Tag Archive for: customer loyalty

Meet Cannabis Industry Branding Expert Patrick Toste of Highopes

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Cannabis Industry Branding Expert Patrick Toste Urges Cannabis Brands to Cherish Your Customers and Rethink Instagram

In an ongoing series this year, we’d like you to get to know some of the fantastic companies and people we’ve had a chance to collaborate with over the years. Our first interview is with an incredibly talented branding expert, Patrick Toste, co-founder of Seattle-based cannabis branding agency, Highopes. 

 

First, a little background about you: 

I’m originally from Rhode Island and graduated from California State University Long Beach with a BFA in Graphic Design. I’ve been designing for over 10 years and have had the luxury of working with both large and small brands nationwide. I am the Creative Director and Co-Founder of HIGHOPES Design. We are a creative studio that focuses exclusively on helping cannabis businesses nationwide unlock their potential through branding, packaging, web design, and marketing services. Our client list consists of over 30 cannabis companies that include Have A Heart, VidaCann, and Nuvata.

 

When did you first start working in the cannabis industry?

Upon moving to Seattle and experiencing the recreational cannabis market for the first time, I recognized an opportunity, and established a passion for, helping cannabis businesses build successful brands. I captured a handful of freelance projects with cannabis clients in Washington and California that I completed some branding and packaging work for. From there, I decided it was best to brand myself as a more established business than just a freelancer to provide more growth opportunities for myself and my clients.

 

What were you doing prior to the cannabis industry? 

Before diving into the cannabis industry, I worked as a designer on the in-house branding team at The Coffee Bean and Tea Leaf which is a nationwide coffee chain based in Southern California. In this position, I gained experienced managing and expanding a large brand through packaging design, digital advertising, in-store marketing, and other similar avenues. 

After moving to Seattle from Southern California, I decided to explore the world of advertising by joining the team at Publicis Seattle as a designer. At Publicis, I was able to work with even larger brands like T-Mobile and assist in a variety of nationwide digital advertising projects. However, my true passion for branding was established there when I led the design team on the rebrand of the locally world-famous radio station, KEXP. 

 

What lesson did you learn BEFORE cannabis that’s been most valuable in cannabis?

I’d say the lesson I learned before I entered the cannabis space that has been most valuable to HIGHOPES and our clients is the importance of knowing and understanding your customers. This methodology was something I gained over the years of working with larger, nationwide brands like The Coffee Bean & Tea Leaf, T-Mobile, and even Under Armour. I was able to realize how these companies were branded and marketing was significantly impacted by what their consumers think, want, need, and feel. 

Something I see all too often in the cannabis industry is a rush to bring a product to the market with the idea of targeting all consumers due to a scarcity mindset. Operationally I understand why these businesses feel this is the right approach, but in hindsight, they realize they do not know who their customer is and what delights them which results in an unfocused and unorganized brand direction. 

 

Is there a particular cannabis branding project you’d like to highlight? 

At HIGHOPES we are extremely proud of all the work we create for all of our clients, but I’d like to highlight the project we did for the California-based vaporizer brand, Nuvata. Nuvata approached our team with only a product and a vision so we assisted in establishing their positioning, messaging, branding, packaging, website, and marketing. Each branding and marketing effort we performed was put through the filter of the established strategy resulting in an immensely focused and concise brand for the market. With the Nuvata team’s help, we were able to identify and understand their target customer and then make every branding and marketing decision with the goal to bring them delight. The end result spoke for itself as within the first year they spread across the entire state of California and gained considerable brand awareness.  


What’s the biggest misconception cannabis companies have about branding? 

I think the biggest misconception about branding in the cannabis industry is that your brand is simply your logo when this could not be farther from the truth. In essence, your brand is actually not controlled by you but rather your customers. A brand is the opinion and feeling a customer has about your company based on a combination of your logo, products, packaging, website, marketing, social media, customer service, and so on. For that reason, cannabis companies can only strive to manipulate the emotional response of their customers with the goal of creating a positively recognized brand. 

 

In your view, what is the biggest branding challenge facing cannabis companies today? 

I think the biggest challenge cannabis companies face today when building a brand is the lack of beneficial advertising and marketing opportunities. As mentioned in my previous response, if your brand is simply the feeling a customer has of your company then it becomes very difficult to establish a positive association with customers when you cannot take advantage of the many ways of influencing their point of view. Additionally, customers cannot begin to create that strong bond with your company when you do not have the ability to raise awareness of your brand through advertising and marketing channels. 

