Revealed key elements of a successful customer loyalty programs

Guest post by: Sheryl Strasser
Become an Author

Free PDF Download
Easy Fool Proof Ways to Develop Customer Loyalty and Retention - By Sheryl Strasser

Another important element of customer loyalty programs is that they do not create additional costs for the customers in order for them to enjoy their rewards.

Customer loyalty programs are very effective in creating and keeping brand loyal customers. The rewards bring them back and they will continue to choose the given brand or company on a regular basis as well as spread the word about the product/company since they see value added rewards for their loyalty.

The technology age has also revamped the way customer loyalty programs are implemented and what customers are expecting in return for their loyalty. Gone are the days where you get one free after buying half a dozen of “product x”. Customers are now looking for quicker “returns on their investments” and customer loyalty programs have to meet these demands.

The expense of a customer loyalty program means that companies have to be very diligent in their research of what to offer and the demographics of who they are trying to reach. It is vital that they get it right or these customer loyalty programs could cost them far more money than they will ever get back. Grocery stores that have mature customer loyalty programs spend about 1-1.5% of their revenue on customer loyalty programs. Furthermore the commitment to customer loyalty programs is long term and it could take almost 18 months before you start to see returns. It would be unfortunate to have irate customers after you drop a much loved program due to expense, shortly before you start to see the returns.

Customer loyalty programs can also be an avenue to track customer retention. You can track when you lost a customer and it could give you a chance to get them back or at the very least find out why they left. Vital data about what’s working in your company and what does not can be gathered if you use your customer loyalty programs right.

Customer loyalty programs can also be used to weed out unprofitable customers, no company wants to retain unprofitable customers. The customer loyalty programs should be set up so that unprofitable customers are ineligible to join or receive the rewards, or better still the program should be used to turn them into profitable customers.

Customer loyalty programs have the added benefit of helping you grab more sales from existing customer base, which in turn help spread word of mouth marketing. There is also the ability to identify product/service problems earlier, which will improve profitability and this will in turn provide a competitive advantage.

A well implemented customer loyalty program can have a great bearing on a company’s bottom line.

Three Things Every Business Owner Should Know About Mobile Loyalty Programs

Tips on Building Customer Loyalty

Is Your Technology Solutions Destroying Customer Loyalty?

Customer Loyalty

A Unique Simple to Implement Customer Loyalty Program

Quiznos and Loyalty Clubs

Fascinating Implications of New (Internal and External) Customer Loyalty Studies

How to use customer incentives to dramatically increase customer loyalty

How to build customer loyalty

Results are in of a new study...

More Customer Loyalty

Loyalty Programs

Entrepreneur Marketing Month: A Great Time to Start Text Marketing

Dramatically Improve Customer Loyalty By Flawlessly Executing the Basics

USING REWARD PROGRAMS TO CREATE LOYAL CUSTOMERS

Is It's Never Too Late or Early to Build Customer Loyalty

Questions On Guest Loyalty

8 Questions to Ask Yourself in a Recession

10 Ways To Improve Customer Loyalty

Top 10 Ways To Create A Hot Customer Loyalty Program

Home > Marketing > Sheryl Strasser > Revealed key elements of a successful customer loyalty programs > Google +

Free PDF Download
Easy Fool Proof Ways to Develop Customer Loyalty and Retention - By Sheryl Strasser

About the Author: Sheryl Strasser

RSS for Sheryl's articles - Visit Sheryl's website

It's definitely easy to see that a employee motivation programs is a great choice when you're longing motivate your employees with a employee motivation program you can motivate your employees today without having to spend a huge amount of money.
Click here to visit Sheryl's website.

More from Sheryl Strasser
Free Report How To Gain More Clients and Increase Sales
Companies Use Incentive Programs for a Variety of Reasons
What are Key Questions to Ask Yourself About Incentives and Rebates
What Are The Results of A Recent Poll
Is Its Never Too Late or Early to Build Customer Loyalty

Share this article. Fund someone's dream.

Share this post and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Revealed key elements of a successful customer loyalty programs

Related Articles

Related Forum Posts

Share this article. Fund someone's dream.


Name:
Email: