Here’s How To Improve Your Retail Sales With A Customer Loyalty Program


Customer loyalty is essential to sustain your business in the market. If you have a large user base of customer loyalty, you can increase sales effectively. Loyal customers do not make frequent purchases with your business; they drive in more customers through word of mouth. Hence, businesses are offering some kinds of perks to the shoppers to keep them doing frequent business with your brand. And, customer loyalty programs are one of the great ways to retain loyal customers and attract new ones.

Loyalty programs refer to the marketing techniques that entice customers to make a frequent purchase with a specific product/service or brand. When customers buy a product, they receive rewards. These rewards may incorporate special discounts, giveaways, gifts, membership privileges, or anything else.

Whether you run a brick-and-mortar or online retail store, offering loyalty rewards will be beneficial for the long run. The Retail industry is facing much competition where retaining the brand loyal customers is crucial.

But, how to increase sales through customer loyalty programs?

If you employ the right loyalty programs, definitely you can increase retail sales. Customer retention is the obvious benefit you want to achieve through a loyalty program. However, you need to focus on specific steps while introducing a new rewards program for your retails business. Have a look at the following steps;

  1. Decide the kinds of rewards you want to offer
  2. Identify the actions you wish to the shoppers to take and how
  3. Makes the rewards appealing for the consumers
  4. Use a mobile app or some kind of web app to track the details of the loyalty program.

Nevertheless, there are certain techniques that would help to end up with the most successful customer loyalty programs. Now, let\’s explore the techniques to improve sales through a loyalty program.

1. Keep it as simple as possible

It is the unavoidable fact that the consumers will choose one loyalty program over another if they find it simpler to use. The easier your customer loyalty program is, the more apparently customers are willing to sign up, stay engaged, and spend more money with your brand.

Hence, design and develop easy to comprehend a loyalty program that makes it handy to access mobile apps as well. In fact, the mobile app is the most lucrative way to introduce loyalty programs for customers. The tech-savvy approach helps to offer customized rewards, track the data, and allows in making informed decisions.

2. Personalized approach 

Customers are highly attracted to the business who provides value added customized services. Long gone are the days where you are choosing the same rewards for all customers. They just do not want to be treated like other customers; instead, they wish to be treated as a unique, valued customer.

The loyalty program is likely to boost sales if you send new customers a welcome email, thank them for signing up by addressing them by their first name, propose them a free or discounted product on their anniversary, and communicate with them periodically via SMS or push notification. This will make them feel valued along with establishing an emotional connection to your brand. Hence, if you add a personalized approach to the customer loyalty program, the chances of its success increases. Also, customers are likely to make more purchases with the rewards they get while purchasing retail products.

3. Gamification

This is an excellent technique to keep customers engaged and attracted to your retail business. With the gamification module in the loyalty program, you can add excitement for the consumers. It is one of the most successful and fun ways for retailers to entice customers to make a frequent purchase.

For instance, organize scratch and win contents. When consumers buy goods, provide them with a scratch card, then the prizes can be redeemed in conjunction with their other collected rewards points.

4. Educate your staff

Your staff plays a vital role while accumulating brand loyal customers. They are the face of your business as they must communicate with the potential buyers. So, the staff members are the first one who should be aware of the loyalty programs for the customers. The more they know about the customer loyalty program, the more they can promote. Make sure you provide comprehensive details about the program such as perks, features, benefits, and how to use it. This information will help your staff to guide them better to engage with the loyalty program you are offering.

You can use various types of teaching to educate them, i.e. quizzes and self-training exercises enjoy the most success. If the staff enthusiastically discuss the loyalty program with customers, the customers are more likely to enroll for it.

Besides, while you are operating a retail business, you can select these types of loyalty programs for your consumers;

  • Basic points
  • Partner retail loyalty programs
  • Tiered points system
  • Upfront fee loyalty programs
  • Referral-based loyalty programs

In short, you should end up with the customer loyalty program that helps to increase sales for your retail products.

LoyaltyXpert is one of the leading loyalty program agencies that help businesses to design the most prolific loyalty program solutions. Our loyalty specialists hold hands on experience in identifying the most useful loyalty solutions like a mobile app for the businesses.

Connect with us to get more details on how LoyaltyXpert offers the loyalty program software.