The Customer Loyalty Loop

6. Stage Four: Happily Ever After

If you create a great experience, people tell their friends, but you don’t own the gas pedal on that. No attempt we’ve made to bribe our customers into telling more people or even inspire them into telling more people by making charitable contributions and other things, has ever given us a gas pedal on word of mouth referrals. The best gas pedal on word-of-mouth referrals is just a great experience.

—Gail Goodman, CEO of Constant Contact¹

The customer who has recently finished a transaction with you is more likely to engage in a transaction with you again. This is the power of recency. And, the more frequently a customer engages in a transaction with you, the more likely they are to continue that behavior. This ...