a keen topic of discussion.

Massive, free advertising

Many of us have a favourite shop. We go there week afterweek. We meet our friends there; we may take business associatesthere. Not only do we offer the owner repeat custom, we bringfriends along. By bringing business associates for weare, in effect, recommending the shop as a good place to visitto the broader community. This increase in custom costs thecoffee shop owner not one single dollar. The owner potentiallyacquires well-populated chains of customers from your friendsand business associates through a single alliance; you. He paysyou nothing.

This is massive, free advertising. You must ponder its successand the reasons for its success frequently. Can we find thesecret recipe? To tell the truth, there is no one single andglobal solution. There are many aspects to 'coffee club loyalty'because we see people sitting, chatting, drinking and enjoyingthemselves at crowded shops all across town. Examinethose that you see often-crowded; examine even more closelythose that seem to have a few less patrons than the others.

Getting it right

Why scrutinize empty shops? Surely we want to see what the goodones are doing to keep such repeat crowds sitting at theirtables? Absolutely right! But is it not equally important to seeif we can find out what the empty ones do, don't do, in order toremain empty? They are so regularly empty; it must be planned soit is up to us to see what they have in their plan. We willleave it out of our planning.

Gather information about people

Gathering information about


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people is just as important asgathering information about the goods we sell or the services wesupply. So how do we start, remembering the budget for researchis small? Think back for a moment to your favourite shopand see if we can get some sort of criteria which we could useto plan for a successful shop. See if we can stretch thisto our online store. Make mental notes next time you are there.Better still take pen and paper. Ask a few of the regularcustomers why they keep coming back. Do this over several visitsso that you can have time to analyse the thoughts of othercustomers and formulate more focussed questions for yourself. Doyou see patterns emerging? I bet you do. Are you going therethis week?

Staff turnover is typically high in shops. My favouriteshop has a high turnover too but the staff are always friendly,happy, courteous, know how to react with patrons from a largenumber of different backgrounds. The owner must look after staffas well as patrons. New staff quickly learn your name. Serviceis brisk, efficient, and reliable. There is nothing particularlyexpensive or outstanding about the décor. It is comfortable,rather than modern. Many regulars come several times each weekand stay for much longer than it takes to drink a cup of coffee.There is nothing special about pricing. The menu is fairlystatic; functional. They occasionally run a special night suchas their birthday party or to promote a local band. The ownersare always mingling with patrons. It is in a good location; alot of foot traffic, close to other shops and has parking nearby. And that is about it. I will be there again next week.

Doing what corporate giants do

You are now doing just what the big corporations discussedpreviously are doing. The budget is slightly different. You arefinding out what customers do and do not like. When we set up astore online we tend to forget that our customers will be thevery people we talk to at the shop. Online customers arecoffee shop customers too. They know what makes them leave orstay; buy or not. Your own friends are an equally valuablesource of information. Ask them too.

Getting the right blend is the key to 'coffee shop loyalty'; itis the key to online success.

Thanks for your time. Have a great day.

Paul Hathaway ©2005

Welcome To The Mall

About the author:Paul Hathaway is a partner in the development of Welcome To TheMall. Welcome To The Mall members are committed to creatingexcellence for the online shopping experience and environment.We are willing to share the results of our research andbrainstorming in a series of articles. Visit us atwww.welcometothemall.com to see the results.

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