What will be the biggest branding challenge in 2020? 

I believe the biggest branding challenge in 2020 will be establishing and solidifying customer loyalty. Most cannabis markets, both medical and recreational, are seeing a surplus of emerging brands which provides customers with an overwhelming amount of options to choose from. Additionally, product innovation has not kept pace with the number of companies entering the market leaving customers with a plethora of brands essentially selling the same product. These two factors combined prove the importance of understanding your specific customer and catering everything about your brand to what brings them delight. When that emotional bond is created with a customer it creates a sense of loyalty and trust in your brand that becomes invaluable to your success. 

 

What can companies do to alleviate their branding challenges?

When it comes to navigating the regulations around advertising and marketing in the cannabis space companies can look to outside-the-industry partnerships to alleviate these challenges. When a business understands their brand outside the lens of cannabis it allows the possibility of partnering with non-cannabis companies that share the same mission, vision, and values. Through these types of situations, cannabis brands can advertise and market indirectly through their partner to an audience that is similar, if not exactly, their type of customer. For example, Plus Edibles recently partnered with Casper for their line of CBD gummies as both brands can benefit from each other’s audience.

For establishing customer loyalty, cannabis companies simply need to take the time to understand who their target customer base is and either build or shift their branding to align with that audience. The more focused the ideal customer then the easier and more efficiently a brand can market to their wants and needs. Every move a cannabis brand makes should be filtered through the lens of their consumer. 

 

In your view, what is the most under-rated tool in the cannabis branding toolbox for cannabis companies?

I believe the most under-rated tool in the branding toolbox for cannabis companies is their brand website. This goes for cultivators, manufacturers, dispensaries, delivery, and ancillary businesses. With all the regulations surrounding advertising and marketing, your website tends to be the only platform where you can comprehensively communicate to your customer all the details of your brand. Additionally, depending on your business type, it tends to be a major channel in driving sales. For these reasons, the proper investment should be made in creating a website that is aesthetically attractive, engaging with content, and functions as a conversion tool for your business. At the end of the day, no matter who your customer is, people tend to take brands seriously that look like they take themselves seriously and your website is the perfect platform to communicate that. 

 

In your view, what is the most over-rated tool in the cannabis branding toolbox for cannabis companies?

Although still an important cog in a cannabis companies marketing plan, I believe the most over-rated tool in the branding toolbox for cannabis companies is their Instagram profile. Many of the cannabis brands we speak with feel that Instagram will drive a majority of their sales and the data just doesn’t support that theory. Don’t get me wrong, I think it’s very critical for cannabis brands to have a consistent Instagram presence to communicate credibility to customers but I don’t think it requires a premium-level investment. The customer journey from Instagram to purchase is long and complicated resulting in frequent drop-offs, especially for CPG brands. Additionally, with the algorithm changes in Instagram, it’s most likely that only a small fraction of a cannabis brand’s followers are even getting fed their posts. My recommendation to our cannabis clients is to invest in their Instagram as a way to raise brand awareness but don’t throw all their marketing dollars at it thinking it will drive sales.

 

What’s the BEST piece of cannabis branding expert advice you give everyone you work with?

Focus on a target audience. Your brand doesn’t need to alienate customers, but it needs to understand who is going to hear you the loudest.

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Why Do PR: 5 Reasons Why PR is Vital to Success

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Do We Need PR?

Why do PR? These are the 5 reasons why PR is vital to growth.  Straight up: PR is the only way to differentiate yourself. While it might be tempting for businesses to focus on sales and marketing only and, it’s technically possible to operate a business without PR, it’s virtually impossible to become an industry leader or a household name without PR. Emerging industries, which need to establish credibility to investors and consumers, and hyper-growth companies with very ambitious growth plans need PR.

PR is a vital partner to business goals that have long-term effects on the success of a business. These 5 reasons why PR is vital for the success of growing companies. PR adds credibility and authority to emerging industries and hyper-growth brands.

5 Reasons Why PR is Vital for Emerging Industries and Hyper-Growth Brand Success

At Avaans Media, we specialize in emerging industries and hyper-growth brands, be they B2B or B2C. From raising awareness with consistent media placement to aligning social media with your most important key messaging, to crisis prevention and management, having a cohesive and active PR presence is the secret ingredient to building brand equity and awareness. We’re so committed to helping you get to the next level, we base our PR pricing on your strategic objectives.

