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Best of Laguna Beach · Jun 16, 2026

The OTHER Side of The Loyalty Equation

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Most businesses focus on delight moments when trying to build customer loyalty. But loyalty is created through two forces: memorable positive experiences AND the absence of unnecessary friction. Discover the overlooked side of what I call "The Loyalty Coin."

In Friday’s Flying Monkey Effect episode release, I talked about how customers rarely leave because of one giant problem. They leave because of an endless parade of small frustrations that slowly drain trust, patience and emotional energy … what I call Flying Monkeys.

But there’s another idea hiding inside that same episode’s conversation. I call it The Loyalty Coin.

Most businesses are only looking at one side of their Loyalty Coin. They think loyalty is created through delight moments – and they’re right … the unexpected upgrade … the handwritten note … the exceptional service recovery … that moment when a customer says, “Wow, I wasn’t expecting that.”

Those moments absolutely create loyalty – but they’re only ONE side of the coin.

The other side of the coin?
Far less glamorous but probably more important than its front face.
THAT side is the absence of unnecessary friction.

When you’re effectively able to remove the confusing process, hidden fee, 19 extra clicks, and phone transfer to “The Land That Does Not Exist” … now THAT is providing both sides of The Loyalty Coin!

It’s time to find those customers who started out delighted but slowly become reluctant … then frustrated … then resentful.

When the coin keeps spinning and spinning and finally lands on “resentful,” you’ll be lucky to ever woo them back.

Loyalty isn’t ONLY built through positive experiences.
It’s built by removing the little things that quietly drain trust, patience and emotional energy.

The strongest brands understand both sides of the Loyalty Coin.
So, which side are you spending more time improving?

Watch the 10-Minute Episode:


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