Introduction
When it comes to discovering how customer loyalty drives growth, researchers have tried to find out how emotions bind customers to brands. This Forrester research reveals that if a company makes customers feel valued, 76% will choose to continue doing business with the brand. This implies that brands must take measures to make customers feel happy & valued to drive growth. And there is no doubt customer loyalty management programs indeed make customers happy & appreciated. And that’s the reason why organizations across industries (especially in organized retail) are pumping too much resources to run customer loyalty programs. Customers, on the other hand, getting a hang of the benefits which such programs offer, are wholeheartedly participating in such programs leading to a win-win situation across both sides of the table. Having implemented & managed multiple customer loyalty programs for world-renowned brands, we at WovVTech, are best poised with our cloud-based, SaaS-model product – OKEN, that powers both android and iOS app, to bring a turn around in your organization. Here’s to customer loyalty programs as a driver of growth.
Why do we need customer loyalty programs?
Are customer loyalty programs really beneficial for both businesses & the customers? Are they really creating values on both sides of the transaction leading to a ‘I win-you win’ situation? We at WovVTech believe so, but there are some caveats to look for:
- Choose the right reward points management system. You don’t want to get all ditched down by going in for a technologically redundant tool.
- Rely on the experts for right from the implementation to the execution phase. This way you are in all probability going to stay buoyed even if things go haywire.
With an average shopper having been already enrolled for more than ten loyalty programs, there is no doubt people are liking it & are ready to join the new one. So, why not hook them up with your own loyalty program especially when you know it drives better customer engagement leading to growth.
How brands grow by giving?
Customer loyalty programs help in attracting new customers
There is no point in guessing if reward programs are definitely appealing to customers as most of them are inclined to join it when they see the lucrative rewards which the rewards program offer. Many reward programs offer upfront benefits like discounts on signing up which compel shoppers to join you.
They make customers happy
When it comes to customer engagement it’s an era of personalization, you can indeed make customers feel elated & happy by offering ‘especially for you’ products & services. By surprising & delighting customers & by offering rewards for special occasions like birthdays you can really establish an emotional connection with your customers. A happy & connected customer gives you the opportunity to grow.
They increase customer retention
In these times it has been conclusively proved that attracting a new customer costs the company considerably more than retaining an existing one. Loyalty program management systems have a mandate to double up as customer retention programs. As they promise recurring rewards along the entire customer journey, people tend to stay with the brand for long. The resources saved in this way can be channelized towards business expansion.
They entice customers to spend more
Loyal customers trust your brand and they are likely to spend more. We know loyalty programs increase customer retention & it has been proven through research that increasing customer retention by just 5% can lead to revenue growth by 25%. That’s substantial.
They increase your bond with customers
You will grow wealthy with customer data through rewards programs run by loyalty management platforms. When participating in a reward program, customers have to provide some personal data which can provide deep insights into their behavior. This data may be well leveraged to create a personalized experience which is preferred by Gen Z & millennials. This definitely creates stronger bonds between customers & brands leading to more sales.
Customer loyalty program example
Now we will give you one example which will further elaborate & simplify to you how brands are making use of reward programs to grow. Coffee giant Starbucks has made an extremely popular & successful reward program which lets customers earn points for every purchase they make. They drive people to their loyalty program with this simple yet attractive slogan which says Free coffee is just a tap away.
The best thing about this loyalty program is that it’s easily accessible to all. Signing up is free, all you need to do is download the app & enter your personal details, after that you will be ready to rack up reward points for every visit & track progress of the customer loyalty scheme.
We provided this example because it’s a simple & highly successful customer rewards program. If you are looking to launch your own rewards program, then you can easily learn a few tips from it. In the next section, we will discuss how to make your own loyalty program.
OKEN platform
Now we are turning to the most crucial part of this blog wherein we will guide you how you can launch your own rewards program. But don’t worry, it’s going to be a very simple affair because we will introduce you to the OKEN platform which is the most preferable when it comes to ease of on- boarding. The following are the key features of this platform–
- Manage all the malls in your portfolio with a single app. It lets your customers explore nearby malls.
- Provides customer experience management
- Distributes loyalty points & rewards for check-in & shopping
- Gathers customer feedback through surveys
- There is a facility of indoor mall navigation & smart parking
- You can manage customer queues & analyze customer footfalls
- You can manage bills digitally. Send bills to customers after purchase. Upload bills.
- Manage events & booking
- Scan items & create shopping lists
Conclusion
Well that’s all from us. In this blog we have discussed why you need a customer loyalty program and how brands grow by giving rewards. Then we went through a customer loyalty program example, & finally we introduced you to OKEN – a trailblazer customer loyalty solution. Now, it’s time to touch ground with all this advice & knowledge on your side. Remember – a loyalty program creates a win-win situation for both brands & the customers. So, today is the best time to get started.
