Effective And Cost-Efficient Ways To Reward Your Loyal Customers
You know the popularity of loyalty programs, they are surprisingly ineffective. To stand the best chance of success in all conditions, programs must enhance the overall value of the product or service and motivate loyal buyers to make their next purchase.
Here are simple, inexpensive ways to help you develop, improve and extend customer loyalty:
What is a customer loyalty program?
Studies repeatedly show that customers want to be rewarded for their loyalty, and those rewards just make them more loyal to the business. While it makes sense for most businesses, it costs more to acquire new customers than it does to increase the lifetime value of existing customers. A customer loyalty program is a marketing strategy to engage customers that a company offers their most-frequent customers to encourage loyalty and long-term business by offering free merchandise, rewards, coupons, or even advanced released products.
Importance of customer loyalty.
- Loyal customers are easy to sell.
- Loyal customers can act as brand ambassadors.
- Acquiring new customers is more expensive.
- Loyal customers give constructive feedback.
- Loyal customers protect your business from the competition.
Powerful Email Marketing
Email marketing is the practice to send different types of content about your business to subscribed customers via email. This content can behave as website traffic, leads, or even product signups. It's important that an email campaign's recipients have opted in to receive this content, and that each newsletter offers something valuable.
Email marketing remains a quick and effective way to engage customers and nurture leads. It's also extremely cost-effective. Email marketing continues to be a critical strategy for marketing (and sales teams) across different types of industries and businesses. Although great-looking emails drive more and better results from the customers.
The 10 Best Email Marketing Software
- ActiveCampaign – best for small businesses & enterprise
- Moosend – best for small agencies & non-profits
- Hubspot – best for B2B service companies
- Omnisend – best for eCommerce
- Rejoiner – best for managed email marketing
- ConvertKit – best for bloggers
- SendinBlue – best for transactional emails
- Autopilot – best for marketing automation
- MailerLite – best for personal projects
- Moonmail – best for developers
Listen To The Feedback
Customers come and go in business, it is normal. But as marketers and business owners, our duty is to minimize the detraction rate as much as possible. Before you try to retain your customers, you need to understand why they are leaving. And it’s important to ask the opposite of that question, too -- Why are your current customers staying? When customers use your products, they will have an opinion about it. The best way to know how they feel about it is to provide channels that they can use to inform you. These opinions can be helpful in different ways.
Some reviews or feedback can be potential for why they are leaving in the future while you can use it to improve your products. Nike is one great example. The company handles customer support and feedback on Twitter using a separate handle, reacting quickly to queries in real-time.
With the help of the latest analytics technology, one can provide customers with discounts on products they purchase regularly, as well as products that complement prior purchases. You can give discounts to college students on their ID’s as they are mostly the ones visiting often. Whether it’s for college students, veterans, or senior citizens, offering an exclusive discount is a great way to retain your customers.
Discounts can also get people to buy from you during typically slow times. For example, a movie theater that offers $5 tickets on Tuesdays or a restaurant that gives a 10% discount to college students on Monday nights. Knowing that they can get a better deal on a certain day will help you create a loyal customer base. This will attract more people to your business and your existing customers can recommend and share with more of them.
Some examples of special rewards:
- Designer Shoe Warehouse(DSW)
- Sephora Beauty Insider.
- Starbucks Rewards.
- Tarte <3.
- Amazon Prime.
- The North Face.
- TOMS One for One.
- Plenti Rewards.
Loyalty Programs For Small Brands
Loyalty programs have been proven as one of the most effective tactics for increasing revenue and increasing customer loyalty. As many as 84% of consumers say they’re more apt to stick with a brand that offers a loyalty program. And 66% of customers say the ability to earn rewards actually changes their spending behavior.
- Scratch coupons. You can offer scratch coupons for your loyal customers who can redeem them during checkout. This will make it more interesting and they will be more excited to use your services.
- Gift cards. You can give gift cards with special discounts for the next purchase or for your most loyal customers. This will make them feel special and can recommend it to more people.
- Referral rewards. Your customers can share your site or app on different platforms and can get a referral code, on joining with that code the one sharing will get certain points which can be redeemed while checkout. This will make your customers share your work and can be beneficial for both.
- Membership opportunity. You can give monthly or annual membership with certain discounts which can keep them loyal and award them with more facilities and benefits.
- Free trials. You can give your customers free trials of your service and they can subscribe after that. In this way, you will gain your customers' trust and they will be able to try your product or service first.