 

  1. Increase Revenue: Public relations has very real and exciting implications for revenue growth. More credible than advertising PR contributes to increased sales conversion and deal flow improvement, as well as decreasing churn and increasing customer lifetime value (CLTV). Working with your PR firm to develop baselines and KPIs for your business goals not only allows you to see PR’s impact on your bottom line, but also enables your PR firm to develop a strategy that is effective and long-lasting.
  2. Attract Investors: For many emerging industry companies and hyper-growth brands, attracting investment is a key goal for scale. Investors like to see that your product has legs. There is no better endorsement of your product’s potential than media placement. It might be tempting to only use PR after you’ve secured investment, but PR can increase deal flow, give you more brand equity, and improve the quality of investment.
  3. Competitive Advantages: If you’re in an industry where there are a lot of competitors, then you absolutely need PR. PR will help you clarify your messaging and ensure you know where and when you can stand out. Further, in crowded fields, what do consumers do? They Google brands to find reviews and articles. If your brand has this critical 3rd party social proof, it’s a massive edge for your brand.
  4. Recruitment: The best candidates know their value and want to work for companies that are known entities in their industry, no matter whether the job market is tight. Great candidates are rarely interested in growing a business that hasn’t committed resources to growing the business. No one ever became an industry leader by focusing solely on cutting costs. PR shouts from the rooftops: “we’re serious about our future,” and that’s just the message to appeal to the best and brightest talent at all levels.
  5. Attract Acquisition or an IPO: Sometimes the next stage in a company’s growth is an acquisition or an IPO.  For both scenarios, completely integrated PR and marketing efforts are critical. For emerging industry companies and hyper-growth brands, if you’re serious about being acquired or an IPO, AND you want the best price for your company, now is the time to double down on brand equity investment. These strategic objectives require an aligned PR strategy that may differ from what you’ve done in the past. But since our company has done this many times, we can help you navigate the strategy and implement it flawlessly.

Why is PR your secret weapon? These are only the most critical to business goals, there are hundreds of smaller PR advantages that increase revenue and even save you money. At Avaans Media, we’re exceptionally proud of our A-team, a group of experienced and insightful communication experts who never stop working for our clients.  Get started being the most important brand you can be. Contact us today for a discussion about your business goals.

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Why Social Media and Your PR Must Work Together

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Why Social Media and Your PR Must Work Together

[5 minute read]

Many brands use PR and social media, but so many miss the opportunity to align these teams. Companies use social media to create relationships with their consumers, promote their products, and gain exposure to their key demographic. If that sounds a lot like what a PR specialist would do, you’re not wrong.

 

However, while a social media expert speaks directly to consumers, a PR strategist will cultivate a company’s positive reputation through various means, such a distributing press releases, arranging speaking engagements, and influencing traditional media to cover your story.

 

Although social media and public relations are each unique types of marketing, you can combine the two to generate interest in your brand, create trust, and engage your audience.

 

The media experts at Avaans PR explore the many returns you can enjoy by aligning your social media and PR strategies. Learn more by contacting us today.

 

Aligning Social Media With Public Relations

 

We are living in an age of technology. It’s everywhere. Marketing is no longer only about direct mail, signs, and flyers. Digital marketing has become more mainstream, and it seems like the options are unlimited. Not only can you choose individual strategies, but you can also combine various social media platforms and different types of marketing to get your message across and reach a much larger audience than you would with some of the “old school” methods of marketing.

 

Integrating your public relations efforts and social media marketing is an excellent example of how advertising has changed over the years. At one point, companies used PR to promote individual people, such as business partners, investors, or shareholders, within specific industries.

 

However, with the rise of social media and its undeniable influence, people, brands, companies, and others use these marketing platforms for public relations purposes. Both are useful in building trust between a business and its consumers, so it makes sense that the two should come together to achieve a company’s marketing goals.

 

The Influence of Social Media On Public Relations

 

Social media has had a significant impact on the world of PR. The most notable are:

 

  • Although communication is the cornerstone of both social media and PR, social media allows businesses to engage with their customers in real-time. This can allow for a more impactful PR strategy. When you’re publishing content using emails, news releases, and other platforms associated with PR, you have an opportunity to post a related update on social media, which will help your message live longer on the internet and spread faster than ever before.
  • Business stakeholders may find PR to be more “friendly” thanks to social media. Relationship marketing is a new marketing area helping companies seem approachable and warm despite the seriousness of their services or type of business they have.
  • With the help of social media, public relations can reach a larger audience than usual. Previously, PR would target specific people, such as investors or journalists. However, you can use social media to expand your target audience to anyone who can grow your business and help it become more successful.

