Loyalty: The Attention Economy is Dead. Long Live the Loyalty Economy

The Attention Economy is Dead. Long Live the Loyalty Economy

Consumers are bombarded by marketing messages across every medium—social, streaming, out-of-home, email, and others. With every brand competing for attention, cutting through the noise has become tougher than ever. The problem? Most of it is just that—noise

In this attention-based model, brands invest heavily in gaining visibility—often through intrusive tactics. And while these methods remain important for reaching new customers, one-off interactions are no longer enough to sustain growth or profitability as brands must constantly search for and find their next new customer. Attention, while necessary, is inherently fleeting and costly, requiring brands to constantly outspend each other to remain relevant, pushing CAC (customer acquisition costs) to all-time highs.

The Loyalty Economy

Luckily, there is a way through, if not out. The attention economy is dead; long live the loyalty economy.

The loyalty economy, on the other hand, is about building trust, consistency, and a sense of shared values that give customers reasons to return, even without constant prompting. Loyal customers bring higher LTV (lifetime value) and act as brand advocates—generating a recommendation flywheel that comes at no additional cost to you, delivered with the kind of direct, trusted endorsement that’s difficult (if not impossible) to buy anyway.

Loyalty marketing is about increasing your efficiency and consistency. It makes sure that the acquisition dollars you do spend are optimized so that your brand gets the maximum LTV. By investing in loyalty, brands create a foundation that not only reduces reliance on costly awareness campaigns, but also builds community and engagement that are sustainable and mutually beneficial.

In addition to being a cost-effective and powerful offense, loyalty is also your best defense. It serves as a powerful bulwark against various market risks, providing stability in unpredictable environments. Loyalty creates resilience to competitive poaching. Customers will be less likely to be swayed by competitors, price fluctuations, or temporary market disruptions. Loyal customers are also more forgiving, often standing by brands during challenging times like economic downturns or supply chain disruptions. Loyalty can help create consistent revenue streams that can buffer against financial volatility of many kinds.

SMS is the Most Effective Medium for Earning Loyalty

SMS is an especially powerful medium for loyalty marketing because it offers a direct, intimate connection with each customer. As a brand, you’re literally in your customers’ hands. Unlike the unpredictability and opacity of social media or overrun email inboxes, SMS is a high-engagement, permission-based channel, practically tailor-made for the loyalty economy.

Strategies for Using SMS to Build Brand Loyalty

Educate and Engage

Customers value brands that enrich their lives. Instead of the predictable discount-focused messages, use SMS to provide educational content, personalized tips, and insights on how they can get the most out of your products. For example:

  • Send messages linking to high-value video or blog content
  • Share guides and insider pro tips
  • Highlight seasonal or limited-time content for extra relevance

Brand Storytelling

Customers feel more connected to brands that show authenticity. Use SMS to provide glimpses behind the scenes, spotlight your team, and share your brand’s story and values.

  • Share quick “day in the life” updates from your team or founder
  • Take your customers “behind the scenes” of product development or creative processes
  • Emphasize your values by telling the origin story of your brand

Exclusive Access and VIP Treatment

Consumers crave exclusivity, especially in a channel as intimate as SMS. By treating SMS subscribers like VIPs, you can foster loyalty through balancing a sense of belonging with the reinforcement that your VIPs are special.

Customer Service and Support in Real-Time

Customer interactions via SMS are both direct and instantaneous. Addressing questions or concerns through SMS shows customers they’re valued and helps to prevent friction in the consideration or buying process. With consumers less and less likely to call a support line and with the delayed nature of email, SMS presents a unique opportunity to meet customers where they are, right when they need you most.

  • Use SMS to field common customer needs with a human touch (and an AI assist)
  • Offer product recommendations based on their questions and purchase history
  • Use the customer-initiated engagement to add value (like tips or an appreciation discount) or ask for feedback

Surprise and Delight Moments

Unexpected rewards and personal touches can significantly enhance customer loyalty by making your brand stand out in the most customer-centric of ways.

  • Include complimentary or sample items with orders
  • Surprise customers with an unexpected upgrade to their purchase or experience
  • Include personalized thank you notes as part of the packaging and fulfillment process

Post-Purchase Engagement

The first sale is only the beginning of the relationship. Post-purchase SMS messages keeps your brand top-of-mind and helps customers feel connected even after they buy.

  • Share tips or guides relevant to the products they just purchased
  • Provide exclusive insights or recipes for products, such as “ways to enjoy” your product in different contexts
  • Send occasional commercial messages (like restocks or new products) hyper-targeted to their preferences and past purchases

Using SMS as the key pillar in your loyalty strategy goes beyond spray and pray coupon code messages; it’s about meaningful engagement with your VIPs. By focusing on customer needs, building trust, and co-creating the “world” of your brand alongside your customers, your SMS channel can be transformed from one that is transactional into one that builds lasting customer loyalty. By strategically leveraging SMS as part of a broader, loyalty-first brand strategy, you create a stronger, more resilient customer base that supports both your brand’s bottom line and long-term growth.