Apple Customer Loyalty

Topics: Apple Inc., Steve Jobs, Brand Pages: 8 (2737 words) Published: May 30, 2015
Title: Analyse how a company of your choice keeps its existing customers? Introduction
It is said that customers’ loyalty is of great importance for the survival of a certain company in order to retain its existing customers. As Hultén (2007: 256) suggests, considering customers and customer-centric views is vital to understand how markets are developed, maintained and operated. Customer loyalty is widely seen as a key determinant of a firm’s profitability. It’s a common fact that it costs more to acquire a new customer than retain an existing one. In fact, it costs a company 6-7 times more according to Bain & Company. That’s why treating your customers right after they buy is just as important as it is before they buy. One of the easiest ways to grow your business is to keep your existing customers coming back. Apple Inc, is an American multinational corporation with a focus on designing and manufacturing consumer electronics and closely-related software products.  Apple develops, sells, and supports a series of personal computers, portable media players, computer software, and computer hardware accessories; Apple is also currently involved in the creation of new technology concepts, such as the iPhone, Apple TV, and many features of its new, upcoming operating system, Mac OS X “Leopard”. Apple also operates an online store for hardware and software purchases, as well as the iTunes Store, a comprehensive offering of digital downloadable music, audiobooks, games, music videos, TV shows, and movies. This paper will focus on finding out how Apple can retain its existing customers through customer loyalty programs.

Customer loyalty
Customer loyalty is the key objective of customer relationship management and describes the loyalty which is established between a customer and companies, persons, products or brands.  brand identity has a positive significant effect on reputation. It was also supported that brand identity is positively related to brand personality congruence, but there does not appear to be congruence between brand personality and an individual’s persona. Results show Apple brand identity and brand personality congruence is positively related to Apple brand loyalty and although respondents expressed price sensitivity to technology a strong majority indicated they would buy additional products from Apple (Pinson and Brosdahl, 2014: 1). Many Apple customers show absolute loyalty to Apple and even dislike competing products. Apple fans identify with its trendy brand and love its integrated and smart solutions, sleek design and excellent product quality. These customers seem to increasingly live in an “Apple-world”, where they tightly integrate the use of several Apple products such as their MacBook, iPod, iPhone and iPad).  They frequently download and buy software, apps, songs and ebooks from Apple’s Store and iTunes. These customers have a deeply held commitment to re-buy and re-patronise Apple products and services consistently in the future, against all odds and at all costs despite strong marketing efforts of competitors (adapted from a definition of customer loyalty from Oliver 1997). [2] 

Well, it’s mainly because of the late, great Steve Jobs. Apple is Apple because they’re essentially thinking of Steve. And when you think about how incredibly passionate Steve was about Apple products, ensuring they were of the highest quality and cutting-edge design, you can understand why people are willing to be lenient. By creating an emotional connection with its customers, Apple has done the near impossible – it has acquired a loyal following. Brand loyalty has played a huge part in its global success. There’s no doubt about that. So if people will forgive brands that sometimes mess up, how can you ensure your own brand gets the same kind of attention? Firstly, you have to build relationships with your customers. And that means being trustworthy and transparent. You do that by embracing the Internet and...
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