 

The Differences Between PR and Social Media

 

Even though your company could benefit from using PR and social media together, you should understand the major differences between the two. They include:

 

  • Audiences might react differently to social media than PR. Whereas social media audiences are typically interactive and engaging, public relations audiences might take a more passive approach when interacting with content. This is because many see PR as one-sided, while social media platforms are two-sided. When you put out content for social media, your goal is to engage the public to maintain active communication. Conversely, PR content reaches the audience – through traditional media, for example – and may receive little to no engagement.
  • The way you communicate is also different between PR and social media. Companies use social media to begin conversations with their customers and increase sales. It’s crucial to use a consistent tone while engaging with the audience, so they don’t lose trust in the brand. On the other hand, PR may target their messaging more specifically to influence brand expansion and media coverage.
  • The impact social media has on your business, sales, and other marketing activities is easy to measure. You can analyze the data to determine what areas need improvement and what strategies are working. However, it’s sometimes more challenging to determine the return on investment with the PR strategies you’re using.

 

How to Use Social Media & PR Strategy

 

You can use particular social media platforms to improve your public relations plan and meet your company’s specific needs.

 

  • Instagram – Many companies use this platform to engage with their audience and bring awareness to issues and causes. Instagram is also perfect for promoting your business and keeping people engaged during an event you’re participating in or hosting.
  • Facebook – This is an excellent choice for brands or companies that regularly communicate with their audience. You can use various tools to assist with your PR activities, such as mentions, groups, and call-to-action buttons.
  • LinkedIn – LinkedIn is another excellent platform for connecting with other people. You can circulate information relevant to your business, gain the attention of influencers to help promote your products or services, and gain an insight into what other companies are doing within your industry.
  • Twitter – Social media marketing is sometimes about getting your message across using a short and to-the-point post. Twitter restricts users to 140 characters, perfect for providing a quick update to your consumers, launching a new product, or promoting your brand. You can use hashtags to reach your target audience and find comments from others about your company.

 

There’s no doubt that PR and social media together can maximize a company’s online presence. Knowing how and when to use these marketing strategies is crucial. That’s where an experienced PR and social media agency comes in.

 

Contact Avaans PR Today

 

At Avaans PR, we dedicate our time and effort to creating brand trust, building and maintaining reputations, and growing businesses for our clients. Our team knows the most effective marketing strategies that can positively impact your target audience and generate interest in your company and brand. Since 2008, our PR and social media agency has helped clients expand their digital reach, and we’re ready to do the same for you.

 

Reach out to Avaans PR for more information by completing our contact form or scheduling a phone call.

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5 PR Trends CMOs Need to Watch in 2022

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5 PR Trends CMOs Need to Watch for 2022

[6 minute reading time]
There’s no shortage of uncertainty in marketing and PR planning for 2021. But there are some trends happening that are sure to impact PR and Marketing in 2021. At Avaans PR, CMO’s love us because we know consumer trends impact where our target audience will be, the frame of mind they’ll be in and what journalists will write about.  On a tactical level, trends impact our content creation, journalist relationships, and campaign recommendations we’re making now and in the next year. We’re ready for 2021 to require agility, but we’ve found that even agility requires forward-looking and yes, some planning. These are 5 of the marketing and PR trends for 2021 we’re watching on behalf of our consumer-forward brands.

PR Trend #1: Techlash Continues

From a PR trend perspective, this has a tremendous impact. Now is the time to reimagine how you’ll use social and digital media in 2022, from both a marketing and PR perspective.

The sting of social media won’t soon to be forgotten by consumers, regardless of political affiliation. During 2020, in particular, during the pandemic, social media took on outsized importance, but also affected consumers in new ways, and not all of them positive.

Yes, consumers continue to spend time and even buy on social media, but they are spending more and more time in micro-groups of their own on platforms like Slack or Messenger, or in like-minded platforms. This means brands will have to be extremely smart about their placements and presence in 2021. The separation also requires brands to be exceptionally clear about who their customers really are.

