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6 Tips to Building Customer Loyalty

October 15th, 2020 | Gift & Loyalty

How to Grow Your Loyalty Program

If you managed to find the right company, setting up a loyalty program can be fairly quick and easy. But how do you get the best out of your loyalty program? Being able to have a highly competitive loyalty program is a continuous process, so you should be looking to update it as much as possible.

Here are 6 tips that can help you to continue building your loyalty card program right now:

Find Unique Ways to Engage Your Customers

The most common way businesses will try to engage with customers is with seasonal offers. Every December, they will send out offers based around Christmas. These are common because they work. But because seasonal offers are used so often, this area of offers is oversaturated, making it harder to stand out.

The best way to generate customer loyalty is to create unique and personal offers. Customers love to receive offers they don’t expect. For example, a thoughtful birthday present is amazing to receive. But a thoughtful present out of the blue tells you that person really cares. Offering unexpected and unique rewards is a great way to increase engagement and improve customer loyalty.

Be unpredictable. People want to feel unique. One person may not be interested in an offer that someone else is. Try to create offers and communicate with your customers in the most personal way possible. But how do you do this? The most effective way is by collecting and segmenting data…

Analyse and Segment Data

To find out how to build and grow your loyalty cards, you need to know what people want. Luckily, you don’t need to be a mind reader, you can find this out by analysing your customer’s buying habits. For example, find out what people are buying from you and when. A certain product may be popular all year round or its demand may be seasonal.

Once you know this, you have a better idea of what to offer your customers. Creating the right offers will encourage them to buy from you and collect points on their loyalty cards. Another way to find the right offers is with data segmentation.

Data segmentation involves taking the data you hold and grouping it into categories. Examples of these segments include:

  • Gender
  • Age range
  • Prospects or loyal customers

There are many segmentation techniques in marketing. All are based around delivering the right results by knowing your customers better. Knowing the right way to segment and analyse your data will take your loyalty program to another level. For example, you can tailor your communications to better match your customers’ buying habits:

Communicate in the Right Way

To grow your loyalty program, you need to promote it to your loyal customers. But are you communicating in the right way? You must vary how you communicate with your customers and contact them in a way that they will see and engage with. If you’re contacting all your customers via email, ask yourself, is this the most effective way of communicating?

Email may be the best way for a certain segment of your customer base. But SMS will be more effective for a different segment. It’s also important to create unique messages. Use infographics and write interesting content; capture your customers’ interest and they will be more likely to engage with your message.

Let people know the new rewards available from your loyalty program, how close they are to the next incentive and their loyalty card point balance. This will encourage them to buy from your business to gain their next reward. The key to generating loyal customers is consistent communication. With helpful and interesting messages, you will encourage people to buy from your business.

Fresh Incentives

People will join your loyalty program because it benefits them. This could be for several reasons; maybe they love your products or they want to earn a reward. But even when your loyalty program is successful, for it to grow you need to attract more people to join. You can do this by adapting the incentives and rewards customers can earn from their loyalty cards.

Always be on the lookout for ways to draw in fresh interest to your loyalty program. Find ways to offer better value, reward customers faster, and provide unique incentives. Offer the right rewards, without costing your business more. If you can do this, your loyalty card memberships are going to grow and grow.

gift and loyalty cards represent savings

Reward New Members

Even a bad loyalty program can gain lots of members. All you have to do is offer a reward for joining. It could be as simple as offering double points for new members on their first purchase or a 50% discount when they take out a loyalty card. The difference between a bad and incredible loyalty program is an incredible one will continue to reward its members.

It’s important to not only focus on how a business benefits from its loyalty cards. If it’s only the business benefiting, customers will soon start staying away. Provide relevant and exciting incentives, communicate effectively, and reward your customers effectively. Then they will stick around. This will grow your program and allow you to analyse more data on who your customers are.

Stand Out Online

Your online presence needs to be distinct. If your business doesn’t stand out from the crowd, how will customers notice you? Develop your social media, promote a creative website and make sure people can find your business online. Once you’ve done this, you can promote your loyalty program.

Create a unique and personal online presence. This will capture people’s interest but also make them more likely to trust you. Which is so important when asking them to sign up to a loyalty card. Having a strong character online will not only promote your loyalty program but your entire business. That’s why investing in your digital presence is vital. Make sure people trust your business and want your rewards, that’s how you improve customer loyalty.

These are 6 loyalty building tips. Hopefully, they’ve given you an idea on how to continue to grow your loyalty program. To find out more, get in touch with our team today:

Contact Us Today

Give us a call on 020 8266 1600 or fill in the enquiry form on our contact page today.

Written by Lucy Wenham

Lucy is a customer loyalty expert, with experience in loyalty schemes for small independent stores, right through to our town and city-wide loyalty schemes.

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