Having a great presence for your brand is one thing, but it’s useless if your customers can’t relate to you and don’t come back. You want them to come back to you and they have to want to come back, over and over. Give them an unforgettable experience with awesome incentives and not only will they return to you again and again, but they’ll tell their friends. Even in the digital world, word-of-mouth is still an advantage worth having (social media anyone?). And, if it means customers choose you over a competitor, brand loyalty is an even bigger advantage worth having on your side.
Let’s look at some numbers (Brandon Gaille has a great infographic about this). Generating new customers is important, but tangible, long-term success, comes from your loyal customers. Your loyal customers may not represent the largest percentage of your customer base (about 20%), but they generally will be the ones accounting for the most percentage of your revenue and visits (about 80% and 74% respectively) – we’re talking about spending 10 times more over their lifetime! Loyal customers are more likely to talk about your brand and refer their friends. Having a rewards program that incentivizes referrals can help encourage your customer base to do so even more.
Your loyal customer base is also more likely to respond more positively to sales and deals. They already engage with your brand and they want to hear from you, especially if it results in a deal for them – this is why rewards programs work. Make your customers feel like VIPs, because they are! A loyalty program encourages your customer base to continue to do business with your brand, with you. It has a few other benefits as well. You can:
- Track what your repeat customers buy & to what they respond best
- Segment your customers into groups to personalize rewards
- Turn new or casual customers into loyal customers by rewarding them
- Allow your customers in the program to test a new product or service
- Increase visits to your site and revenue from enrolled customers
Implementing the right rewards/loyalty program allows you to gain better insights to your customer base and use them to create a truly personalized, incredible experience for your customers. Do that and they’ll never need to go to anyone else.
You wouldn’t put limits on your business, so don’t accept them in your loyalty program. For Magento sites, we recommend Sweet Tooth , “the best Magento points and rewards extension,” and rightfully so. As Magento’s most flexible rewards system, you can offer a rewards program that’s unique and personalized for your customers.
- Reward customers for social media interactions on Facebook, Twitter, Google+, and Pinterest
- Give them something for signing up for your newsletter
- Offer personalized rewards for birthdays
- Allow them to refer their friends for rewards
- Encourage product ratings and reviews by offering rewards for completing them
You can customize the program to reward customers for virtually anything they can do within a Magento store. Use the Sweet Tooth API to reward customers for anything else, like blog posts, picture uploads, etc. Make your loyalty program as unique as your business.
The possibilities are endless – stop leaving opportunities on the table and unleash your potential today!