What is a Loyalty Ladder?
A Loyalty Ladder is a customer relationship model. It is a way of segmenting your customers and then developing communications which appeal to them. It includes:
Prospect on the lowest rung, developing them to become Customer, Client and then Advocate.
- A Prospect is a potential customer where they have shown an interest in your product or service, but not yet bought.
- A Customer is someone who has bought your product or service.
- A Client has purchased more than once.
- An Advocate is a 'fan' of your product, company or service. It is someone who will provide testimonials, recommend you via word of mouth or word of mouse. An Advocate needs retaining. They are important to your company and are loyal.
Marketing communications are developed to appeal to each member of the loyalty ladder to move them up and retain them. See other relationship models here.
Labels: advocate, client surveys, customer, customer relationship model, loyalty ladder, peck et al, prospect