Loyalty Segmentation

9 Proven Loyalty Segmentation Templates for 2024

If you are a manufacturer or a business owner, then you should segment your customers and tailor different strategies to attract and retain different customer groups. “Why?” you ask. As per a recent stat, brands that segment their customers are 60% more likely to understand customers’ pain points and challenges and 130% more likely to know their intentions.

Another study by McKinsey & Company found that brands that customize their offerings to customer segments generate 10-15% higher revenue than their competitors that don’t tailor their offerings.

This blog post discusses some effective loyalty segmentation templates businesses should know in 2024 and how to attract and retain customer groups in each segment. Read on and thank us later.

Finding the Right Loyalty Segmentation Templates

Here we have discussed nine extremely effective templates that will be highly popular in 2024:

  • Champions
  • B2B Customers
  • Loyal Advocates
  • High-Value Customers
  • Customers with High Potential LTV
  • Brand Lovers
  • Occasional Customers
  • Gift Seekers
  • Product Category Fans

What is Loyalty Segmentation?

The process of dividing customers into different groups or segments based on their tastes and preferences, behavior, and value to your business is known as loyalty segmentation. This enables brands to customize their loyalty programs and provide more tailored and meaningful rewards, incentives, and communications to each customer segment.

Now, when it comes to loyalty segmentation templates, we have discussed nine extremely effective templates that will be highly popular in 2024. 

Loyalty Segment 1: Champions

Also known as premium big spenders, champions engage in high-value transactions and make huge purchases, which make them a major contributor to a brand’s revenue. True to their name, champions want exclusivity, highest level of quality, and best-in-class experience.

To retain champions, you need to offer exclusive rewards and benefits such as access to premium services or products, VIP treatment, exclusive customer service, and more such unique benefits. By offering these rewards, brands can build a strong connection with the biggest premium spenders and encourage them to continue their support.

Loyalty Segment 2: B2B Customers

Business-to-business customers are business owners or senior-level professionals who buy products or services for their company. This customer segment is extremely particular about specific requirements such as customization options, bulk orders, or specialized services customized for their industry needs.

To attract and retain B2B customers, provide competitive pricing and tailored solutions, build strong relationships, and deliver exceptional customer service. Apart from that brands also must understand the unique needs of B2B customers and constantly communicate with them.

Loyalty Segment 3: Loyal Advocates

This customer segment not only makes repeat and regular purchases but also actively promotes your brand to others. They have a long history of engagement with your brand and contribute immensely to growth and success.

These customers regularly purchase featured items, share their positive experiences on social media, recommend the brand to others, and engage in referral programs. Identify and reward your most vocal supporters by creating a referral program or giving them exclusive access to product launches.


Loyalty Segment 4: High-Value Customers

High-value customers are excellent examples of the purchase history customer segment. This segment generates considerable revenue by purchasing consistently in huge quantities as well as sharing insights and providing feedback. High-value customers present huge opportunities for cross-selling and upselling.

To attract and engage this type of customer segment, increase average order value and send personalized recommendations based on their preferences and previous purchases.

Loyalty Segment 5: Customers with High Potential LTV

This customer segment is estimated to generate high lifetime value (LTV) for your brand. Some of the traits these customers exhibit are they typically have a robust history of loyalty with other brands, they make high-volume transactions, and they show consistent buying behavior.

You can leverage predictive analytics to calculate the estimated lifetime value of every customer. Once you identify such customers, provide them with meaningful loyalty rewards, early access to sales, exclusive offers, personalized recommendations, and exceptional customer service to build long-term loyalty. Also, prioritize resources for this segment of customers to enhance their experience and encourage long-term commitment.

Loyalty Segment 6: Brand Lovers

This customer segment exhibits staunch loyalty and affinity towards a particular brand and connects with it on a deeper level. You will see them waiting in long lines for hours at a stretch to get the new iPhone. You will find them wearing their favorite automobile brand’s apparel (say a Harley-Davidson jacket or a Ferrari cap). You will also find them to be an active member of a brand’s online community.

Apart from being intensely loyal, these customers are excellent brand ambassadors and they leave no stone unturned to profess their love for their favorite brands. If you have such types of customers, the best gifts you can provide them are branded merchandise, membership in an exclusive brand fan club, and behind-the-scenes access.

Loyalty Segment 7: Occasional Customers

As the name suggests, this customer segment doesn’t have any brand commitment and makes infrequent purchases based on their needs. These customers also buy from a brand during clearance sales or to try out some newly-launched products. Even though many of them have the potential to be a loyal customer, they maintain their sporadic transactions with a brand.

The best way to convert an occasional customer to a returning one is by offering personalized recommendations and implementing incentives such as limited-time offers. Also, consider leveraging data to provide incentives and personalize marketing efforts as per their preferences.

Loyalty Segment 8: Gift Seekers

This customer segment transacts with a brand mainly to buy gifts for others. An excellent example of such a brand is Kansas City-based Hallmark Cards, which is one of the oldest and biggest manufacturers of greeting cards in the world. Another great example of such a company is British multinational toy and gift brand Hamleys which majorly deals with gift seekers.

These customers purchase from their favorite gift brands on certain special occasions such as festivals (Christmas, New Year, Easter, Diwali, and Eid) as well as birthdays and anniversaries. The best way to engage and retain gift seekers is by providing them with curated personalized recommendations, selected gift guides, convenient gift-wrapping options, and anything that can enhance their gift-seeking experience. Gift brands can also offer them attractive gift selection and delivery processes to drive referrals, positive word-of-mouth, and repeat interaction.

Loyalty Segment 9: Product Category Fans

Brands that offer a variety of product categories may find that some categories are extremely popular among a specific group of customers, who are known as product category fans. Nike is best known for its athletic shoes. But it also manufactures apparel, sporting goods, equipment, accessories, and more. Customers who are fans of Nike shoes are great examples of product category fans.

To engage and retain this segment of customers, brands can consider offering early product releases, personalized recommendations based on customers’ preferences, expert advice related to their interests, tailored discounts, and a wide range of products within the category.

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All said and done,

In the present age, customer loyalty can make a lot of difference to a brand’s success story. If a company manages to segment its customers based on its brand loyalty, then it can tailor its rewards, offerings, and messages to meet the unique needs and wants of different customer groups.

At LoyaltyXpert, we have helped many businesses with their loyalty programs. We tailor our loyalty solutions to fulfill the unique needs of all types and sizes of businesses. Contact us today to get a free demo!