Loyalty program B2BIf you have frequent small business customers, there is a big upside for you in fully or partially replacing traditional discount and bonus agreements with a modern loyalty program. A loyalty program under your brand will appear as a more attractive added value to your customers. You can also further strengthen your program by adding suitable external partners through Awardit.
The purpose of a B2B loyalty program can for example be the following:
- Get customers to shop more often
- Make them spend more at every opportunity
- Make them stay customers longer (increase "lifetime value")
- Streamline customer communication and marketing
- Reduce price focus
Many companies spend most of their marketing budget on acquiring new customers but less on retaining and developing existing customers or trying to regain lost customers. There is a big advantage to reallocating the marketing budget to more relationship-creating marketing, with the loyalty program as the key to success.
A loyalty program is designed according to your graphic profile on Awardit's technical platform and distributed as a cloud service, which means that you as a "program owner" can focus on the benefits of the program rather than the technology. Awardit has a great deal of experience in both strategic and operational management of loyalty programs and can of course also relieve your organization of this burden.\
A fully expanded loyalty program is often based on a proprietary digital point currency used to reward the members' purchases and behavior at your company and any external partners. The points are redeemed against gift vouchers or selected products from your company and possibly an external customized range of attractive products and services. From a member’s point of view there is a personalized member site where they can log in and take part of, among other things like targeted and general offers, account statements, a points shop and their registered information. When it comes to customer communication in general, digital channels such as email and mobile phones are supported and preferable. The loyalty program should be cardless as consumers do not want more cards in their wallets. In exceptional cases where the card itself can be a status symbol or when the company's business is in for example groceries, a different assessment can be made.
Awardit has agreements with hundreds of partners that can be implemented as an added value in various loyalty programs. The purpose is, of course, to further strengthen the program owner's relationship with its customers by making the program even more beneficial and attractive. Members receive point rewards when purchasing from these external partners. Awardit clears all transactions and the points awarded are financed by the external partner through Awardit.
Frequently asked questions within the loyalty program B2B
Why use points instead of discounts?
Many companies have a wide range of different forms of discount agreements. Establishing your own reward currency means that you as a program owner have control over the value, as opposed to a discount where the customer decides what to spend it on. Of course, you can also choose a combination of points and discounts.
Who collects the points in a B2B loyalty program?
Normally, the target group for a B2B loyalty program consists of companies and not its employees, which means that the points / value accrues to the company. It is important to clarify this in the terms of membership. Of course, it is possible to set up a program in which both the company and individual employees are rewarded (see, for example, how SAS works with Eurobonus and Credits). We recommend that it should be the company's decision if they want to include the employees and to inform them that the value of benefits of a private nature shall be taxed as a benefit.
Which companies are a suitable target group?
Small owned businesses that have behavior similar to consumers are often an interesting target group.
We want our own digital currency; can you arrange that?
Of course! We specialize in setting up and running loyalty programs revolving around a digital reward currency. If you want to allow trading in the currency between members (P2P) then we have pioneering functions for this.
We sell durables, can we still have a customer club?
Many types of durable goods are still purchased quite often. If you run a business in e.g. electronics, construction, vehicles, and many more industries, you can profit from implementing a loyalty program. In addition, you can enter into networks with other non-competing companies and thereby achieve cross-selling.
How much does it cost to have a loyalty program powered by Awardit?
We charge a one-time start-up fee to design and configure the solution and a monthly fee for running the program. We can also sell products and services for points and we can assist our customers with diverse strategic and operative consulting services to maximize the program's result.
Do we need to hire someone to administer the loyalty program?
Your goal should be to manage the loyalty program within your existing organization. Awardit can however relieve your company and maximize the value of the loyalty program in several ways.
How often should we communicate with our members?
Of course, it depends on the type of business you conduct, but 1-4 times a month is often a reasonable starting point. Working actively with the loyalty program and integrating it into other marketing and customer communications is the key to success!
What should the points be redeemed for?
The more points redemption options, the more attractive is your program. Your own products and services are obvious alternatives. In its simplest form, it can be a traditional bonus check (though preferably digital). Awardit can provide a customized range of external products and services.
Can and should we include external partners in our own loyalty program?
External partners provide added value for customers, so the answer is yes. Our platform is prepared for this and we can also provide ready-made partnerships that will give your customers the opportunity to collect your point currency from over 60 partners in widely different industries. We handle all administration and the points are financed by each partner. Of course, we can implement your existing partners as well!
Should we have our own loyalty program or is it better that we are included as a partner in another?
If you have a small or very niche business and feel that you don´t want to administer your own loyalty program, we can create a co-branded loyalty program for you within the framework of Rewardit, or we can add you as a partner in other programs that we operate.