Customer Loyalty Programs
Add Value, Add Customers
Customer Loyalty reflects the willingness of a customer to often make a purchase from a single store. This adds value to the business and increases the scope of profitability.
Why will a customer often purchase from your store? There is something beneficial you are offering which is influencing his purchasing power. However, companies run customer loyalty programs that help them in proffering a good user experience to their customers with every purchase they make. According to a statistical report, 57% of the marketers increased their spending on customer loyalty programs in 2017 compared to 2016.
Purpose Of Customer Loyalty Program
- Increase User Engagement Rate
- Build Strong Relationship With Customers
- Gauge Customers’ Spending
- Design Personalized Reward Program
- Improve Customer Support Services
- Educate New Customers About Your Happy Customers
- Educate Customers About New Product Launch, Offers and Best Deals
- Improve Email Communication
- Analyze Scope of Business Profitability
How It Works
There are different types of customer loyalty programs that assist small, medium and big sized companies in engaging customers with amazing opportunities to earn brownie points and thereafter redeem.
- Cash back or Rebate program brings in the chance of earning cash during purchase. For instance; the popular Paytm app offers such facilities to increase its user base.
- Discount program proffers discount on the specific products that are of interest to users and entices them to make a huge purchase compared to regular purchases
- Points program assist users to earn points on every purchase. Such programs extend the limit of spending but offer a chance to grab points for the next purchase.
Customer Loyalty Insights
- 63.1% of millennials and 61.3% of Gen Y people consider customer loyalty programs to be most important [Alix Partners]
- 66.3% of millennials like to shop at the stores that offer good customer loyalty programs [Aruba]
- Price and product value are the top drivers with 92% followed by product quality (79%) and variety or selection at 72% [ICSC]
- Consumers spend 17% more on companies that provide excellent services [American Express]
- 69% of Gen Y opt to make major purchases from the same brand compared to Gen Y (58%) and Boomers (56%) [TD Bank]
Customer Loyalty programs create a huge impact on users’ purchasing power. And, it has potential to increase retention rate up to 10% to 20% depending on how powerful the program is. It should cover everything a user expect from a company; personalization, cash back policy, discounts, and offers, points earning, and redemption, etc that keeps users engage. Such tactics increase the users’ spending which ultimately benefits your business in generating a good revenue.
That’s said, loyal customers are worth up to 10X as much as their first purchase. How can a business reach out to their loyal customers? It is noticed that 90% of users time is spent on mobile browsing and operating apps. Missing out mobile can narrow your reach. Thus, it is important that customer loyalty program solution should offer modularity. An appropriate customer loyalty program solution offers businesses a dynamism to leverage the powerful marketing strategies and retain as many customers as it can from both web and mobile. It provides enthralling features including data management and analytics that bring customers close to their brand.
Why Choose Us for Customer Loyalty Programs?
LoyaltyXpert is an eminent customer loyalty program provider that excels in delivering the customized solutions surpassing clients’ expectations. We understand what business matters to you and thus, we offer a comprehensive loyalty program solution. Our loyalty program solutions range from web to mobile giving clients the accessibility to use the solutions wherever they are. Besides, we also offer world-class consultation assisting vivid business verticals in improving business performance.