Designing next-gen customer loyalty

Designing next-gen customer loyalty

January 11, 2024

Gaining loyalty is a task harder than it once was—but customer loyalty programs can bridge the gap between manufacturers and their end customers. Interactions are the requirement of the day, replacing the simple “Do This / Get That” model of bygone years. We’ve established a comprehensive model for adoption and engagement that transcends rebates and account credit. This six-point plan can help you ensure loyalty over the long haul.

Define your objectives.

Start by defining why you want to run a loyalty program, and ask yourself; What objectives are you trying to achieve? What are your immediate goals and timeframe? What are your long-term goals? How is achievement measured?

Structure for loyalty, and for growth.

Segment customers not only by value, but by highest potential value. Enroll all, then set thresholds to filter out smaller customers. Provide incremental value for tier achievement. Tiers provide advancing benefits to loyalists and offer something for “the middle” to aspire to. Accrue monetary and non-monetary benefits as customers advance tiers.

Establish a universal program, and currency.

Inventory your company’s loyalty activities, including all ad hoc outings and expenditures. Then standardize your programs and your currency. Drive behavior by using a currency like points and leverage them to achieve your goals. Offer points for every activity, and when the time is right, offer double points for things like online or inventory purchases, seasonal products or packages, geo-location offers, or other initiatives.

Build interactions over transactions.

Member experiences create increased, repeat purchases. Education cements your value proposition and drives brand advocacy. Live forums engage customers, and strengthen relationships. Events allow you to share strategies with best customers. And be sure to offer exclusive access and product previews.

Strengthen relationships through targeted communications.

Target communications by tiers for relevance (exclusivity for top tiers), reinforce your loyalty value proposition, provide leadership messages, create sales kits to align sales and loyalty, and have customers choose how they want to be communicated with.

Provide flexible, comprehensive rewards.

Allow loyalists to select the types of awards that suit them: merchandise, gift cards, tickets, travel, business services, and account credit offer the freedom of choice for the customer.

These are just guidelines. When you’re ready to talk specific strategies, we can help. For more than 45 years, we’ve been designing results-based customer loyalty programs that move the needle. Call us today to learn more about our successes and take a demo of our all-new Amplify® rewards platform.