It is not a newfangled idea, but a loyalty card program is a tried and tested method of rewarding good customers. Loyalty programs also give them an incentive to do more business with you, which could ultimately turn your clients into brand advocates.
If you don’t already have customer loyalty program, now may be the time to start one. Here are some advantages and benefits:
Advantage No. 1: Loyalty card programs foster relationships with customers – When customers are acknowledged and rewarded for their business through personalized perks and discounts, they form an emotional hook with the brand. French cosmetics retailer Sephora, for example, offers members customized products and advanced information on sales in addition to sending out personalized gifts on special occasions.
Benefit: A happy customer is a loyal customer.
Advantage No. 2: Loyalty card programs enable businesses to segment customers – With detailed customer demographics and analytics collected from loyalty card programs, businesses can identify which customers are profitable, and are therefore worth marketing to.
Benefit: Targeted marketing enables businesses to allocate more time, effort, and money on customers that actually bring in revenue.
Advantage No. 3: Loyalty card programs empower businesses to compete intelligently – The ability to associate purchase history to individual customers allows businesses to easily and accurately pinpoint customers who have hopped over to the competition.
Benefit: Armed with customer-specific data, businesses can attract the customers back by sending out customer-specific special offers like discounts on the products frequently bought by that customer.
Advantage No. 4: Loyalty card programs can turn a regular customer into a brand advocate – Marketing campaigns are effective at getting the word out but nothing comes close to the effectiveness of word of mouth exposure. More often than not, people trust the recommendation of someone they personally know over some celebrity endorsement or a clever ad. Loyalty card programs allow businesses to use this to their advantage. If a customer is pleased with a company’s product offerings or service, they are more likely to recommend it to family and friends.
Benefit: Increased product awareness and free advertising.
If you are considering starting a customer loyalty card program, ID Superstore can assist you in the design and production of your loyalty cards. Visit our custom plastic cards page to find out more or to request pricing. You can also call us toll-free at 1-800-667-1772.