Loyal customers are always great but when the going gets rough they’re a necessity. In 2009 the going definitely got a little rough and this left many marketers looking for ways to increase customer loyalty. The answer… it’s time to beef up the loyalty program.
Most people think of loyalty programs simply as a way to decrease the likelihood that customers will switch to a competitor. While this is true, it is really only the tip of the iceberg when it comes to the value of loyalty programs. By incorporating data tracking into a loyalty program, a simple engagement tool can be transformed into a virtual goldmine of information for more value, a better relationship and more revenue.
To read how industry leaders like Target and Best Buy are beefing up loyalty programs, click here!
As a semi-recent college graduate, I receive quite a bit of direct mail from my alma mater encouraging me to sign up for their alumni program, i.e. donate some money soon. The offers are a simple generic letter, not personalized. I’m not feeling compelled quite yet.
I have been told by many of my friends that the discounts and benefits of the card help support the students, the school, and oneself. The side benefit, you get the “cool” personalized alumni card in your wallet. However, I don’t know what this card looks like…
Although social media is still in its infancy, it is already clear that one of the most powerful business applications is improving the way that brands connect with their customers. One specific way to do this is a Social Loyalty Program.
A Social Loyalty Program helps a brand truly leverage all of its loyal customers by combining a traditional loyalty program with one of social media’s most intrinsic strengths, sharing.
Want to see an example of a Social Loyalty Program in action? Follow the link and find out how NY dessert company, Tasti-D-Lite is doing it.
Congratulations, your loyalty program is up and running! Next task: Find a more effective and efficient way to distribute all those membership cards that will collect customer data. A few questions: Will the cards be affixed to any marketing collateral that explains the loyalty program? Are the cards going to be personalized? How much is all that going to cost?
These are all important questions that need to be answered when launching or improving a rewards program. In the case of one major
retailer, KP helped them save $65K annually by answering these very questions. Follow the link to read about KP’s cool new toy that helped them do it.
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