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Loyalty programs help improve the customer experience, drive sales and provide valuable data to help retailers better understand their customers.
Whether you offer stars, points, bucks, or anything in between, a customer loyalty program has some sweet rewards for both customers and retailers. Customers get discounts and earn rewards. Retailers reap a bounty from this relationship too: customer retention, increased sales, consumer data, and marketing opportunities. Research shows that strong loyalty programs encourage the most effective marketing: word of mouth advertising.
Reward customers right away: Many merchants launch their Clover Rewards program with a signup special: get a small freebie just for signing up. Immediate gratification doesn’t have to cost much, but if it gives your customers the glow of achievement, it can accelerate their purchase frequency and amounts.
Remind customers that they’re ‘saving’ for a bigger, longer-term reward: Here’s where Clover Rewards mobile offers shine compared to paper punch cards. You may not dig out that wrinkled, torn punch card to check your progress, but a well-timed ping on your mobile phone may prompt you to head back to a store you like but haven’t visited lately. Consider bundling bonus points with a Clover Rewards special offer: you’ll not only drive in-store traffic, but you’ll also reignite a customer’s motivation to keep working towards that next reward.
Even less-motivated customers can be goosed into action. Not every customer will be raring to participate in a loyalty program. But if you’ve managed to sign them up at all, you’ve already won. According to the Spiegel study, rewards programs motivate your lower-spending customers even more than those who are already regulars.