How To Grow Your Loyalty Program Membership
Mar 29, 2017
Customer Loyalty Programs can drastically increase your revenues, but be sure to follow a few simple rules to make your program grow.
The Power Of Loyalty Programs
A loyalty program is a rewards program offered by a company to encourage customers to make frequent purchases. Customers like loyalty programs because they earn free merchandise, coupons or other types of rewards. Companies benefit by increasing customer loyalty, which translates to dollars.
A typical loyalty program has a reward for number of purchases (buy five, get one free) or a reward for total spending (spend $100, get $10 towards your next purchase.)
To make sure that your customer loyalty program grows along with your business, keep in mind these following points:
- The loyalty program has to be easy to understand. If the customer is confused, the customer will shop elsewhere.
- Progress must be easy to track.
- Rewards must be valuable and relevant to your business.
- Your employees must be well trained, not only with respect to how the loyalty program works, but also on how to encourage customers to sign up.
- Information about your loyalty program needs to be everywhere, from your website to your counter displays. To keep your loyalty program on your customers’ minds, offer them a plastic key-tag, a colorful plastic card that is typically attached to a key chain. When the customer sees it, that customer is reminded of your program.
A plastic key tag system is superior to a paper punch card system because it can help you easily acquire information on how your customers shop. Once you are tracking your customers’ spending habits, you can learn valuable information about what is working, and what is not. You can customize your advertising efforts on a customer-by-customer basis to increase your profits while avoiding unnecessary marketing costs. For example, in a retail store a customer who regularly buys diapers might be interested in discounts on baby food, while a customer with no record of buying baby products might not.
You can also collect information on what times of the day or days of the week your customer is more likely to shop and you can adjust your marketing strategy accordingly.
Contact a representative at Plastic Resource today to learn how to grow your loyalty program.
