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February 25, 2004
Walk into the light, Fred!
In this Direct magazine piece, "Loyalty Rules" author Fred Reichheld says, "The early work I did on loyalty was powerful but useless... satisfaction surveys are such a joke... The key is making your customers' lives better."
Making your customers' lives better can produce far better top-line and bottom-line returns via word of mouth than any points, rewards or frequent-purchaser programs. Making your customers' lives better is planting the deepest roots for customer evangelism.
Fred's earlier work wasn't useless; the culture of marketing to customers continually evolves, as its always does, as do almost all aspects of business. It's up to marketers to understand the pulse of culture and, like riding a bicycle, make course corrections accordingly.
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