Range of loyalty programmes reflects the rise of CX
Businesses are spoilt for choice and can use a single model or combine offerings.
Effectively matching up a loyalty programme to your brand is as important as the brand itself, and the depth and scope of programmes available shows just how much customer experience counts in today’s market. Businesses, it would seem, have to get with the programme or risk suffering the consequences
This is why independent CRM specialist LoyaltyPlus continues to underline several considerations that typify successful programmes, to empower the market to choose the best option available.
The company leans on over 25 years’ experience in the development and application of cutting-edge programmes and partnerships – and its leadership in helping businesses ensure their customers remain loyal to their brands while optimising all touchpoints and customer experiences.
LoyaltyPlus states that there are advantages and disadvantages to each model, but it is important to always remember the core objectives behind the loyalty programme, which are to turn first-time buyers/ consumers into recurring customers, to create a bigger share of wallet, to create a sense of belonging and to keep customers interested in the brand and secure their continued support.
From research and experience, LoyaltyPlus has identified several of the most influential loyalty models and drivers.
The points based system has been around for a long time and is based on the principle of ‘pay now, reward later’. The model gained popularity when it was first introduced, but today the tech-savvy consumer is a lot more aware and expects a better deal accompanied by appropriate treatment and benefits.
A value-based programme links up with your customer’s lifestyle, it speaks to what the customer regards as priorities in their lives and it is used to encourage them to become brand ambassadors in the long run.
Another favourite seems to be the so-called ‘tiered loyalty programmes’. As its name implies this programme offers rewards on a level-by-level basis, so the more the transactions and greater the amount, the bigger the reward.
Amid increasing economic and socio-political pressure, globally, it is not surprising that many businesses are looking to capitalise on the hybrid loyalty programme model and combine resources. The hybrid model is based on a combination of various programmes that are adapted and customised to suit the business and demonstrate its value proposition.
LoyaltyPlus believes that the hybrid model offers the business faster ROI because it leverages the strengths of different programmes and channels the rewards in such a way that the consumer is empowered with choice.
Whatever route a business takes to link up loyalty to its brand and whichever model business owners believe best suits their requirements and focus, ultimately the decision will be about driving loyalty as quickly and as securely, fairly and effectively as possible.