A study conducted by global consulting firm Accenture revealed nine out of every ten companies in the world have a loyalty program in place. As per a survey conducted by Incentive Solutions, more than three-quarters of B2B companies run B2B loyalty programs.
A majority of enterprises partner with loyalty platform providers to design and implement loyalty programs. But choosing a loyalty platform provider is not an easy task. It takes a lot more time and effort than typing some search terms such as “best loyalty platform providers,” “top 10 loyalty software providers,” and “most affordable loyalty platform provider,” and researching the providers.
7 Steps to Choosing Loyalty Platform Providers
To help you out in your search for a good loyalty partner, we have created the right loyalty partner checklist, especially for large-scale enterprises.
- Features and USPs
- Loyalty fraud prevention mechanisms
- Flexibility and scalability
- Privacy and security
- Integration capabilities
- Real-time analytics and reports
This blog post discusses the things businesses look for when they choose a suitable loyalty platform provider. Read on and thank us later.
1. Features and USPs
Before B2B companies and enterprise brands start looking for any loyalty platform provider, they know the exact features they want in their loyalty platform. That’s the prism through which they make buying decisions based solely on features and unique selling propositions (USPs).
To explain USPs in simple words, it is the answer to the questions such as “What’s special in the B2B loyalty platform software that others don’t have?” “Why should I buy from this loyalty platform provider instead of any other?”
Some loyalty platform providers offer some additional features and USPs compared to competitors. And that makes a lot of difference to enterprise brands who are looking to create high-quality B2B loyalty programs.
Budget is another factor that plays a huge role in determining the right loyalty partner. As American radio personality Dave Ramsey rightly said “A budget is telling your money where to go instead of wondering where it went.”
Many enterprise brands set a budget before they begin to scout for loyalty platform providers. That gives them a ceiling to invest and prevents them from over-investing and under-investing.
Just imagine a situation where an enterprise-level organization doesn’t have a pre-set budget for its loyalty platform. It may over-invest in a solution with a wide range of features and specifications. But it faces a higher risk of under-investing in an inferior-quality platform that comes at a heavy “discount”.
Fixing a budget will help in deciding the quality and number of features you would like your platform to have as well as the APIs (Application Programming Interfaces) you would like to access. As popular content strategist Tere Stouffer said, “Used correctly, a budget does not restrict you. It empowers you.”
3. Loyalty fraud prevention mechanisms
“If you see a fraud and don’t do anything, you are a fraud.” This quote by acclaimed writer Nassim Nicholas Taleb is so relevant in today’s time where loyalty fraud is a serious concern for a majority of B2B companies. Pilferages and frauds are two big problems in traditional loyalty programs.
According to Forter’s 2019 Fraud Attack Index, loyalty fraud increased by 89% and the total dollar amount in online loyalty fraud rose by 12% on a y-o-y basis. Many contemporary enterprise brands focus on loyalty fraud prevention mechanisms when they look for loyalty platforms.
Sophisticated loyalty platforms come equipped with robust fraud prevention mechanisms, which can help an average manufacturing or B2B company save thousands of dollars every year.
4. Flexibility and scalability
Do you know the main reason why a majority of loyalty programs fail? They are designed as one-size-fits-all programs! Loyalty programs evolve. That’s why a majority of enterprise brands make sure that the loyalty platform provider is willing to offer customized options to align with its unique requirements.
Loyalty programs should be flexible to adapt to changing business objectives, customer preferences, and market trends. Selecting a sophisticated loyalty platform provider enables enterprise brands to tailor rewards and customize loyalty programs to specific customer segments.
Advanced loyalty platforms also provide huge scalability to enterprise companies. The right loyalty platform can help B2B companies scale up (as well as scale down) their loyalty programs as per their business requirements. They can enhance member intake, transaction volumes, and redemption of rewards without any problem.
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5. Privacy and security
Customer data is indispensable for loyalty programs. That’s why enterprise-level companies collect and store a lot of relevant zero- and first-party data from their customers and channel partners. They must ensure the privacy and security of all data and information. Privacy is not an option. Privacy is non-negotiable. Organizations cannot compromise on security and compliance at any point.
While looking for a loyalty platform provider, enterprise brands prioritize security and compliance. The larger the enterprise and the bigger is their customer base, the stronger should be the privacy and security.
Enterprise brands assess loyalty platform providers’ security measures ranging from access controls, data storage practices, and encryption protocols. You should also ensure that the loyalty platform provider’s platform complies with the General Data Protection Regulation (GDPR), Personal Data Protection Bill (PDPB), and other location-specific regulations.
6. Integration capabilities
Enterprise brands use different systems for different purposes. They use Customer Relationship Management (CRM) platforms to monitor, manage, and organize their relationships with customers. Marketing automation tools to send automated messages and emails via SMS, instant messages, and emails. Ticketing systems to create, track, and close various tickets. That’s why they look for a loyalty platform that can integrate with all the existing systems seamlessly.
When looking for a loyalty platform provider, enterprise brands look for platform providers that can offer strong integration capabilities. When a loyalty platform seamlessly integrates with existing infrastructure, it streamlines operations and enhances customer experiences.
A well-integrated loyalty platform enables enterprise-level organizations in synchronizing customer data from multiple sources, enhancing customer segmentation, and executing targeted marketing campaigns effectively. Integration capabilities should extend beyond basic data exchange to include automated processes, single sign-on functionality, and API (Application Programming Interface) support.
7. Real-Time Analytics and Reports
“What gets measured gets managed.” The statement by renowned management guru Peter F. Drucker is so relevant for loyalty programs. When loyalty programs are well-monitored and measured, they can be properly managed and pivoted.
When looking for loyalty platform providers, B2B companies check if the loyalty platform provider equips their platforms with high-quality analytics and reporting tools. If you search for loyalty platform providers, make sure that their loyalty platforms have advanced analytics and reporting capabilities.
Get Ready to Enter the Big Stage,
When businesses, particularly enterprise-level organizations, look for loyalty platform providers, they take many factors into account to make an informed decision. It starts with the features they need and the price they are willing to pay. It also involves the security, flexibility, scalability, and integration capabilities the platform provider offers.
At LoyaltyXpert, we have helped a lot of enterprise brands find the right loyalty platform for their business needs. We can do the same for you. And the best part is, we provide 30 days of free demos to help you determine if our platform is the best fit for your organization. So what are you waiting for? Contact our team today to start your free trial.