How Loyal Are Customers? Good News For Credit Unions, Bad News For Sprint

I recently analyzed consumer loyalty patterns across 9 industries (banks, credit card providers, health plans, insurance firms, Internet service providers, investment firms, retailers, TV service providers, and wireless carriers) in the report The Strength Of Customer Relationships. Here are a few of the findings:

  • Retailers have the most loyal customers
  • Banks have the least loyal customers
  • We also looked at 112 large organizations relative to their industry averages and found that customers were the:
    • Least likely to switch away from credit unions, Medicare, USAA, Virgin Mobile, and American Express
    • Most likely to switch away from Sprint/Nextel, Circuit City, Gap, National City Bank, and Radio Shack
    • Most likely to buy additional products from credit unions, USAA, Citizens Bank, TracFone, and American Express
    • Least likely to buy additional products from Nextel, Capital One/North Fork Bank, AIG, Charter Communications, and Citibank

The bottom line: The key question is how loyal are your customers?

Written by 

I am an experience management transformist, helping organizations improve business results by engaging the hearts and minds of their customers, employees, and partners. My "job" is Head of the Qualtrics XM Institute. The Institute is still being established, but our goal is to help organizations around the world thrive by mastering Experience Management (XM). As part of this focus, I examine strategy, culture, interaction design, customer service, branding and leadership practices. And, as many people know, I love to speak about these topics in almost any forum. Prior to joining Qualtrics, I was managing partner of Temkin Group (leading CX research, advisory, and training firm), co-founder and chair of the Customer Experience Professionals Association (CXPA.org), and a VP at Forrester Research. I'm a fanatical student of business, so this blog provides an outlet for sharing insights from my ongoing educational journey. Check out my LinkedIn profile: www.linkedin.com/in/brucetemkin

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