With the holiday season set to begin in full-swing soon, businesses and retailers need to use new-age systems and tools in order to beat the competition. Research shows that the holiday season witnesses an increased loyalty activity among customers, and the benefits of the same result in strengthening the loyalty program. But, in order to make the most of this opportunity, you need to be able to leverage the data provided by your Customer Loyalty Software. Here are four simple steps to help you derive maximum benefit from your loyalty management software:
Segregate the Data
Using customer attributes like age, gender, address, stage of the customer lifecycle, average spending, frequency of visit, preferred products etc., to segregate customers into several groups. Intelligent loyalty solutions help retailers and brands to build customer ‘personae’ as opposed to making assumptions about customer behaviour and choices. Loyalty solutions usually allow users to create ‘tags’ and apply filters on the basis of the same. Tags are nothing but attributes of customers that either be fed into the system on enrolment (age, gender, location) or be deciphered using analytical tools (stage of the lifecycle, average spending, frequency of visit) etc.
Identify Potential Customers
Once the customers have been segregated, the next obvious step is to send them targeted messages and communicate to them offers and deals that are most likely to attract their attention. For instance, depending on the business, customers that are most likely to make a purchase at the store or are on a lookout for deals and information can be targeted. The next step is to market and promote deals on platforms where these customers are more likely to be present. This can help in dividing the promotions budget proportionately among different platforms and make the marketing initiatives much more effective.
Target High-Value Customers
In addition to the above-mentioned strategies, make sure special attention is paid to high-value customers. The holiday season is the perfect opportunity to reward the most loyal and profitable customers and cement customer loyalty. Target them with hyper-personalised offers and discounts and focus on providing them with the maximum value benefits. A few additional strategies for high-value customers can be offering bulk discounts on purchase of multiple products, free home delivery, and customising products as gifts for them.
Use Referrals
Last, but far from least, ask existing customers to refer X new customers for the loyalty program in order to receive a special discount. Alternatively, existing customers can be asked to share the contact information of say, 10, of their friends, in exchange for a free product. The new contact details can be fed into the Customer Loyalty Software to ensure that attention-grabbing offers (with attractive joining incentives are sent to potential customers) are sent during the holiday season. The end objective is to capitalise on the network on existing customers and make the most of it.
What are some other ways in which data from Customer Loyalty Software solutions can be effectively used during the holidays? Get in touch with us and let us know!