Loyalty programs are an important part of a business’ branding, marketing initiatives and customer acquisition strategies. Of course, they must be crafted well to meet those objectives. When surveyed, 78% of millennials would switch to a company that offers a better program than its competitors and 81% say being a member encourages them to spend more. If you’re looking to launch or optimize yours, here are some tips to streamline efforts and maximize your return on investment.
Give Rewards People Actually Want
There are various types of loyalty program rewards. For instance, some companies offer cash back, others may have a selection of material goods one can acquire in exchange for points, while some choose to thank customers with gift cards. The latter is the best option, as it makes everyone happy and leaves a lasting impression on the receiver. The con with money is that most people will use the funds to pay their bills and regular expenses, making the prize less physiologically meaningful. Material goods also have a limited impact, as it may be difficult for the consumer to find something useful or needed. Gift cards, however, are just perfect. They create a special shopping experience, are generally used to buy fun and rewarding items, and are extremely versatile. Recipients can even employ them to purchase things on sale, doubling the wow factor.
Make Your Program Simple and Streamlined
When creating your program, don’t make it too complex. If your clients don’t understand how to obtain rewards or it takes too long to reach milestones, it won’t be effective. Craft clear marketing surrounding your program. For instance, you could develop visuals with 3 clear steps (1. Sign up, 2. Accumulate X point for X purchase, 3. Collect gift card rewards). Share that information openly on your website, social media platforms, and in your physical locations if you have some. If you send out newsletters, dedicate space every time to talk about your program. By educating your customers regularly and clearly, you’ll get more buy-in and see positive results.
Offer Instant Access to Rewards
Another great idea is to provide instant gratification. For example, you could reward your customers simply for signing up or have special birthday and holiday prizes. You could even offer random gifts to people who are shopping on your website or in-store. By treating your consumers this way, you’ll make them happy, encourage retention and referrals and create a buzz surrounding your brand.
Make Security a Priority
Of course, consumers expect safe programs. If you collect and store personal data, make sure to work with IT specialists to build proper structures. Hackers nowadays are extremely sophisticated. Also, team up with a reputable gift card distributor who handles and disseminates all its inventory in a secure facility. This way, you’ll have peace of mind, knowing that your orders are fulfilled appropriately from start to finish.
Since you know your clientele the most, you’re best suited to develop a quality in-house loyalty program. Partner up with Gift Card Warehouse, Canada’s leading gift card distributor, for a seamless process.