Loyalty program B2CIf you have recurrent customers that you want to know more about and increase sales towards, you should invest in establishing a modern customer club or loyalty program.
The purpose of a loyalty program may be:
- Identify the customers
- Make them shop more often
- Make them spend more at every opportunity
- Make them stay customers longer (increase lifetime value)
- Streamline customer communication and marketing
- Reduce focus on pricing
Many companies spend most of their marketing budget on acquiring new customers but less on retaining and developing existing customers or on trying to regain lost ones. There is a big upside in reallocating the marketing budget to more relationship-creating marketing, with the loyalty program as the key to success.
The loyalty program is designed under 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 the strategic and operational management of loyalty programs and can of course also unburden your company in this matter.\
A fully developed loyalty program is often based on a proprietary digital point currency that is used to reward the members' purchases and behavior at your company and any external partners. The points are redeemed for gift cards or selected products from the program owner and possibly an external customizable collection of attractive products and services. From a member’s perspective, there is a personalized member site where they can log in and take part of 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 not include a card as consumers do not want more cards to keep track of. In exceptional cases where the card itself is a status symbol like for strong brands or when the company's business is in groceries or the like, a card-carrying system could be fruitful.
Awardit has agreements with hundreds of partners that can be implemented in various loyalty programs and add even more value. The goal of this is to strengthen the program owner's relationship with its customers even further, 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 partners through Awardit.
Frequently asked questions about loyalty program B2C
Why use points instead of discounts?
Your own reward currency will give you as the program owner full control over its value as opposed to a discount where the customer decides what to spend it on. Of course, you can also give both points and discounts.
We want our own digital currency; can you arrange that?
Absolutely! We specialize in setting up and running loyalty programs revolving around a digital reward currency. If you want to allow currency trading amongst members (P2P), we have groundbreaking features to enable this as well.
We sell durable goods; can we still have a customer club?
Many kinds of durable products are still purchased quite often. If you sell electronics, building materials, vehicles etc. you can benefit from implementing a loyalty program. In addition, you can enter 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 take a one-off start-up fee to design and configure the solution and then we charge a monthly fee for operation. We also sell products and services for points and we can assist our customers with various strategic and operational consulting services to maximize the benefits of the program.
Do we need someone new to administer the loyalty program?
Your goal should be to manage the loyalty program within your existing organization. Awardit can take the load off your shoulders and maximize the program’s results 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 communication is the key to success!
What should members be able to get for their points?
The more members can get for their points, the more attractive is your program. Your own products and services are a logical choice. In its simplest form this 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?
Having external partners makes your program extra appealing for your customers, so the answer is yes. Our platform is adapted for this and we have partnerships at the ready, which enables your customers to collect your point currency at around 60 partner businesses within widely diverse industries. We take care of all administration and the points are financed by each partner. Naturally, we can also implement your current business partners in your program!
Should we have our own loyalty program or is it better to enter another program as a partner?
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 Rewardit, or you can be a partner in other programs that we run.