Do You Get Hit With The “Loyalty Fee”?
By Igor Mordkovich on May 19, 2006 in Customer Service, General
It’s kind of funny but isn’t it “amazing” that being a loyal customer will “with most companies” cost you money? Confused? Dazed? Buzzled?
Well, let’s take a look at the cell phone companies. Who gets the best deal??? You damn right … New Customer.
Look at Optimum Package (cable TV, phone and internet company). New customers pay $90 for all 3 services … after a year I am paying $170/mo.
You know what I call it… ??? “The Loyalty Fee”
Lesson to be learned here. If you reward your long time customers instead of just giving out sales and deals to the new ones, you might keep more customers than you think. Ok, ok, ok I know … you might say … “well, we have to give an incentive to a new customer to choose us” … I absolutely agree … BUT do not take the money from your loyal customers and give it to the new ones.
You want to see how well it works…??? Just look at Airline companies.
You’re absolutely right. But by being proactive you can often bypass this “loyalty fee.”. I did this recently with DirecTV. They were offering free DVRs to new customers. I called them up and said, hey! I’ve been a great customer for over three years. Send me one! And they did!
St0n3y | May 22, 2006 | Reply
Yes, I am not surprised they did …. and actually many companies these days will give in like that.
Igor M. | May 22, 2006 | Reply