Further, the coveted 25-55 college-educated, earning $100,000 or more per year are using social media for customer service. This coveted group will not support companies who don’t support customer care. If 2020 was the year of pandemic-related customer acquisition for your brand, 2021 will most definitely need to be about keeping them happy and engaged. Part of that will most definitely be a branding effort to existing customers, ensuring your values align with theirs (more on purpose-driven initiatives below).

But it’s not just customer service affecting social media in 2021.  e-Marketer reported:

We have increased our forecast on mobile messaging and now believe time spent by US adults will grow by 4 minutes in 2020, to 24 minutes per day, not only due to the pandemic but also data showing strong engagement on messaging services like Facebook Messenger, WhatsApp, and Apple iMessage.

 

PR Trend #2: Work With Media in New Ways

Whether it’s TV, programmatic, or print, all media outlets are bracing for reduced advertising revenue in 2021. This will have very real implications for public relations initiatives.

First, according to Edelman, trust in media actually increased in 2020. This means you should absolutely be leveraging the trust of other outlets, particularly in lieu of the distrust around social media. However, you should do so with earned media and branded content.

Expect to see more “branded content,” in 2021. Well done branded content can be very effective in both PR and branding, so consider these options carefully. Branded content is better received than traditional ads, in fact, Second Street Lab reported in June that branded content through premium publishers sees a 50% brand lift.

Further, outlets will need to keep eyeballs on their content, to help drive ad revenue, brands with media relations campaigns should be looking at ways to support outlets who support them. At Avaans PR we are actively doing this for our clients already and seeing great brand lift and also enhanced journalist relations.

 

PR Trend #3: Purpose-Driven Buyers

Trusted brands saw huge increases during the pandemic, up to 50% growth, according to McKinsey. This is due to an unprecedented shift in brand loyalty during the pandemic.

Even pre-pandemic, affinity for brands who take a stand and align with consumer’s values were seeing real ROI on purpose-driven initiatives. As Americans slog through the pandemic, they are consistently re-evaluating priorities, this is especially true for Millenials and GenZ.

PR trends for 2021, include self-love and body positivity will be a purpose for many buyers, especially those who emerge from isolation hibernation with a few extra pounds. GenZ is feeling stressed. While some are still below the age of 18, they remember the great recession. Right now, self-care and home comfort are top of their list. Pre-pandemic, GenZ was actually returning to malls, but the pandemic has left this generation feeling a bit powerless and reconsidering purchasing behavior, at least for now. But 51% of GenZ’ers say they will return to in-store shopping. But when GenZ returns to stores, according to Retail Dive, they’ll do so with the expectation of safety and a frictionless environment that mirrors the ease of online shopping.   GenZ is also moving towards “thoughtful consumption,” especially those brands with responsible sourcing, environmentally friendly policies or support social issues. Local businesses and minority-owned businesses are also on their radar in a whole new way.

As for Millenials, the eldest of whom are in their 40’s already, are leading the way, followed by the often forgotten GenX, to continue online shopping across almost all verticals from essentials to alcohol, according to McKinsey.

Plus, record low-interest rates have created a whole host of new home buyers. In September 2020, 60% of U.S. homebuyers were Millenials, they’re likely to spend an increasing amount of time at home, items that allow them to spend more quality time with friends and family will be attractive, so delivery and home-based products will take a new focus for that generation.

PR Trend #5: The New Corporation

The media loves cultural changes and the radical changes to corporate America as a result of the COVID pandemic are monumental. From new work structures resulting from work from home to updated DEI hiring practices, diverse executives, and the great resignation, the media is covering companies through a very different lens today.

Technology is a considerable sub-topic here. If your brand is using technology or inventing technology to address these radical changes, there are considerable thought leadership opportunities for you.

From a spokesperson perspective, the media is also being more proactive about gathering a multitude of diverse perspectives on almost any topic. If you’re hiring corporate spokespersons or brand representatives, be clear on your objectives, and your audience. Not all spokespersons are useful in PR, and that doesn’t mean they aren’t perfectly good spokespersons for things like ads or social media, but they might not get a lot of lift in PR.

Trust is no longer a trend – it’s an imperative. From a public relations standpoint, you’ll want to be thinking about how your brand will differentiate itself in the media and marketing activities. With trust and security taking new precedence, brands will need to think about how they will reinforce those messages in a brand-consistent way.  Now is the time to explore partnerships and the potential activations, which will create the memorable moments consumers are craving.

