Have you heard this one – statistics speak for themselves? It is true for customer loyalty statistics as well.
This is the time to prove what we have discussed in our previous articles –
-
-
-
First we will see few generic customer loyalty statistics and then industry specific loyalty statistics.
Customer Loyalty Statistics:

Acquiring a new customer is five times costlier than retaining an existing customer. (Source: Forrester)

80% of a company’s revenue comes from just 20% of its existing customers. (Source: Gartner)

Probability of selling to an existing customer is 60 – 70% where probability of selling to a new customer is 5-20%. (Source: Marketing Metrics)

Only 1 out of 26 unhappy customers complain. (Source: Customer Experience Statistics)

33% of customers would recommend a brand that offers a quick but ineffective response. On the other hand, 17% of customers would recommend a brand that provides a slow but effective solution. (Source: Nielsen-McKinsey)

A 5% increase in customer loyalty would increase the average profit per customer by 25% – 100%. (Source: TheLoyaltyEffect)

It takes 12 positive experiences to make up one unresolved negative experience. (Source: Understanding Customers by Ruby Newell-Legner)

Customers who rate you 5 on a scale from 1 to 5 are 6 times more likely to buy from you again, compared to ONLY giving you a score of 4.8. (Source: TeleFaction data research)



61% Americans and 54% Europeans switch brands just because of price. (Source: Nelson)

55% of customers would pay extra for a better customer experience. (Source: Defaqto Research)

86% of buyers will pay more for a better customer experience. But only 1% of customers feel that vendors consistently meet their expectations. (Source: CEI Survey, Forbes)

Customer Loyalty Statistics for Marketers:

Loyalty Management Market is expected to grow from USD 1.4 Billion in 2015 to USD 4.0 Billion by 2020. (Source: PR Newswire)

More than 90% of companies currently have some form of customer engagement or loyalty program. (Source: Accenture)

70% of buying experiences are based on how the customer feels they are being treated. (Source: McKinsey)

89% of customers have stopped doing business with a company after experiencing poor customer service. (Source: RightNow Customer Experience Impact Report)


Retail Customer Loyalty Statistics:

The biggest challenges retailers face regarding their loyalty programs relate to technology, strategy, financial management and people/talent.
- Keeping up with the underlying technology (mobile and digital capabilities) or investing enough in technology (40 %)
- Keeping up with competing loyalty programs (33 %)
- Managing the liability and financial complexity of the program (33 %)
- Having enough people and the right kind of talent required for today’s loyalty programs (30 %)
(Source: Accenture research report)

(Source: Accenture research report)
Travel Customer Loyalty Statistics:

68% of 2016 Fliers Belong to at Least One Airline Frequent Flier Program. (Source: airlines.org)

40% of travel loyalty program members tell friends and family about a program following a positive redemption experience. (Source: Collinsonlatitude)

33% of travel loyalty program members actively encourage family & friends to join the program following a positive redemption experience. (Source: Collinsonlatitude)
Hotel Customer Loyalty Statistics:

40% of customers choose to enroll in hotel loyalty/rewards programs based on convenience of locations. (Source: Hotel Loyalty Rewards Program Satisfaction Report 2016)

68% of millennials will remain loyal to a program that offers the most rewards – Cash / Freebies, Upgrades and Discounts. (Source: Internet Marketing Inc)
Restaurant Customer Loyalty Statistics:

(Source: Oracle)
Now,
Tell us what you think about customer loyalty. Is customer loyalty required in every industry?
Please leave your comment below.
We continuously add or update these statistics. So please visit again.
Keep in touch, follow TechOneStop on Facebook / Twitter / LinkedIn / Google+.
Next article: Importance of Customer Loyalty