What’s loyalty cost?
I believe there are two sides of the loyalty cost coin.
The cost of our loyalty to others . . . or companies or products
and the flip side
The cost associated with KEEPING the loyalty of others.
Seth Godin wrote a great blog post today and got me thinking.
“Loyalty is what we call it when someone refuses a momentarily better option.” Seth godin http://bit.ly/azAJiD
OK . . . so if you are Loyal to someone, an organization, or a product, a cost of that loyalty is what they call in economics an “Opportunity Cost”. Your loyalty may cause you settle for less when more is infinitely available elsewhere.
Your loyalty may cause you to pay more money for the same product or service.
Your loyalty may cause you to miss out on features and amenities.
In essence, your loyalty may be creating a blind spot in your field of vision such that you are not even looking beyond your nose for anything more (or better).
None of that is bad . . . It’s OK to accept less if you’re satiated with what you’re getting . . . and likely, you won’t even be aware of what you’re missing out on . . . until something happens . . . perhaps a disappointment in the status quo . . . or a shift . . . or an obnoxious “sneezer” introduces you to a new and different and more shiny way.
In my experience when someone’s awareness heightens outside the walls of their loyalties, they almost always express some level of regret that they didn’t shift their loyalty SOONER.
On the other side of the coin, how does a person or organization or product gain loyalty from people?
If you want others to be loyal to you, you first must be a loyal person yourself.
You cannot buy other’s loyalty – although many do try through marketing and price slashing sales and lofty claims . . . most of which wreak of delusions of grandeur.
Someone who is truly a loyal person is not a mercenary.
Does this mean that you shouldn’t REWARD others’ loyalty?
this is the point that Seth Godin finds in his post.
ABSOLUTELY! Now’s the time when it is perfectly Ok to treat people differently. The loyal customers get perks that the others don’t and they get more attention.
That’s a cost of loyalty.
So . . .
Consider your own loyalties and the possibility that you may be sequestering yourself from other (potentially better) ways . . .
Consider your way of building and retaining the loyalty of others . . . Are you trying to buy it or are you coming from authenticity? Are you rewarding these folks?
And finally . . . What’s the cost?
I write this post as I am literally within a couple of days of opening a new Real Estate firm in Nashville, TN.
Why open a real estate firm in SEPTEMBER in a lousy market?
For me, it’s about loyalty as I see many real estate agents who are restless and looking for “more” . . . more support, more coaching, more business, more camaraderie but may be staying where they are because of loyalty . . . and continue to do the same things expecting different results.
Pareto Realty is a PERFORMANCE based model. We’re not going to brag about fancy web-sites or posh offices or low splits (Although we will provide all of that) . . . We are simply here to best serve the agents who join us by offering an environment conducive to higher and higher levels of achievement.
In my book . . . If being with your current organization enhances your performance and helps you live a balanced life, you’re in the right place 🙂
Remember . . . You must first be a loyal person yourself.
I’m just sayin’