Companies that have solid systems in place to reward their loyal customers tend to do well in the market place. Tesla and Starbucks are a few brands that have mastered this and used it to grow their customer base. Rewards provide an incentive to customers to transact more with your business over a long period of time and even get their friends and family to become customers, which in turn leads to an increase in sales of your products. So, having a rewards system is always a great idea.
When creating a rewards system or loyalty program, you want to consider your business type
There are very clever ways to reward your customers especially if you’re a new and smaller business just starting out and don’t have the resources for expensive programs. So,
Implement A Referral Program
A referral program is one of the best ways to reward your customers and boost their loyalty to your business. Through this system, you give your customers rewards or benefits for referring new customers to your business who are also rewarded. What this does is that it gives the referrer an incentive to spread the word about your offerings to other people and encourage them to become new customers and the referees also have an incentive to go through with transactions, so every party wins. A referral program can be implemented by giving both customers and referees discounts on your products or free sample items with new purchases.
Hold Preview Events
Organising and holding preview events for your best customers to preview a new product or service offering before it’s officially released on the market is a sure way to improve customer loyalty. The point of such an event is to make your customers feel special and create a sense of exclusivity which will foster a stronger connection between your business and your customers and make them more loyal to your business.
Use A Points System
Creating a simple points system for purchases is the most common way to reward your customers and build a loyal customer base. A points system is basically means that customers get points for every purchase they make or every service they pay for, which can be used to make further purchases when the points accumulate and get to a certain level. The more customers spend on your business, the more points they get. This essentially encourages customers to transact with your business more knowing that they will be rewarded for doing so.
Partner With Other Businesses To Offer Reciprocal Discounts
A reciprocal discount is a set up whereby customers of a business who buy products or services get discounts on those offered by a related business or company. Essentially, this involves teaming up with a business to provide your customers with certain benefits that will encourage them to make purchases. An example is offering customers discounts on album downloads from a music streaming company when they purchase headphones from your store.
Rewarding your customers and constantly reinforcing their importance to your business through a number of methods is always sure to boost customer loyalty and in turn, ensure the fulfillment of your business goals and the long term success of your business.