Loyalty in Services Indusry... Are customers loyal to the Firm or its employees ?

Here is a typical example from the customized-personalized service market:

A woman who goes to a hair salon may describe herself as very loyal to that salon. But if her stylist leaves, she'll immediately switch to the new salon. Her loyalty was to the individual, not the company.

Companies often confuse loyalty to their employees with loyalty to the firm. So while they invest in increasing the Loyalty they need to be careful that the same loyal customer is not taken-away by your leaving staff to your competitor along with the "same loyalty"

read to Original Post by Harvey Schachter: Defining customer loyalty

Good Article: Do low-cost carriers have low-class mileage programs?

Do low-cost carriers have low-class mileage programs?

Very Good Article by Tim Winship on smartertravel.com

Here is the last para of conclusion.. but would suggest to read the original article too :)

Overall, programs like American's are significantly more generous and
more flexible than programs like Southwest's. So while LCCs have
one-upped the mainline carriers on several fronts, in the area of
frequent flyer programs, the legacy airlines have managed to maintain a
competitive advantage over their lower-cost rivals.

Powered by ScribeFire.