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4 Ways to Measure Customer Loyalty

Before you can build customer loyalty, you need to know where your customers currently stand. Customer loyalty can be a tricky metric to measure, but fortunately there are several ways to assess how faithful customers are to your company. 

Find your net promoter score. Find your net promoter score by asking customers one simple question, “Would you recommend us?” Track the answers, looking for an increase in customers who answer “yes” over a time period. If you continue to add customers answering affirmatively, it’s a good indication your customer loyalty is increasing. 

Check loyalty program analytics. Look at the amount of engagement your loyalty programs are receiving. Repeat customers and frequent usage of a rewards program show your customers are willing to come back again and again to shop with you. 

Examine online analytics. If you have any type of online presence, analytics from your website and social media channels are another way to see how customers are engaging with your brand. Page visits, likes, comments and shares, especially when repeated by customers, show you’re building a following online. 

Look at purchasing data. Pull your purchasing data, looking for customers who are making multiple purchases and for transaction sizes. Customers who make multiple purchases with you over time is another good indicator that they are a loyal customer. 

About Lindsey Thompson

Lindsey joined the NHPA staff in 2021 as an associate editor for Hardware Retailing magazine. A native of Ohio, Lindsey earned a B.S. in journalism and minors in business and sociology from Ohio University. She loves spending time with her husband, two kids, two cats and one dog, as well as doing DIY projects around the house, going to concerts, boating and cheering on the Cleveland Indians.

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