In a recent business.com article entitled The Perks of Being Loyal: How to Build a Customer Loyalty Program That Works, Lucinda Watrous explains some of the many benefits of building a customer loyalty program. While the specific programs highlighted are consumer-facing by nature, the principles can be applied to B to B environments as well.
One key statistic that the author cites initially is that 72% of companies that have a customer loyalty program in place see an ROI, but only about 50% of companies actually have a program in place. That seems to be a no brainer to partner with a company to get a program in place and make sure it is done right. Here are the main points:
Do not assume that there should be an “off the shelf” solution for your customer loyalty program. Use the customer data you have available to create a specific solution that accomplishes a specific business goal for your company and is also enticing to your customers to participate. Having a measurable goal for your program is a must and we will not launch a program without one, but making sure you have the correct value proposition for your customer is important to consider as well.
Yep. If you have ever heard me speak or read anything I have written before, this is my ongoing theme. Getting the program launched with easily defined indicators that are attainable is a huge step in getting the program launched correctly.
This is another frequent topic of discussion for me. Launching your targeted, simple customer loyalty program is important. Keeping that program top of mind with your customers is critical. Monthly email statements are helpful, but it is also important to tell some success stories as well by highlighting your customers that are benefiting from the program. This will also assist in getting a secondary group of your customers that are not initially engaged in the program to participate, because the benefit will look attainable.
Then program has launched successfully and you have achieved initial success. If you have followed the prior steps of doing your research, having a simple concept in place and keeping the program top of mind, do not be afraid to adjust the program as necessary. Your business goals will change over time, and there is no reason why your loyalty program cannot change along with it.
You have done the heavy lifting of getting the program off the ground, now it is time to have some fun and see how your engaged, loyal customers can assist you in meeting your new goals!