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Customer Advocacy: Definition, Importance & Strategy

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<p>It’s all too easy for companies to fall into the trap of viewing their customers as mere transactions, but taking a transactional approach to customer-business relationships can have negative consequences in the long run. Customers aren’t just interested in buying products and services; they also want to feel valued and appreciated. This is where customer advocacy comes in.</p>
<p>Customer advocacy is the practice of putting the customer at the centre of your business strategy and making their satisfaction and loyalty top priorities. It involves proactively anticipating and addressing customers’ needs and concerns, and actively seeking their feedback and input. This approach can help foster long-term, mutually beneficial relationships between businesses and their customers, leading to increased customer retention and revenue, as well as improved brand reputation and market share.</p>
<p>We’re not exaggerating when we say that customer advocacy has become more important than ever before. With so many options available to consumers, businesses need to go above and beyond simply selling products and services if they want to attract and retain customers. By embracing customer advocacy, you can build stronger, more meaningful relationships with your customers, enhance their overall experience with your brand, and ultimately achieve greater success in the marketplace.</p>
<p>So, how do you do it? Let’s talk about it.</p>
<h2 id="what-is-customer-advocacy?">What Is Customer Advocacy?</h2>
<p>Customer advocacy refers to an approach that prioritises the needs of customers. At its core, it is about delivering solution-based assistance to create strong relationships with customers and turn them into brand advocates. This approach is grounded in the belief that customer satisfaction is the key to unlocking growth for any business.</p>
<p>Effective customer advocacy requires a deep understanding of customer needs and interests. This means conducting thorough market research to understand what motivates your customers. Armed with this knowledge, you can develop targeted strategies to meet these needs and exceed customer expectations.</p>
<p>One of the key benefits of customer advocacy is that it helps to build strong relationships with customers. By taking the time to understand their needs and providing them with tailored solutions, you can build trust and loyalty with your customers. As a result, customers are more likely to advocate for your brand, spreading positive word-of-mouth and driving new business—so, everyone wins.</p>
<p>By prioritising the needs of your customers and delivering solution-based assistance, you can foster strong relationships and turn customers into brand advocates. You’ll be amazed at the positive impact this approach can have on your business.</p>
<p><img loading="lazy" decoding="async" class="alignnone size-large wp-image-26936" src="https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1-1024x597.png" sizes="(max-width: 640px) 100vw, 640px" srcset="https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1-1024x597.png 1024w, https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1-300x175.png 300w, https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1-768x448.png 768w, https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1-600x350.png 600w, https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1-360x210.png 360w, https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1-160x93.png 160w, https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1-350x204.png 350w, https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1-100x58.png 100w, https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1-588x343.png 588w, https://cms.podium.com/wp-content/uploads/2023/05/woman-taking-payment-from-a-customer-1.png 1200w" alt="woman taking payment from a loyal customer" width="640" height="373" /></p>
<h2 id="what-is-a-customer-advocate? ">What is a Customer Advocate?</h2>
<p>A customer advocate is a loyal customer who is willing to share the details of their experience with your business with people in their social circles and beyond. Customer advocates are the ones who sing your praises and recommend your business to others. They are passionate about your products and services, and they act as ambassadors for your brand.</p>
<p>Sounds pretty great, right? It is. However, creating customer advocates does not happen by chance. To create customer advocates, start by researching your customer’s needs and pain points. This can be achieved by <a href="https://www.podium.com.au/article/implementing-customer-feedback/">collecting customer feedback</a> through surveys, reviews, and social media platforms. Then, prioritise this feedback and develop solutions that address the concerns of their customers. You might even consider developing a customer advocacy program that helps you identify, engage, and nurture loyal customers.</p>
<p>There are many ways to go about prioritising customer advocacy, so don’t be afraid to experiment with a few different approaches.</p>
<h2 id="benefits-of-customer-advocacy">Benefits of Customer Advocacy</h2>
<p>Fostering customer advocacy might sound like a lot of work—and it definitely can be—but there are numerous benefits that make that effort worthwhile. Let’s take a look at some of the main ways customer advocacy benefits businesses.</p>
<h3>1. Improves brand loyalty.</h3>
<p>Customers who feel valued by a brand are more likely to remain loyal to the brand and recommend its products or services to others. By creating a customer-focused approach, you’ll make your customers feel valued, leading to increased loyalty and stronger relationships.</p>
<h3>2. Improves customer retention.</h3>
<p>When a company cultivates a loyal customer base, these customers are more likely to continue doing business with the company. Additionally, if a customer has a positive experience with a company, they are less likely to switch to another brand—no more sending customers running to the competition.</p>
<h3>3. Boosts Sales.</h3>
<p>Happy customers are more likely to recommend a brand to others, and since referred customers will bring you a <a href="https://www.annexcloud.com/blog/42-referral-marketing-statistics-that-will-make-you-want-to-start-a-raf-program-tomorrow/">25% higher profit margin</a> on average, this is a big win. Furthermore, customer advocates are more likely to purchase from a brand repeatedly, leading to further sales growth.</p>
<h3>4. Improves customer satisfaction.</h3>
<p>Customer advocacy helps to improve customer satisfaction. When customers feel that a brand values their business and makes an effort to create a positive experience, they are more likely to be satisfied with the product or service. In turn, satisfied customers are more likely to become advocates for the brand.</p>
<h3>5. Increases customer lifetime value.</h3>
<p>The best kinds of customers are customers that stick around for a long time. When a customer advocates for a brand, they are more likely to purchase from a brand time and time again over a longer period of time. This means that the company can expect to generate more revenue from that customer over their lifetime.</p>
<h3>6. Creates a positive social media presence.</h3>
<p>Customer advocacy helps to create a positive social media presence for a brand. Advocates will often promote a brand through their social media profiles, leading to increased brand visibility and positive customer engagement. Your loyal advocates can be some of your most effective marketers without even knowing it.</p>


Customer Advocacy: Definition, Importance & Strategy

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