In a market that is so competitive, your business needs every advantage that it can use to go forward and grow. The development of a loyalty program works both to maintain the current customer base and to attract new ones. With a coherent and transparent loyalty program, you will always be in the attention of your customers.
The premises of a successful loyalty program are established from the very beginning by an equal treatment based on value thresholds, the benefits of the loyalty program being directly proportional to sales performance. A compromised loyalty program from the very beginning is where the benefits are offered to customers on a discretionary basis and not on the basis of everyone’s contribution to the success of your business.
To make an analogy with Google, the best placed businesses are those that invest the most in content and optimizations, positioning algorithms running the same for all online businesses.
How do you know if your program is successful?
Set up some specific goals and monitor how it works over time.
Enlisting in a loyalty program is also an excellent benchmark. For example, you know that the largest client in your portfolio has a turnover of 5 million euros per year, but your product sales account for 2%. By incorporating it into your loyalty program and providing performance-based incentives, you can see if your program is fruitful or requires adjustments.
Customers love loyalty programs where the basics and points are not restrictive, they have at their fingertips the benchmark of performance and can consume points when they want, for products they consider relevant.
A loyalty program does not have to be a “black box” for the client and a logistic nightmare for you. Customer focus must be sales, because each sale is a proximity to a new threshold. For example, with Rewardiful you can keep your customers connected to your loyalty program by setting weekly alerts to tell your customers by email the level of points you’ve reached.
Here is a set of good practices, which we will discuss in detail in our following posts:
- A loyalty program is not a one-off action but must work perfectly both to attract and retain customers;
- Have a simple reward system and the prizes offered are relevant to your clients.
- Be clear in setting goals from a comfortable customer base so you can determine whether or not it is a successful program;
- Priority must be to retention, then to acquire new customers. The reason is simple, for the existing customers you have already invested time and resources, there is a relationship, a communication and are already familiar with your brand.
Rewardiful is also an excellent communication in which you can create and develop a relationship with your partners. Treat them as a small social media community. Give them ideas that they think are valuable in achieving your program goals.