Step 1

Start with a quality product or service
By now you probably have a product, service, or brand in mind that you wish to market. Do everything in your power to ensure that the product is of the highest quality, particularly if the product is a new release. First impressions are often the last impression. Create a good impression, and people will remember, and tell their friends, who will tell their friends. A bad impression will also have a viral feedback effect. Think of the iPod as having a good first impression; high quality and good service, everybody loved it, everybody wanted it. Now think of Microsoft's Windows Vista as giving a bad first impression; poor quality and functionality, nobody loved it, nobody wanted it.
Step 2
Reward Loyalty
One of the best ways to encourage loyalty is to offer rewards programs for frequent customers and consumers. Think of the way that airline companies offer frequent flier programs or even something as simple as your 10 hole punch card at your local coffee shop. When you notice and recognize the patronage of your customers, they will notice and recognize your company and reward you, in turn, with loyal customers.
Step 3
Be Active In Your Community
Associating your business or brand with local activities is a great way to show the community that you care about them and that they should care about you as well. Don't feel like this means that you have to be a cash sponsor of local events or that you have to give away tons of product (although this might help!), instead, if available, offer space for a local association to meet; like a conference room, or perhaps even weekend use of an empty office. These types of kind gestures can go a long way to improving brand image and brand loyalty among customers.
Step 4
Follow-Up!
Once you have established a good relationship with your customers, it is time to begin a Customer Relationship Management (CR) Program. This can be as formal and expensive or informal and inexpensive as you would like it to be. There are several programs that you can purchase that will manage your customers' feedback for you, but in general, I find that a phone call to a few loyal customers tends to do the trick. Ask questions such as, how was your shopping experience? What about our product would make you recommend it to a friend? What about our product would not make you recommend it to a friend? What service can we offer to make your experience with us better? What product or features would you like to see? When can we expect to see you back?
Certain questions will work better in certain situations. The main point is that you need to be in constant connection with your customers so that they know that you value them and that they can rely on you to provide the highest quality and best service available.