How to Create More Relevant Customer Loyalty Promotions
In 2013, Maritz Loyalty Marketing published a report that identified “relevance” as in relevant customer loyalty promotions, to be a key driver to customers’ overall satisfaction with loyalty programs.
These days instead of just preferring relevance, customers demand it in direct messages from their favourite brands. And where an irrelevant marketing message would once be ignored, it’s now considered offensive.
That’s why it’s now more important than ever to get to know your customers and their buying habits. And with the right tools at your disposal, this is easier than ever.
Getting to Know Your Existing Customers
There are so many different ways to find out who your customers really are. You could send out surveys, analyze your social media fans, or run incentivized focus groups. But money always talks louder than words, and what people say is often different to what they do. So it’s vital to look into the numbers. Now to do this, you could manually gather data based on your own sales records. However, this process will generally be time-consuming and you’ll only be working with number amounts, not items.
A better alternative to accessing important information about your best customers is creating a loyalty program that records and collates every purchase they make.
The great thing about a loyalty program, is that it works as an exchange. You offer value (rewards) in exchange for your customers’ purchasing data and permission to market to them.
Automating The Most Effective Marketing Channels
A rewards program like The Loyalty Box allows you to gather vital information about who buys what from you when. This information can then be used as the basis for highly targeted promotional messaging campaigns.
The Loyalty Box lets you set up and automate the sending of relevant promotions to specific groups, based on their unique buying habits.
Email and SMS have proven to be two of the most effective channels for influencing buyer behaviour when done right. The problem here has always been that it’s so difficult to send customers promotions they’re actually interested in.
But with a software based loyalty program, you can now dramatically influence buying behaviour with promotions your customers are excited about receiving.
The Power of Segmentation
Segmentation is the process of dividing your customers up into different groups who share a number of similar characteristics, many of which will influence their buying patterns. Segmenting your customers and sending targeted marketing messages to specific sets, is one of the best ways to drive sales and web traffic.
Some companies, such as ladies’ fashion emporium, Intermix, have increased sales by more than 25% by utilizing email segmentation as a key focal point of their online marketing campaigns.
Initially you may build your customer profiles based on guesses and hunches. But after running a loyalty program for a while, you’ll be able to divide customers into different groups based on patterns in their buying habits.
Build Deeper Connections With Your Best Customers
Your best customers should always be prioritized and given greater rewards on your loyalty program. After all, twenty percent of your existing customer base will generate eighty percent of your future profits (based on a Gartner Group statistic).
This startling number clearly illustrates the importance of segmenting customers and prioritizing those in each segment who bring in the most revenue. This can be done with a tiered program that encourages customers to get to the next level.
Strengthening your relationship with your best customers is vital, and can be done through surprise gifts, limited time promotional offers and even just a simple thank you message or gift card code on special occasions.
The Loyalty Box makes the process of getting to know your customers a whole lot quicker, easier and more accurate. You can sign up for free 14 day trial here now for more relevant customer loyalty promotions and stronger connections with your best customers.