The Business Case for Gratitude: Saying Thanks Drives Success

I’m the kind of guy who generally doesn’t need acknowledgment or praise to motivate me. I get by on my self-worth and don’t need others to validate me. But a “thank you” here and there can really make a difference for me. Having someone say thank you lets me know that the work I do is appreciated, and that goes a long way to motivating me to do more and better.

I’m in marketing, and in this space, it’s easy to get lost in deadlines or caught up in the pursuit of growth, revenue, and efficiency, not only for 2 Fish Co. but also for — especially for — our clients. But one simple principle — gratitude — is worth stopping for. Gratitude has the power to transform relationships, foster loyalty, and drive success. Being thankful isn’t just a feel-good exercise; it’s a strategic approach that can set your business apart. And it’s just the right thing to do.

The Science of Thank You

Gratitude isn’t just a throwaway comment or mindset; it’s a practice with proven benefits. Research shows that expressing gratitude improves mental well-being, increases engagement, and strengthens relationships. This translates to stronger employee morale, better customer retention, and enhanced team collaboration in a business context. Showing gratitude creates a ripple effect: your employees feel valued, your customers feel appreciated, and the overall environment becomes more positive and productive.

How Gratitude Drives Success

Customer Loyalty

Want to keep your customers? Say “Thank you!” Whether through personalized notes, loyalty programs, or unexpected perks, showing appreciation lets your customers know that you appreciate them, the money they spend with you, and that they are valued. Even when a relationship has a transactional nature (and maybe even especially when), your customers like knowing that you value them. This emotional connection fosters trust and long-term loyalty.

“What’s the impact on my business?” you might be asking. A study by Bain & Company found that increasing customer retention rates by 5% can increase profits by 25% to 95%. So there’s that. And according to an oft-referred but apparently uncitable report by the Rockefeller Corporation, 68% of customers leave a business because they feel unappreciated.

Employee Engagement

Employees are at their best when they feel their efforts are acknowledged. Cultivating a culture of gratitude can increase morale, reduce turnover, and enhance performance. Simple gestures like recognizing achievements in meetings or sending thank-you emails create a more engaged and motivated workforce.

For years, at 2 Fish Co., we handed out “kudos cards” during onboarding. The idea was simple: at some point, your colleagues will do something amazing that makes your day better, makes your job easier, or impresses the heck out of you. Instead of simply saying something, write them a note. That practice has laid dormant over the last year as we’ve moved offices and lost those cards somewhere. But the results were unmistakable. The team created a culture of recognition and kindness that extended to our clients.

Gallup research shows that companies with high employee engagement have 59% lower turnover rates and are 21% more profitable. We have experienced this. A study published in Harvard Business Review indicates that employees who feel appreciated are up to 12% more productive.

Partnerships and Networking

The benefits extend well past the walls of your business. Expressing gratitude to business partners, vendors, and collaborators strengthens professional relationships. Kudos cards, a cup of coffee, recognizing your partners’ efforts in front of their bosses — these actions show that you value the relationship, paving the way for stronger and more fruitful connections. How do we know this aside from the anecdotal evidence? A Capgemini study found that businesses that focus on emotional connections with customers see a 20-40% increase in customer lifetime value.

Simple Ways to Say Thank You in Your Business Life

• For Customers, Host customer appreciation events, offer exclusive discounts, or send personalized messages. Remember those kudos cards!
• For Employees: Implement recognition programs, celebrate milestones, or take the time to thank your team for their hard work. And don’t forget those kudos cards!
• For Partners: Write thank-you notes, highlight their contributions on social media, or feature them in your newsletters. And for goodness’ sake, write a kudos card!

Grateful Hearts Give Good Business

Gratitude isn’t just good manners—it’s good business. By making thankfulness a cornerstone of your business strategy, you can create a culture that attracts and retains customers, motivates employees, and strengthens partnerships. In doing so, you achieve business success and contribute to a more positive and connected world.

Now Go Out There and Give Thanks!

This coming week, while taking a break and celebrating around a Thanksgiving dinner, think about the people who make your day better, make your job easier, or impress the heck out of you, and write them a kudos card. You won’t regret it (and neither will they).

AI content note: This blog was researched using chatgpt.com, which also produced content prompts for writing.

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