A loyalty program can be simply defined as the process of making clients loyal to a brand by giving them incentives that make them buy the product or service continuously. Loyalty membership is a marketing strategy that rewards customers for frequently engaging with the brand. The more investment the customer makes; the more benefits they get. To promotes client loyalty and keep competitors at bay, brands must ensure customer’s preferences are at the centre of their marketing efforts.
Forms of Customer Loyalty Initiatives
Points-based loyalty program – this type of loyalty program allow the client to accrue points that can be used to get freebies from the brand. Point-based loyalty schemes are quite popular and it makes up over 70 percent of loyalty programs because they can be easily set up. Several online businesses have a hard time getting customers to visit their e-commerce websites. Referral marketing and points-based loyalty programs can be used by e-commerce businesses to boost sales. Online brands can allow customers to earn points when they take any action that brings visitors to the website like sharing the company’s website on social media platforms. A loyalty program should not be dependent on frequent purchases by customers alone, OnePass AU rewards customers for introducing more customers to the brand.
Game-based loyalty schemes – Everyone loves a nice game. OnePass Australia offers customers a game-based loyalty program to promote loyalty and improve the value of the brand. Although this type of loyalty program can make the customer feel like the company is toying with them before they can be rewarded for frequent purchases. Brands can alleviate this perception by ensuring customers are duly rewarded for their efforts when they engage in these games. The odds shouldn’t’ be below 25%, and the purchases required for participation must be affordable. Furthermore, the company’s legal team must review the games to ensure they follow proper regulations before opening the contest to customers. If properly executed, companies can use a game-based loyalty program to bring excitement to buying and selling.
Excellent Customer Loyalty Practices – Initiate an Adaptable Program
Adaptability is crucial to the success of loyalty programs. Customers prefer openness and loyalty programs that can work with other schemes. Hence, companies must ensure their loyalty programs are flexible. For instance, if a loyalty program offers customers points and rewards, these points and rewards should be transferable. OnePass loyalty programs are flexible enough to give insight into customer preference without forcing their hand. Also, flexible loyalty programs offer convenience because customers can easily transfer their points or rewards to meet their other needs with relative ease. A good example of a flexible loyalty program is the coalition program which allows businesses to partner with each other to give clients more opportunities whilst fostering a positive business association.
Merits of loyalty programs
Loyalty programs give the brand access to customers’ information. When customers enrol in a loyalty program, brands can ask them different questions regarding their choice, demographics, and other relevant information that can be used for adverts later in the future. The information and insights gathered can be used for targeted product/service promotions to give customers a personalized shopping experience. Brands can also track customers’ purchases and improve sales by upselling and suggesting related products. When customers experience excellent customer service, there is a 90% possibility that they will stick to the brand and become loyal customers.