Brand communities — groups of people who come together to share their emotional connection to your brand — are incredibly valuable to small businesses. Brand communities can deliver customer loyalty, decrease marketing costs, and increase brand value.
With the right approach, a brand community can help different areas of your business perform more effectively. Here's how to integrate insights from your community across your business operations and reap the benefits of a dedicated following.
Improve recruiting, and create a positive company culture
Sometimes, your biggest fans can also be your best employees. When you have an open position, consider sharing it with your brand community first to see if anyone is the right fit. Your business's fans may become your most motivated employees when given the right support.
Explore alternative ways for your workforce to engage with your brand community. Communities flourish when established on two-way relationships. Treat your members as partners instead of customers. Encourage your employees to interact directly with community members, answer questions, and share ideas. This approach helps community members feel included in your team and also makes your team feel like their work really matters.
[Read more: 5 Companies With Great Work Cultures and What You Can Learn from Them]
LEGO Ideas is a perfect example of how to use a community to develop new products. LEGO invites members to submit their design ideas, complete activities around specific themes, and participate in challenges.
Develop products that meet (and exceed) customer expectations
Brand communities are great sources of feedback. This dedicated group of fans is willing and eager to submit ideas, requests, and constructive criticism as you innovate new products and services.
LEGO Ideas is a perfect example of how to use a community to develop new products. LEGO invites members to submit their design ideas, complete activities around specific themes, and participate in challenges.
"By allowing fans to submit and vote on new set ideas, LEGO ensures that its products align with the desires of its community. This approach not only results in innovative sets but also deepens the bond between the brand and its customers," wrote Social+.
Create more effective marketing campaigns
Marketing is perhaps the business area that benefits the most from a brand community. These communities are great sources of user-generated content (UGC), brand ambassadors, and other forms of word-of-mouth marketing.
"Not only are people devout to their favorite brands, but buyers will even happily label themselves a brand ambassador, claiming no other shoe, lip gloss, or sports equipment brand except this one," wrote The Brand Leader.
Marketing teams can, with permission, showcase how real customers use (and love) your product or service, use community insights to shape marketing strategies, and encourage community members to share their experiences, creating authentic UGC.
[Read more: 11 Real-World Examples of Successful User-Generated Content Campaigns]
Lower customer acquisition costs
Community members often make the best brand ambassadors, sharing their positive experiences with others. This organic word-of-mouth advertising is highly effective and reduces the need for extensive paid advertising campaigns.
Likewise, strong communities foster long-term engagement and loyalty, reducing the need to constantly acquire new customers. A lower churn rate means lower overall acquisition costs over time. Remember, 80% of your profits will likely come from 20% of your existing customers. Focusing on community engagement can have real long-term financial benefits.
Make better business decisions
Maybe you're seeking to open a new location. Or maybe you want to start selling your product at a big-box retailer and are considering which one is the best fit.
Brand communities can give you information to help you make the best decision. For example, polls and surveys can collect feedback on where your community is located to help you find the right real estate for your new storefront. You can also test the temperature of selling your items in a big-box retailer and avoid outrage if your customers prefer to shop directly from your brand.
CO— aims to bring you inspiration from leading respected experts. However, before making any business decision, you should consult a professional who can advise you based on your individual situation.
CO—is committed to helping you start, run and grow your small business. Learn more about the benefits of small business membership in the U.S. Chamber of Commerce, here.
