Customer loyalty programs are intended to provide rewards to your company’s customers. However, these programs work best when customers are offered great deals or incentives to join. In order for your customers to want to utilize your program, you must provide them with some worthwhile return.
The key to a successful loyalty program is providing members with a benefit that they will take advantage of. If they use a loyalty program card, you can track their shopping behavior and craft the benefit accordingly. For example, if they purchase a specific item over and over, a coupon for that item will be appreciated.
Many consumers keep a few loyalty cards in their wallet that they use over and over again at their favorite stores. Designing a customer loyalty program is a great way to show your customers that they are valued and ensure that consumers will continue to return to your company. If your customers or clients feel like you appreciate their business, and you offer them something substantial, a customer loyalty program can go a long way.
Such programs encourage repeat business. A customer or client will be more likely to return to your business for products and services if they know they will be accumulating points along the way. If you’re close to a free reward at a certain company, you’re not going to suddenly switch over to another business. This helps your customers feel connected and keeps them coming back.
When your customers feel valued, they will spread the word. Lets face it, this is what every business owner wants: Free advertising. Word of mouth is one of the most powerful forms of advertising, and a loyalty card is a great way to get people talking about your business.
If you run a retail store, a time-honored and simple way to start a rewards program is with punch cards. Giving customers a hole punch on their card every time they spend $20 in your store, for example, will lead customers to return to get their reward. Once they hit a certain spending threshold, they won’t be nearly as likely to switch their shopping to the store down the street.
Customers can sign up for your loyalty program by giving you their e-mail address, then they can receive loyalty rewards right in their email account — along with newsletters, information on new products and services and any other information you’d like to send. Use their email addresses to remind them of their points and how much they need to spend to get to the next level of the rewards program.
A loyalty program not only reminds your clients and customers that they are appreciated, but it gives them a good reason to keep purchasing from your business. It’s also a great way to ensure that consumers will choose your products and services over your competitors’. Creating long-term loyalty with your customers can really pay off.