Customer Loyalty: Inspire Loyalty, Inspire Success
September 16, 2016
Looking for better ways to maintain relationships with your current customers or create new relationships with prospective customers? A customer loyalty program can grow long-term brand loyalty, leveraging unique gamification techniques and tiered creative marketing programs. It’s all a matter of asking the right questions…
Why do I need a Customer Loyalty Program?
- To maintain and strengthen relationships with current customers
- To build new relationships with prospective customers
- To grow long-term loyalty for your brand
- To promote repetitive purchasing behavior from customers
- To generate incremental sales
- To transform your company into a “preferred” supplier
- To build a robust and comprehensive customer database which can be utilized in future marketing efforts
How do I choose the right Customer Loyalty Program? When choosing a program to implement, you must have a clear understanding of:
- Your program objectives and goals
- Your audience
- Your budget
How does a Customer Loyalty Program work? Follow these five steps:
- IDENTIFY the customer behavior(s) you want to reward: frequent purchases, specific purchases (by SKU, product line, etc.), providing feedback
- COMMUNICATE regularly and with consistent messaging
- UPDATE participants regularly on their program status (i.e. point balance)
- INCENTIVIZE participants with rewards that will resonate (surveys and redemption pattern analysis can provide this data)
- ANALYZE results and modify the program on an on-going basis to ensure continued engagement and success
What are the necessary components for my Customer Loyalty Program success?
- Communicate clearly and often
- Make it easy
- Keep your program fresh
- Include unique gamification techniques
- Be in it for the long haul
The most innovative program in the world will fail without effective marketing and communication. Rewards and messaging should be updated often. Your customers should feel that the program is rewarding them for behaviors they would be performing anyway. Gamification and/or promotions can keep your program top-of-mind and build excitement. Commit to your program for the long term. Gaining customer loyalty on a large scale can take a while – but it is well worth the wait!
Our success story about a client in the electrical supply industry talks about how HMI has helped implement a successful customer loyalty program in that industry – click here to read the story.