From tourism to retail to direct-to-consumer products, brands will need to be thinking about how they will be relevant at the right moment.

From content to media relations to events, now is the time to plan, but bake in flexibility. For example, secure your video producers now, and create three original scripts, secure the time and the talent now, so you can move faster than everyone else when the moment is right.

PR Trend #5: Cross Collaboration

This is the year where everything needs alignment. If you haven’t already, tear down the silos between PR, Marketing, and Branding. Get those people together now so they can be more effective together in 2022. Think about how each department can align on digital and in-person initiatives. Think about initiatives that are word-of-mouth worthy, there will be plenty of industry and even national coverage for brands that are thoughtful about how they align.

A unified, personal experience will be an expectation in 2021. So ensure your messaging, your purpose, and your plans are operating together, not just in tandem, but together.

Use your owned, earned, and paid media together in new ways and your brand can benefit from the realignment of brand loyalty happening right now.

 

If you’re ready to use these and other marketing & PR trends for 2021 in a more customized way, let’s talk. 

This article has been updated

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Post-COVID: 10 Marketing Statistics & Strategies to Thrive in 2020 Recession

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There are TWO keywords for your post-COVID marketing strategy: Trust and Retention

2020 won’t be a year any of us forgets anytime soon. Social distancing brought us personal and economic uncertainty that’s sure to last through the remainder of the year. We won’t fully appreciate the full impact on this global pandemic for a very long time. Now IS the time to think about your post-COVID marketing strategies though.

Right now, businesses are having to make decisions that will determine whether they’re company survives or even thrives in a post-COVID-19 world.

Let’s face it, post-COVID marketing and PR will be very needed. It’s not a question of “if,” it’s a question of “what” and “how.”

From past recessions, we know customers steer towards familiarity during times of uncertainty. With this in mind, it’s important for brands to cherish their customers, keep in touch with their customers and tap into and enhance brand loyalty.

Even in a recession, consumers will still splurge, they will STILL treat themselves, but emotional triggers take on outsized importance because consumers actually DO want to feel good about their purchases and when consumers are watching their expenses closely, they have more to lose from a lousy brand (product, customer service, communication) experience. When consumers are watching their pennies, they aren’t taking as many risks with their money.

Get Emotional With Your Customer Retention

Now is a great time to reinforce the brand relationship with existing customers. Think about customer loyalty programs and branding & PR initiatives that strike right to the heart of your existing customers. Discounts and sales are easy, but do nothing for loyalty, so look at reinforcing customer loyalty right now. Now, understand, no consumer says “I want a relationship with a brand,” instead the relationship resides in their subconscious. Our work with Captivation Motivations means we deeply understand how consumers act, even when they don’t understand why they act.

Not only does post-COVID marketing to existing customers cost less than acquiring new customers, but it also pads the bottom line for years to come:

1) Customers with an emotional relationship with a brand have a 306% higher lifetime value and will recommend the company at a rate of 71%, rather than the average rate of 45%. (Motista)

2) Emotionally connected customers stay with a brand an average of 5.1 years vs. 3.4 years (Motista)

3) Emotionally connected customers recommend brands at much higher rates: 30.2% vs. 7.6% (Motista)

Grab Share of Voice While It’s Available

Brands who maintain or even increase ad spends are able to thrive in the years after recessions, the same will be true for post-COVID marketing. There are several reasons for this, first is branding confidence.

While the Edelman Trust Barometer of 2020 addresses the lack of trust in advertising, the strategy behind advertising isn’t trust itself, it’s exposure which leads to familiarity, which leads to increased trust. Also, the ROI will improve because fewer competitors will be advertising so your message will come across more strongly.

Plus, consumers know that marketing decreases during recessions, so by advertising you’re sending a message of your own confidence and strength to both customers and competition.

That said, expect PR, specifically earned media, to take an outsized influence as earned media leads in trust. Brands using PR to refine and focus their commitment to their existing customers will score extra bonus points in customer retention.

4) Companies who maintained or increase ad spend during a recession saw a 256% increase in sales over those who cut back (Innovating Through a Recession: Professor Andrew J. Razeghi Kellogg School of Management)

5) 92% of consumers say they trust earned media over purely promotional content. (PR Daily)

6) 70% of consumers prefer getting to know a company via articles rather than ads (Content Marketing Institute)

Maximize Happy Customers


Celebrate your existing customers, because customer retention is the name of the game. But go the extra mile too, ask for and encourage your customers to give you reviews and feedback AND show that you appreciate their willingness to do so. The reason for this is simple, the more engaged a customer, the more likely they are to be in the habit of referring you to others.

For the last decade, we’ve witnessed one of the most incredible consumer shifts in marketing: the traceability of consumer referrals. We now know that for certain that when a friend recommends a product or service, that product or service immediately benefits from a trust boost. This trend will be on supercharge throughout 2020.

During the boom economy, you probably spent the majority of your marketing budget on the acquisition of new customers. In the post-COVID marketing world, now it’s time to turn your funding away from acquisition funnels and into emotional connections and reinforcing trust with your existing customers, pivoting your marketing budget towards this strategy will increase revenues (yes, even during a recession).

7) Happy American customers will share their positive experiences with and refer about 11 people. (American Express)

8) It’s 5-25X more expensive to acquire a new customer than it is to retain an existing customer. (HBR)

9) A 5% increase in customer retention can increase company revenue by 25-95%. (HBR)

10) 80% of an organization’s future revenue will come from just 20 percent of your existing customers (InsightSquared)

 

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Travel Loyalty in the Social Media

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Social Media Is Your Partner in Travel Branding

It’s no secret that today more than ever, digital branding in travel and tourism matters.

According to Google, only 9% of travelers know the brand they want to book with when they start their digital travel search.  This is both an opportunity and a challenge for hotels, airlines and even destinations.

Does this mean consumers have no loyalty? Well, yes and no. It’s well documented that increasingly, people want experiences over things and travelers today lead that trend. Today’s travelers need one of at least two things: a unique experience (for which they will usually pay more) and on-demand information about pricing. It’s more important than ever that your brand is front and center during all phases of research. It also means that your brand needs to reinforce the experience using digital.

Social Media Throughout The Customer Travel Experience

Social media is useful in all phases, but especially the exploratory phase. The exploratory phase is where initial budgets expand as experiences cement themselves. For example, a traveler may be thinking of going to Hawaii, and every airline flies there. But what airlines make the journey even more special? What location has the most unusual once-in-a-lifetime experiences? And how are real people experiencing those experiences? Integrating the day-to-day experience of the visitor on social media helps the travel shopper see themselves in the experience.  Moreover, today’s traveler wants to see a blend of “glossy” travel pictures combined with unfiltered real life.

But it’s more than that. Once the experience is over, what is your brand doing to reinforce their experience? Do you have a program in place which allows them to easily share their experience via social media? Do YOU share their experience back to them? That’s the cementing of brand loyalty and word of mouth almost all travel brands miss. How are you engaging your customers using digital while they are on-site? What can you do to turn complaints into delightful experiences? How can you show you’re engaged with their entire experience?

The other reason this is important is that the mobile experience is front and center. eMarketer predicted that in 2017, mobile bookings would surpass 40% of digital travel sales. Mobile is social and social is mobile. According to Expedia, 27% of Millennials have posted a potential trip on social media to canvas opinions before booking! Obviously, your website needs to be mobile-friendly, but how on-par is your social branding and advertising?

Does it provide a direct experience for booking?

Are you using chatbots on social to improve customer service?

How can you radically improve the investigation and booking phases using digital?

Convenience is exceptionally important to today’s traveler, who have embraced single-site travel booking experiences. BUT, today’s traveler is ALSO looking for boutique experiences, something particularly unique and for that, it’s almost better if it isn’t on a single-site because it gives the air of uniqueness. So balancing the booking trends with experience demand is important, and social media leads in this regard, because you have the change to meet the consumer where they are.

Millennials Don’t “Own” Social Media Travel

These technologies, like chatbots and mobile-friendly booking, are no longer for just the largest brands. They accessible and important for today’s traveler of all ages. It’s easy to think only “millennial” travelers are using these tools, but it’s simply not true. Consider that GenX’ers are in their mid-to-late forties already and their perfectly comfortable on Instagram and Facebook as well. According to Nielsen, Adults 35 to 49 were found to spend an average of 6 hours 58 minutes a week on social media networks, compared with 6 hours 19 minutes for the younger group.

If you’re looking to engage your potential and current audience in social media and digital branding for travelers, please contact us. We have ideas and most importantly the resources, to step up your digital travel branding in every phase of the experience.

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