INSIGHT #3: Make Loyalty Programs Worth It
We’ve all been there. Whether you’re standing in line at the clothing store or checking out online, you’ve been hit with the “Signup today and save 15%” pitch. Sounds great for the immediate purchase, but then why do so many say “No thanks”…? It’s because the long-term value doesn’t justify signing up for some short-term savings.
Loyalty and Rewards Programs we’re designed with repeat customers in mind, so why not give them something to come back for (other than simply needing your goods or services). In fact, according to studies published by Brand Loyalty firm Bond, nearly 70% of consumers will switch channels, times, and even brands they purchase from to maximize rewards points. Additionally, 66% of consumers will spend more to maximize their points yet, at the same time, over 20% have never made a redemption, and are likely to defect.
So, how do you make your loyalty program more enticing, and convert more customers? Make the process simple, accessible, and versatile. Make signing up easy, straightforward, and painless. Give your Customer Care team easy-access to customer’s points and purchase history, making the process of redeeming points easy and flexible. And lastly, don’t inundate with hundreds of email coupons that may overwhelm and turn off customers. Use customer purchase history to give them tailored, personal savings right when they need it. Oh, and make sure the rewards of being a loyal customer feel like actual rewards.