A customer loyalty program is one of the critical factors to drive your commerce business to the next level. It affects where the clients will shop, how much they spend, and even what they buy. Yet, the trends in customer loyalty have changed when you blend today's e-commerce businesses and the traditional direct-to-customer retail companies. Thanks to the advancement in technology, the interaction between the customers and the retail has wholly changed.
So, how can retailers capitalize on brand loyalty? Well, e-commerce owners need to recognize customer loyalty programs. From creating an emotional connection, to even establishing technical frameworks that inspire your customers. According to Forbes, it's 5-times more expensive to attract new customers compared to retaining your current customer base. With that in mind, stick to this article as I break it down to you, how to create customer loyalty programs and drive sales in e-commerce.
Customers Loyalty Program Ideas
Several customer loyalty program ideas could help boost your e-commerce business to success. More importantly, these ideas will help create loyal customers in the process.
1. Create unique offers
When it comes to maintaining customers, you should always try and make sweet deals that work to their favor. One of the best customer loyalty programs example is creating reward points where your customers can exchange their points for offers. And I don't mean the general offer that's open to the public-no siree!
The primary key to the success of this program is creating a tactic that makes the offers exclusive to loyal customers, and they can also redeem their rewards. That way, your customers will be devoted to the business and also encourages the members to gain more points.
2. Customer referral programs
I'm sure you've probably found several adverts giving you special rewards for referral programs, right? That right, there is another effective customer loyalty program. Referral programs give brands the chance to draw in new customers. More importantly, loyal customers are also rewarded with this program.
3. Bonus-point campaigns
Bonus point campaigns typically help to maintain your customers. You can give bonus points to certain items bought in your e-commerce business or extra points for purchasing multiple items on your website. However, you will have to use social media as your main advertisement point to help allow your customers to reap the benefits of this type of campaign.
4. Draw prize for new members
Draw prize is one of the best customer loyalty programs. This idea involves creating a loyalty program that enters your loyal customers automatically to win a prize. That gives your customers a chance to win something big. It makes your customer feel as if you are thanking them for their loyalty. That eventually creates an emotional connection with your customer base.
5. Favor your customers
Most e-commerce businesses offer discounts to their customers. However, you always need to favor your loyal customers. That means that your loyal customers should access special offers before the rest of the regular customers.
How to Build up Customer Loyalty?
1. Create a point-based system
When loyal customers earn reward points from your website, that creates a certain sense of belonging; for instance, the reward system could be freebies, discount codes, among others. However, you need to create a reward system that's simple and easy to understand.
2. Design a tier reward system
One of the biggest challenges any company faces is creating attainable and desirable rewards for their customers. An excellent way to combat such ideas is by designing a system that will give your customer rewards and also encourage further purchases. Therefore, you can offer small prizes at the beginning of this system then increase the value as they continue being loyal.
3. Develop an upfront fee for the VIPs
It sounds a bit weird when we talk about charging for the VIPs, especially if we are trying to reward loyal customers. However, this is one of the best customer loyalty programs in retail. It will help create exclusiveness in your program and also sort out some of the long-term problems your customers might face while purchasing your products.
If the VIP membership is free, at least set a threshold for different levels so that they will be encouraged to make more purchases from you.
4. Structure a non-monetary program
It's not always about money, especially with the reward system for your loyal customers. On the contrary, if you can find out something that your customers would like without involving any cash, that will do wonders for your sales. That will build a unique connection with your customers hence creating loyalty and trust.
5. Let it be fun
Well, we all love games, don't we? And so, do your customers! Try to turn your loyalty program into a game, especially for loyal customers. Also, make sure to solidify your brand's image in the game.
6. Be generous to your customers
If your customer loyalty program ideas involve your customers to spend more for fewer rewards, then you are doing the wrong thing. It would help if you always tried to be generous to your loyal customers by giving them valuable prizes that could entice any outsider.
7. Create a community
Developing a sort of community for your customers always seems to draw your clients in for more. In truth, your customers will trust their peers as compared to trusting your business. Thankfully, you can use this to your advantage by creating self-supporting systems such as community forums. That will encourage your customers to communicate together on any sensitive topics.
Best Loyalty Program for Inspiration
Sephora
The Sephora e-commerce platform offers one of the best customer loyalty program ideas in the world. For every dollar spent, the customer is rewarded with a Beauty insider point. These points are redeemable at the checkout, and they are measured in US-dollars. What's more, you will get a cosmetic item in exchange for your bonus point.
Free Membership by Dropshipping with SaleYee.com
In addition to fast and free delivery from local US/UK/DE/CZ warehouses, SaleYee Dropshipping Platform provides free sign-ups, free membership for all levels and huge discounts. The membership level is up to the monthly sales; moreover, the higher the membership level, the bigger the discount off the competitive wholesale price.
In Summary
Well, there you have it! Customer loyalty programs will help build your already existing customer base and also recruit new clients in the process. All you have to do is pick a plan that suits your audience. Additionally, take your time to develop a system that will create a deeper connection with your customers. That will make the clients feel special, which is the goal for every eCommerce owner.
