Almost half (45%) of Australian consumers are ‘silently loyal’ to brands — regularly purchasing from them while rarely recommending them publicly. That’s according to the latest research from SAP Emarsys Customer Engagement.
The SAP Emarsys’ Customer Loyalty Index (CLI), surveying over 2,000 Australian consumers, has revealed that so-called ‘silent loyalty’ is on the rise amongst Australian consumers – so it is brands who understand how to engage these loyalists.
It can, in some cases, be hard to know why a silently loyal customer keeps coming back. However, according to SAP Emarsys research, with 55% of customers willing to a brand due to just one bad experience, these silent customers deserve to be nurtured.
One brand excelling in this area is Total Tools, Australia’s largest professional tool retailer. While Total Tools has built a loyal base of vocal brand advocates, its customer base also includes a significant number of silent loyalists. These customers repeatedly shop for everyday tools and essentials, providing consistent revenue but rarely engage in public recommendations or reviews.
To address this, Total Tools partnered with SAP Emarsys to leverage the power of AI. By unifying customer data across all touchpoints into a single, actionable view, Total Tools was able to prioritise these silent loyalists and build personalised campaigns to reward their quiet commitment.
“We’re using the customers’ interactions with our brand to drive a conversation with them. And with AI and machine learning doing the heavy lifting for us, driving personalisation at scale, we can focus on delivering a more rewarding customer experience,” said Elisse Jones, group head of loyalty, Total Tools.
Through this partnership, Total Tools achieved a 200% increase in loyalty sign-ups online, showing how recognising and engaging silently loyal customers can translate into measurable business success. By using SAP Emarsys’ automation and AI-driven personalisation capabilities, Total Tools is able to reach customers on the right channels, deliver timely and tailored offers, and maintain an ongoing dialogue that nurtures deeper relationships.
The importance of silent loyalists cannot be overstated. These customers require minimal effort to retain and often provide a stable revenue stream through repeat purchases. Research shows that acquiring a new customer can cost up to five times more than retaining an existing one. Silent loyalists, when nurtured with a seamless, personalised experience, become a key driver of long-term business growth.
“Silent loyalists are the unsung heroes of customer loyalty. AI empowers brands to uncover these valuable customers, delivering tailored experiences that further strengthen the customer relationship. By focusing on convenience, availability, and personalised rewards, brands like Total Tools can build enduring relationships with these customers, ensuring they feel valued without disrupting their loyalty,” said Sara Richter, CMO at SAP Emarsys.