What is a fandom, and what is its value for brand development?
According to Pollstar, Taylor Swift’s world tour became the most profitable in show business history. The singer’s massive fan base has helped to generate more than US$1 billion in revenue. Such success speaks to the incredible power and potential of fans. And it can all be harnessed for business. A brand’s fandom is a powerful tool that can help strengthen its position in the marketplace and build customer trust.
Taylor Swift’s fans are the perfect example of a strong and functioning community. The singer’s appearance at a football match increased merchandise sales by 400%. And her boyfriend’s Instagram account gained around 300,000 new followers.
Show business is not the only place to find fandoms. They exist in almost every industry – sports, cinema, television. These communities form naturally, with people united by common interests.
How to turn loyal customers into company fans
Celebrity fans are potential customers for a business. Influencer marketing is the most common way for a company to attract their attention. But this is the most straightforward approach. To build a long-term relationship, a company must focus on building its community.
Some brands show promising results in this direction. Companies like Apple, Nike, Amazon and Netflix have effective loyalty programmes. These companies invest in their fans by building a special system of relationships. These companies have high customer acquisition and retention rates thanks to their efforts.
Creating a fandom is only possible for a strong brand with a certain level of popularity. Such companies already have a good base of loyal customers who share their values. The company must create a separate universe for the community where the fan can fully immerse himself. A prime example of this approach is K-pop. These groups offer their fans a huge amount of content:
- music and live performances;
- video blogs;
- reality shows and interviews with band members;
- personal brands;
- fan events and more.
Companies can also go beyond just social media. This can include brand development stories, employee blogs, merchandise and more. Particular attention should be paid to building a solid relationship between the brand and the fandom. The company should understand the role of loyal customers in its success and be grateful. It is essential that the company shows respect for the fans and appreciates their trust. Organising fan meetings, providing exclusive offers and introducing a personalised approach will help.
The purpose of creating a brand fandom is to involve users in the product, its concept and the process of its creation. Then, the company will not only be able to increase sales but also gain an audience of loyal customers.
