Why You Should Have One
Ever signed up for a product or service just because you could get discounts if you were a member? That’s what a loyalty program is, and more than likely, around 20% of your customers make up 80% of your revenue. What does that mean exactly? It means that keeping those 20% happy and satisfied is extremely important to your business. Creating a loyalty email program can help you win them over and keep them coming back, but even a little can go a long way. Loyalty programs have two main functions: To incentivize and obtain new customers and to reward existing, loyal customers. Enticing and giving them something different and better than a regular customer is one of the easiest ways to grow your revenue and customer base.
How It Works
There are many variations of loyalty emails. If you want to start small or you are not in the position to be able to start a full loyalty program, start simpler with a special offer to your best customers. Offer them something your other customers can’t get whether that be a free gift with purchase, an increased discount, or free shipping on their next order. Loyalty programs can look very different according to your industry and business model.
Rebate/Cash Back System:
The customer is able to get money back after purchasing the products. This can come in the form of a gift certificate or cash. This program can draw customers back into the store/website and gives them something to look forward to after purchase.
Points most commonly equate to amount spent. Points can also be used in a tiered system. Typically, once a customer spends a certain amount, he or she is “bumped up” to the next level, in turn, giving them more incentives. This program tells customers “The more you spend, the more you’ll get.”
The customer receives a certain discount off their purchase, usually at checkout. This program provides the customer instant gratification.
Creative We Love
Remember: Tracking Loyalty campaigns is just as important as having them. If you don’t know how and why the program worked, you aren’t able to continue or change it for your business’ future success. Need help, strategizing, implementing, or tracking your Loyalty campaigns? Contact us here!
Check out some of our other posts from our Email Automation Series: