Marketing is awesome. There are millions of people in the world looking to spend money and really cool ways to target them. Sometimes we get so caught up in marketing we forget about the best pool of people to target – our customers. Customer retention is highly effective because it’s a population that has already shown interest in what you have to offer and already have built trust in your brand.
There are various forms of Customer retention, rewards programs are unique because they not only retarget, they incentivize engagement and purchasing. Which loyalty program works for you or if it is right for you at all varies from industry to industry and the size and nature of your business. You can use an online loyalty assessment tool to see what’s best for you.
Sweet Tooth is one of the leaders in ecommerce rewards programs, building custom rewards programs for some of the biggest names in ecommerce. They have built out guides for multiple industries, each with specific details and process geared to each vertical.
It’s important to know the variety of things you can offer rewards for and the features you can add to your program; Rewards for purchases and spending are the most basic. More advanced programs feature additional rewards for things such as referrals and social sharing. To tailor the program to your business, an analysis of what your strengths and weaknesses are will help target what you need most.
Besides what you offer rewards for, programs vary in their structure as well. Tiered programs give different rewards based on what tie the customer is in. Such programs have been proven to improve engagement and make customers feel valued. It also enables you to offer the best rewards to the customers that are the most valuable to you. On average, 20% of customers contribute 70% of total sales, so being able to target the more engaged customers can really help boost your business.
Another thing to think about is timing. Whether it’s holiday seasons, or your industry-specific busy season, offering bonus rewards at a time when people’s wallets are open helps boost your sales. A different approach is to increase point earnings to hit targets; If you are coming up to your quarter and need help reaching your sales goals, rewards programs can be a great way to help you get there. SweetTooth enables you to email your members list and lets them know that you will be running an additional rewards program.
So now that you know the basics of rewards programs and see just how effective they can be, check out the Sweet Tooth blog to learn more.