Stats say that repeat customers can generate 40% of a store’s revenue. One way to keep your sales and revenue rolling is by making your customers repeat your services. You can increase your customer retention rate by using effective loyalty programs.
How do you make an eCommerce loyalty program successful that helps with customer retention?
Take these five points as starters:
#No. 1: Create something different- Now, every brand and retailer is providing loyalty rewards. Hence, you must create something that makes your program different from the others. You can differentiate your program in many different ways. You can add surprise gifts or rewards or tiers that are focused on your brand-value etc.
- Tiers- It has been found that customers are willing to shop more if they feel that they belong to a higher level in loyal programs. The tier system is founded based on customers’ loyalty. Customers who are more loyal to your brands will get greater rewards. Customers will definitely feel more appreciated through this tier-based loyalty program. You can name the tiers based on the niche of your company. This kind of loyalty program will help your brand to be at the top of your customer’s mind. You can add a percentage to each tier to motivate the members for reaching higher levels.
- Surprise gifts- If you get your customers occasional surprise rewards, they will feel appreciated. Moreover, they might want to come back to your website. Unexpected rewards like a certain percentage off on all products will make your customers feel special.
- Rewards based on your brand voice- You can also create rewards that echo the values and voice of your brand. If your brand values resonate with your rewards, your customers will be more willing to believe your company. This will again help in building a stronger bond with your customers.
#No. 2: Improve your customer service- According to HubSpot research, 93% of customers are more likely to repeat a buying decision with a company that has great customer service. Hence, if you are creating an eCommerce loyalty program for your business, make sure your customer service is on point. Mary, the marketing manager of an assignment help company said, “You should ensure that your executives are very responsive on chat, phone or any other mode of communication you choose to use”. An excellent customer support system will help you make the customers happy. And happy customers are more likely to support your business.
#No. 3: Make it personal for the customers- Every customer likes to feel that he or she is valuable to a company. Hence, you should personalize your loyalty program. You can send a special loyalty program offers on customers’ birthday. Other than this, you can also provide suggestions to your customers based on their current purchases or product views. Thus, your customers will get a unique loyalty experience. This will make the program more successful and increase customer retention rate.
#No. 4: Add a charity cause to your program- Today, most consumers judge a company based on its contribution to the society or community. This often affects the buying decision of the consumers. You can include a charity cause to your loyalty program to make it more popular among the customers. It is not necessary to include discounts every you create a loyalty program. You can include the values your business shares into the loyalty program. This will help in establishing a strong bond with your customers. Consumers are more likely to return to a brand and spend money if it involves a good cause. Customers will become brand loyalists if you prepare your loyalty program keeping in mind the mutual values. Hence, you can make a loyalty program where your customers get the option to donate their rewards to any charity or welfare organization.
#No. 5: Incorporate feedback into your loyalty program- Learning what your customers think about your company or program will help you improve your services. Feedbacks are essential for marketing and product research and developing buyer personas. You can also use the same to create your loyalty program. By listening to your customers and incorporating their advice in the program, you’ll be able to show that you care about your customers. You should include rewards for completing surveys or such other non-transactional engagements.
If you create an effective loyalty program, it won’t be an issue for you to retain your customers. Use the pointers provided above to prepare a perfectly-crafted loyalty program for your eCommerce business. However, you should keep this in mind that you need to be true and loyal to your customers, and provide them with value for their money. This will only encourage your customers to become loyal to your brand.
Shirley Brown is the senior marketing manager of a reputed MNC. She has also helped many well-known brands and students as well as CPM Homework Helper. She has also achieved different awards and recognition for her contribution to the marketing world. In her leisure time, she likes to hang out with her friends.