Firms in business-to-business (B2B) and business-to-customer commerce share similar goals. Both wish to increase repeat business, retain customers, and improve revenue.
Whether a retail customer or corporate client, the basic formula remains the same. Your existing SaaS product consumer will show much more interest in your new solution than those signing up for a software demo.
Now, you wish to know if loyalty programs can offer equal benefits to B2B firms. We are a specialist in customer loyalty program software. We want to highlight the following crucial aspects of B2B loyalty.
B2B customers love appreciation
Yes, you guessed it right, a B2B client consists of more than one decision-maker.
Companies may have an individual from finance, IT, or a business unit head as procurement in charge. Therefore, it’s undoubtedly a tough nut to crack. But, clients in business-to-business deals also appreciate being made feel special. So, why not give them a motivating factor to stick around?
By 2023, the B2B eCommerce market will cross the $1.8 Trillion mark. You certainly wish to grow your market share, don’t you? The easiest way to reach the goal is by keeping existing clients engaged, satisfied, and loyal.
Study your target client’s organizational structure. Make a list of crucial persons your sales team needs to impress. Analyze their LinkedIn profile. Then, target them, tell them about your loyalty incentives.
Keep the base structure simple
A complicated loyalty program structure might work in the case of a business-to-consumer firm. However, hard to understand features won’t attract B2B executives.
More variables and tangled features can complicate things. Your sales team won’t have a whole day to explain how the program works. So, keep benefits, tiers, redemption model, points accrual as simple as possible.
Provide a “how-to” guide to members so that they can check and redeem points via web portals and apps.
Yes, this strategy is out of the business-to-consumer loyalty textbook. But it works in the business-to-business landscape too. You can encourage decision-makers to opt for a membership and get immediate discounts.
An economic incentive in the form of volume discounts for purchases can prove perfect. Clients can use the value immediately or while making significant future purchases. Immediate discounts can ensure repeat business.
Dedicated mobile apps and websites
Companies offer user-friendly apps and websites to B2C customers. Why not provide the same personalized buying experience to B2B eCommerce clients?
Let customers manage discounts and monetary rewards via a web portal or an app.
Most web stores can display product catalogs and price lists. Integrate the web storefront with your CRM and loyalty platform.
Retrieving incentives and using them against purchases should be easy. Empower your clients with self-service capabilities. They should have complete visibility into their loyalty membership data.
Analyze the buyer’s journey
Studies suggest that B2B buyers’ journey starts before they contact the supplier. Executives spend roughly 17 percent of the overall time interacting with suppliers.
Remember, the time gets distributed between many suppliers. Hence, each supplier may end up with 5 percent of the time and attention from decision-makers. In the end, the customer may purchase just one product or license.
What’s the solution to decode the journey? Your existing consumers have the answer to this question.
Customer loyalty programs can help track clients’ digital and sales-averse journeys. Their reviews and testimonials can help spread the word.
SMBs can refer others to your business in exchange for referral rewards. But it’s worth noting that B2B referral programs do not work in attracting big firms.
Understanding your customer’s taste is important
Why spend resources analyzing clients’ business rather than worrying about your bottom line? The answer is simple. You can generate more quality leads if you understand what your B2B clients have on their plates. Examine what matters the most to them.
Fortunately, loyalty programs enable you to reach your B2B customers for additional communication. Continuous customer insights offer ample opportunity to ensure their needs are met. The data can also spark fresh ideas for developing new products and services.
Use your loyalty platform for motivation and influence
You are certainly looking forward to improving profit margins and growing top-line revenue. But, influencing an organization’s decisions is not as easy as convincing a retail customer.
Loyalty programs do have the capabilities to turn a transaction relationship into a long-time partnership.
B2B Loyalty platforms offer tools that can even encourage corporate clients to try other services or products from your portfolio. So yes, it is possible to influence their purchase frequency and spend with the right kind of motivation.
Depending on the purchase pattern or seasonality, you can tweak loyalty programs and provide differentiated benefits.
Are you unsure about the types of rewards that B2B consumers appreciate? Here’s a quick look at the most popular ones:
- Incentives for generating referrals
- Rewards in the form of educational content
- Immediate discounts on bulk orders for members
- Tiered incentives
- Access to exclusive services for members
- Incentives based on points per spent
- Prizes based on anniversary, relationship milestones
- Access to VIP events and shows
Focus on the following areas while drafting loyalty programs for business-to-business clients:
- Evaluate the client’s purchase potential and analyze their buying habits.
- Point out the key stakeholders or decision-makers in the organization. Then, find out how you can best incentivize them.
- Ensure your loyalty programs focus on value propositions like business benefits. It’s the best way to appease rational buyers.
To sum it up:
Loyalty initiatives help get the best ROI out of existing consumers. Are you planning to recreate your loyalty program structure for B2B clients? Get in touch with LoyaltyXpert. We can help you create a strategy and deploy the best loyalty software as well. Our specialists will ensure your sales objectives align with reward structures. So, you can expect improvement in client retention and repeat business.