Loyalty Myths

About the Authors

Timothy L. Keiningham is a senior vice president and head of consulting for Ipsos Loyalty, a global leader in customer research and loyalty consulting. Keiningham's extensive experience in the field of customer loyalty is evident in his numerous publications and speaking engagements, making him a well-respected authority in the industry.

Terry G. Vavra is the chairman emeritus of Ipsos Loyalty. With a deep expertise in customer satisfaction and loyalty, Vavra has authored four books on the subject and is a renowned consultant and public speaker. His insights into customer behavior and business strategies have influenced many organizations worldwide.

Lerzan Aksoy is an assistant professor of marketing at Koç University in Istanbul, Turkey. Her academic background and research in customer loyalty provide a solid foundation for the book's insights. Aksoy brings a scholarly perspective to the practical applications discussed in the book.

Henri Wallard is the CEO of Ipsos in charge of Ipsos Loyalty. His leadership in one of the world's premier business research firms underscores the book's credibility and the robustness of its findings. Wallard's expertise ensures that the strategies and debunked myths presented are grounded in real-world business practices.

Main Idea

The main idea of "Loyalty Myths: Hyped Strategies That Will Put You Out of Business - And Proven Tactics That Really Work" is to challenge the conventional wisdom surrounding customer loyalty. The authors argue that many widely accepted beliefs about customer loyalty are not only incorrect but also potentially harmful to businesses. By debunking 53 common myths with hard science and real-world data, the book aims to provide a more accurate and effective approach to leveraging customer loyalty for business success. The pursuit of customer loyalty can be highly profitable, but only if businesses avoid the myths and focus on strategies that truly work.

Table of Contents

1. Loyalty Myths That Subvert Company Goals
2. Loyalty Myths Contaminating Company Management Practices
3. Loyalty Myths About Customers
4. Loyalty Myths Concerning Loyalty Programs
5. Loyalty, Share of Business, and Profitability
6. Loyalty Myths Regarding Employees
7. The Right Way to Manage for Customer Loyalty

Loyalty Myths That Subvert Company Goals

The first section of the book tackles myths that directly undermine company goals. One of the most seductive ideas is that customer loyalty should be the number one goal of any firm. While it sounds appealing and morally upright, the authors argue that this is a misguided approach. Theodore Levitt's famous maxim, "The organization must learn to think of itself not as producing goods or services but as buying customers," has been misinterpreted over time. The true purpose of any business is to identify and satisfy customer needs at a profit, not just to pursue loyalty for its own sake.