How To Build Customer Engagement: The Engage Stage of the Flywheel Method
Learn how the Engage stage of the Flywheel method turns one-time buyers into loyal advocates. Discover proven strategies to build customer communities that drive 6,469% ROI and generate sustainable revenue growth.
OK, So you attracted them. They found you. They clicked, they followed, they maybe even bought something.
Now what?
Most businesses pat themselves on the back and move on to the next customer treating people like transactions instead of investments. One-and-done. Next. Moving on.
But, see… The businesses that scale understand something critical—the real money isn't in the first sale. It's in what happens after.
We’re talking about the Engage stage of the Flywheel method. This is where you stop chasing new customers like you're running on a hamster wheel and start building a community that does your marketing for you.
How the Attract Stage Sets Up Engagement
We talked about the Attract stage in our last blog. You figured out who your ideal customer is, what keeps them up at night, and how to get their attention. You created content that stopped them mid-scroll and you showed up consistently. You built trust.
That got them in the door.
But getting someone's attention once doesn't build a business. Keeping it does.
The Engage stage takes that initial interest and turns it into something deeper. Casual followers become engaged customers. One-time buyers become repeat customers. Customers become advocates who tell everyone they know about you.
Why Engagement Beats Acquisition Every Single Time
Research shows that increasing customer retention by just 5% can boost profits anywhere from 25% to 95%. Not a typo. Up to 95%.
Meanwhile, it costs 6 times more to attract a new customer than to keep an existing one.
But most businesses are still dumping their entire budget into chasing new customers while their existing customers feel ignored.
Dude - It's freakin’ backwards!
I want you to understand what happens when businesses focus on engagement. Companies that prioritize customer experience grow their revenue 1.7 times faster than those that don't. Businesses focusing on customer experience see a 2.3 times increase in customer lifetime value.
Even better, customers who engage with a brand across multiple channels have a 30% higher customer lifetime value than those who stick to just one channel. And existing customers spend 67% more than new ones.
You're not just keeping customers when you engage them properly. You're building relationships that become more valuable over time.
Your Customers Are Your Best Sales Team
Stop spending money on ads when you could be investing in the people who already love what you do.
Word-of-mouth marketing generates a $6.50 return for every dollar spent. Compare that to paid ads where you're fighting algorithm changes, rising costs, and declining trust.
Better yet, 88% of consumers trust recommendations from friends and family more than any other form of marketing. Your customers talking about you beats your best ad campaign every time.
Think about it. When someone asks for a restaurant recommendation, do they trust the Facebook ad or their best friend who went there last week? When they need a plumber, are they clicking sponsored posts or asking their neighbor who had great service?
Your engaged customers become your sales team. They refer friends. They leave reviews. They defend you in Facebook groups when someone asks for recommendations. They create content about you without you asking.
But here's the catch—they only do this if you give them a reason to. If you build a relationship worth talking about.
Real Life Example of an Engaged Community
Picture a boutique fitness studio opening in a market dominated by big gym chains. The chains have bigger budgets, more locations, better brand recognition. Competing on price or advertising would be a losing battle.
Here's what happens when that studio chooses community over competition.
Instead of chasing the chains' playbook, they focus on knowing their members. They learn names. They celebrate personal wins. They create a private group where members share progress, swap recipes, and cheer each other on.
They host monthly events outside the gym—hiking trips, healthy cooking classes, volunteering days. They feature member spotlights on social media. They build a referral program that rewards both the referrer and the new member.
What changes? Members stop seeing the gym as a service they pay for and start seeing it as a community they belong to. They bring friends to try classes. They post about their workouts constantly. They recommend the studio without being asked.
Referrals become the primary source of new members. Retention climbs well above industry average. Customer acquisition costs drop dramatically because existing members do the recruiting.
The studio doesn't just have customers. It has a community that actively grows the business for them.
The investment? Less than they'd spend trying to out-advertise the chains for a single month.
Another Real Life Example of an Engaged Community
I want to show you another scenario. A coffee shop competing with two Starbucks locations within a mile radius. They can't win on convenience or brand recognition.
Here's what happens when they choose to be more than a place to grab coffee.
They learn regular customers' orders. They host local artists' work on their walls. They partner with nearby businesses for cross-promotions. They create a loyalty program that feels personal, not transactional.
They start a community board where local organizations can post events and opportunities. They host open mic nights, book clubs, and small business networking meetups. They make their space available for community gatherings.
Regulars become fiercely loyal. They drive past Starbucks to get their coffee. They bring clients and friends. They post about the shop online. They leave glowing reviews mentioning staff by name.
The result is sustainable growth. Word-of-mouth traffic becomes their primary customer source. Customer acquisition costs drop to nearly nothing because existing customers do the heavy lifting. The business can expand based on organic growth rather than paid advertising.
The shop doesn't just serve coffee. It becomes a community hub that people actively promote because they feel ownership in its success.
What Engagement Actually Looks Like in Your Business
Let’s walk through what engaging your audience really means. This isn't about gimmicks or fake relationships. It's about genuine connection and consistent value. The ONLY way this works is through authentic connection
Show up consistently. Don't just post when you need something. Share helpful content that your customers will value. Answer questions. Start conversations. Be present. This builds trust over time.
Make it personal. Remember details. Use names. Reference past conversations. Treat people like people, not account numbers. This separates you from every business that sends automated, generic responses.
Create exclusive value. Give your engaged customers something they can't get anywhere else. Early access. Behind-the-scenes content. Special perks. Community-only events. Make them feel like insiders.
Facilitate connections. Don't just build relationships between you and your customers. Help your customers connect with each other. That's when community really takes off and becomes self-sustaining.
Ask for and act on feedback. Show your customers their voice matters. Ask questions. Make changes based on what they tell you. Let them know you listened. This turns customers into invested stakeholders.
Celebrate them. Feature customer stories. Highlight their wins. Make them the hero, not your product. People love being recognized and will remember how you made them feel.
The overall idea here is to equip your audience with the information and materials they need to share, promote, and easily advocate for you.
The Flywheel Keeps Spinning—From Engage to Delight
The Engage stage doesn't exist in isolation. It's the bridge between Attract and Delight.
You attracted them with content that spoke to their pain points. You engaged them by building a genuine relationship and providing consistent value. Now you're positioned to delight them—to exceed expectations so thoroughly that they become your loudest advocates.
Next week, I'm going to walk you through the Delight stage and show you how to turn engaged customers into raving fans who voluntarily become your marketing department.
But right now, I want you to take a hard look at how you're treating your existing customers.
Are you nurturing relationships or just chasing transactions?
Are you building a community or just accumulating followers?
Are you investing in engagement or still dumping everything into acquisition?
The businesses that scale sustainably don't have bigger ad budgets. They have stronger communities.
Your action step for this week. Pick three existing customers. Reach out personally. Ask how they're doing. Ask what they need. Don't sell anything. Just build the relationship.
That's where real growth starts.
Reply and tell me what's working in your business. What's one way you're currently engaging your existing customers that's building real connections? I want to hear what's actually working on the ground.
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