auto dealer in black and red logo
MenuMENU
SearchSEARCH

Loyalty v. Fidelity

Mauricio Espinosa - Do customers and prospects identify your company by your loyalty program, or do they identify your company by your Vision, Mission, Passion (VMPTM)?

March 10, 2008
4 min to read


For some companies, loyalty means having a customer loyalty program. These programs are in abundance and go by many names; each of which will include one of these three words - miles, points or rewards. For the company, the pitfall of a loyalty program is the illusion of customer loyalty to the company. When we look behind the illusion, we find the reality is that the customer is not loyal to the company or to the company’s products and/or services. The truth is that the customer is loyal to the program because it gives the customer some benefit that he or she likes. If your competitor one-ups your program, that so-called loyal customer of yours will jump ship and become your competitor’s so-called loyal customer. The loyalty I speak of is something that can’t be bought.

Loyalty programs are a good thing. They provide benefits to customers, but they do not create or build loyalty. Loyalty comes from believing in someone or something and a mutual respect. Loyalty is built upon the customer feeling and believing that he or she is in the right place, being taken care of by the right people, and having all their needs met (including needs they didn’t even realize they had). That is the loyalty that retains current customer business and brings in new referrals, which grows your business.

Ad Loading...

In the Hispanic culture, loyalty is built through time and consistently being there for the family. In the Hispanic community the problem of one member becomes the problem of the family; the victory of one member becomes the victory of the family. Think of your customers as your family. Loyalty is gained through the formation of a strong relationship with the customer— not a simple miles or rewards program.

A question I pose to clients is this:  Do customers and prospects identify your company by your loyalty program, or do they identify your company by your Vision, Mission, Passion (VMPTM)? When your company has turned from your VMP to some program, you’ve lost your focus. Before reaching for loyalty and fidelity, you may need to revisit your company’s mission and regain focus.

When your customers become part of your business, when they are doing more than recommending you, when they are selling you, sending you qualified customers ready to buy, you have Loyalty. When your employees become part of your business - that’s Fidelity.

While loyalty is about looking outward (i.e. making your customers your family), fidelity - the top of the CSI Pyramid - is about looking inward; it’s built within with your employees. It comes from the behavior of your employees. Employees must feel that the company they work for is more than just work. They should identify that your business is the source of all that they have; the source of their financial means to realize goals and dreams.

When your employees gain a sense of ownership, then you’ll realize the power had in multiple individuals representing your company. The affect is so strong that the customers, vendors or anyone that comes near, wants to become a part of it. Welcome to the pinnacle of the CSI Pyramid.

Ad Loading...

You might be thinking to yourself that the talk about loyalty in the Hispanic culture, building a family and forging relationships is nice and all, but you ask yourself, “Can we really accomplish fidelity in an automobile dealership?”

When you work together as a family, employees and customers grow together and you become stronger and better, which leads to stability. As with any family, make sure you always thank them and celebrate success together. For example, sometimes management throws a little party for the staff to celebrate 25 years in business. What about the customers, shouldn’t you be celebrating with them? They are what kept you going for those 25 years. I say, think bigger; do more than a party. Have a carnival and invite the whole family. Celebrate not just your success, but the success of your employees and customers as well.

I must stress to you that loyalty and fidelity are not something you can do half-way, nor just decide to stop and quit. It is a challenging road that requires a daily commitment. I assure you the road leads to victory and it is well worth the adventure.

Hasta la vista.

Vol 5, Issue 1

Subscribe to Our Newsletter

More Digital

Modern Data Strategy infographic
Digitalby Lauren LawrenceJune 19, 2026

Reduce Fragmentation, Connect Customer Data

Automotive dealerships have the opportunity to reach more consumers by putting their customer data into a unified system, according to a new report.

Read More →
Auto Dealer Today, Dealer Debrief, 06/18/2026, with Lauren Lawrence
Digitalby Lauren LawrenceJune 18, 2026

Dealer Debrief: Service Tech Recognition

In this week's debrief, host Lauren Lawrence covers a change to Automotive Service Professionals Month, a dealership acquisition, and a new Lexus rooftop!

Read More →
Auto Dealer Today, Dealer Debrief, 06/11/2026, with Lauren Lawrence
Digitalby Lauren LawrenceJune 15, 2026

Dealer Debrief: Manufacturing Meets Demand

In this week's debrief, host Lauren Lawrence covers shifting strategies in the U.S. auto industry and how they reflect the current consumer demand.

Read More →
Ad Loading...
Photo of red Tesla car parked outside of building
Digitalby Hannah MitchellJune 12, 2026

Trust of Autonomous Cars Not Automatic

A poll of U.S. consumers finds more awareness of the technology but no movement when it comes to relying on it for transportation.

Read More →
Auto Dealer Today, Dealer Debrief, 06/04/2026 with Lauren Lawrence
Digitalby Lauren LawrenceJune 4, 2026

Dealer Debrief: New Technician Credential & Vehicles for Change

In this week's debrief, host Lauren Lawrence covers a new ADAS technician credential that is in the works and a partnership between NADA and Vehicles for Change.

Read More →
Auto Dealer Today, Dealer Debrief, 05/28/2026, with Lauren Lawrence
Digitalby Lauren LawrenceMay 28, 2026

Dealer Debrief: Dealer's Choice Awards

In this week's debrief, host Lauren Lawrence covers reinsurance, IIHS safety picks, and voting for the 2026 Dealers' Choice Awards.

Read More →
Ad Loading...
Man smiling at camera.
Digitalby StaffMay 18, 2026

JD Power Launches F&I Performance, ID Verification Tools

The resources are the first two offerings by the company's new Dealer Solutions division, which is being led by auto industry veteran Doug Betts.

Read More →
Photo of Buick Envista moving down road flanked by trees
Digitalby Hannah MitchellMay 8, 2026

Advanced Safety Features Make a Difference

GM says research shows such technologies have made real inroads in reducing the rate of U.S. collisions as it aims for crash-free roads.

Read More →
Portrait of Cox Automotive President Steve Rowley alongside company logo, representing acquisition of Fullpath to enhance AI-driven data and marketing solutions for auto dealers.
Digitalby StaffApril 24, 2026

Cox Automotive to Acquire Fullpath

The company says the deal brings artificial intelligence-native data and marketing infrastructure to its dealer network for a unified platform.

Read More →
Ad Loading...
hands making protective frame over red car, Risk Reality Check, Be Proactive, Auto Dealer Today logo
Dealer OpsApril 1, 2026

Managing Risk Effectively Through Changing Times

The variables influencing risk pricing have changed significantly over the past five years. Being proactive and responsive to emerging trends is not optional but essential.

Read More →