There are no two opinions about the fact that a successful Customer Loyalty Rewards Program can help a business grow tremendously. As a matter of fact, according to a recent Virtual Incentives study, 75% of the consumers favor companies that offer rewards. While it may seem that big retailers are going all out to ensure that their loyalty program is a roaring success, the unmistakable truth is that every customer loyalty program has, at its core, some elementary and non-negotiable features, which have nothing to do with the scale of the program.

Let’s explore some of these:


Don’t Jump the Gun

A customer has just made their first purchase. Their email id and phone number has just been added to your database minutes ago. In addition to sending them a welcome message, if you start bombarding them with discounts, offers and promotional material from the moment go – it would be a rookie mistake. Let them use the product, enjoy and savor it. While it maybe tempting to send out mass email campaigns or discount information as frequently as possible, if you overplay your hand, the customer is likely to unsubscribe from your list. Even loyal and returning customers would not appreciate you filling their inbox.


Inefficient usage of customer information can do more harm than good. As a thumb rule, any communication material must not be sent our more than once a week – even lesser, if possible. Do not jump the gun and assume that a long list of customer contact information will automatically translate into a healthy loyalty rewards program. You need to put value on customer information and demonstrate it through your actions.


Go Beyond Rewards

Companies today are tying their messaging and advertisements more cohesively than ever, and are very explicitly communicating what they stand for. Be it taking a stand on a social issue, an allegiance to environmental-friendly practices or a political stance – nearly two-thirds of the customers today want organisations to be vocal on issues of social importance, according to a Sprout Social study. This applies to customer loyalty rewards programs as well, and the concept has evolved beyond monetary rewards today. There is an evident thrust to build a community based on shared interests and savings on deals and discounts is not the core of message anymore, but a desired added advantage.


Plan a customer loyalty rewards program that encapsulates your business values and is not reductive of something that already exists. Smaller retailers have the edge here, because they can easily host intimate events and call out on like-minded customers to connect with them on a personal level.  The opportunities to mobilize people based on their interests are endless, if the ambit of the program is adjusted to build a lively community, as opposed to only attracting and retaining customers. Before you actually design the program, spend some time to answer why you want to start a loyalty program in the first place. If the only motivation is growing sales, you need to understand how the concept has evolved and plan accordingly.


Simplify and Personalise

In today’s day and age, if your customer loyalty rewards program happens to have complex and hard-to-comprehend rules, the chances of its success are very low. With so much information vying for customers’ attention, both in the real and virtual world, the focus should be on simplifying the message and the process. The loyalty program should be easy to understand, follow and use. Integrating the program with the PoS system is a common way to provide customers with a seamless experience and update their reward points in real-time. The rewards redemption process must be transparent, easy, instant and hassle-free.


Nearly 80% of the consumers are likely to do business with a company if it offers a personalized experience, suggest the findings of a recent Epsilon survey. Every purchase made at your store is a trail of data waiting to be decoded. With the help of intelligent and cloud based loyalty software like Loyera, you can crunch numbers and customize the experience for each customer individually. Birthday, anniversaries and festivals are not the only opportunities to allow customized experiences to customers today. Their spending habits and choices can help you personalize offers, and in turn, increase the chances of making your loyalty program a success.


There you go. If you are initiating a loyalty management program at your business, or struggling to run one, you know how to make it work. Loyalty management software like Loyera can help you and your business grow with the right tools, strategies and insight. If you haven’t considered implementing a customer loyalty rewards program, make sure you do; because, running a customer loyalty program is not about using sophisticated tools, but making the best use of what you already have.

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