How do you build loyalty among customers with video programs 101
Be sure to reward your clients in with the proper manner and they'll be by your side through thick and thin.
As marketers, it's our duty to present our customers with useful, helpful material (and incentives) at every stage of the buying process, pushing buyers closer to their first purchase.
And once they become customers, we have to establish a rapport that keeps us in their radar so that they can are able to contact us anytime there is a need regardless of what's happening in their life.
Programs to reward loyalty help companies achieve all of this and more. The customers who are coaxed into to the fold are able to become frequent buyers, leave positive reviews, and generate word of mouth referrals. This cycle is ever-changing, and it's vital to the growth of your company's brand.
What you'll be learning
What exactly are customer loyalty programmes?
Customer loyalty is a crucial metric for gauging a brand's success. It is a measure of their desire to keep returning to the exact same brand over and over time. Customers who are loyal can accelerate the success of a brand through continuous help and referrals.
Customer loyalty programs that are traditional offer incentives that allow brands to retain customers, boost the value of their customers' lifetimes, and show their customers how much they appreciate their ongoing support.
Every reward program is different. Depending on your business model You could develop a system that rewards points with each purchase, which customers are able to redeem to purchase gifts or discounts. Or, the subscription-based system that offers rewards to customers who sign up to pay an annual fee.
Why are customer loyalty programs crucial?
In the end, at the final analysis the customers you serve will likely get what you're offering elsewhere. Customer loyalty programs are among the key differentiating factors that keeps your customers returning to you, without wondering how green the grass is on your competitor's right side.
Relationships are a two way relationship, and customer relations aren't any different. It is essential to provide as much to them as they are offering to you plus a bit more-- if you want them to stay by you. They support you through buying your products and services. They are supported by you providing high quality products and services.
What's wrong with stopping here is that other businesses are doing the same. If you're looking to make a mark and stand out, you must offer something extra special as a reward for customers and their continued loyalty.
Customer loyalty programs help.
Companies that have implemented programs to reward customers for loyalty increase their loyalty to customers, their lifetime value and relationships. They also increase appreciation and overall satisfaction. And when customers inevitably rave about their loyalty benefits, they offer up complimentary word-of-mouth marketing as well as boosting the bottom line of your business.
What is the best way to start an incentive program for customers?
The most important aspect to start an effective customer loyalty program is knowing what your customers need. Begin by studying the behavior of your customers and surveying your most loyal customers to find out the factors that keep your company in their favor. You'll need to assess your customer base's overall degree of satisfaction as well.
If you've got an idea of the things your customers value and some insight into how you can improve your customer relationships, it's time to create a customer loyalty program tailored based on that data. Check out the different types of loyalty programs. Also, look at how your competitors operate, then decide what perks your customers will most appreciate.
It is important to establish precise goals before your loyalty program's inception. This helps keep you on track and help you measure the program's effectiveness. You might choose different goals for different customer segments. For example, you might have a loyal group of customers who you would like to purchase additional products or services. Identify loyalty offers that resonate with each segment.
What makes a profitable loyalty program?
A successful customer loyalty program creates an emotional bond between the client and the brand. It fosters a relationship that is more than the need for a certain product or service, encouraging customers to actively seek out ways to help your brand. Customers who are loyal place their faith on your company's reputation and products. Research shows that they will spend an average of 67% more than new customers
The loyalty programs create positive feelings about your brand at every contact point, gradually turning one-off buyers into loyal customers. 80percentof customers who change brands feel the brand could've taken action to keep their loyalty. A few nudges from your customer loyalty program may help keep many of your customers from contacting your competitor's door.
There are many ways to gauge the effectiveness of your customer loyalty program. Effective tracking is the key to all of them. The most popular indicators of loyalty for customers to track are:
- Rate of retention for customers: How well you're retaining customers both inside your loyalty program, and overall.
- Number of purchases per customer How many transactions each customer makes. You can track this metric both for loyal members and non-members and then compare.
- Average Customer Spend: How is the average amount each person spends.
- Social media media mentions: How customers are talking about your company's brand and loyalty program online,
- Referral traffic is where site's visitors are coming from.
- Members value: the average amount spent for loyal customers.
- Share of sale transactions for loyalty: number of transactions that participate to the program for loyalty.
- Loyalty program ROI The total return on investment for your loyalty program for customers.
8 types of customer loyalty programs, with examples
Although every reward program is specific to the business as well as the clients it's created to help, most rewards programs fit into one of the eight categories listed below:
1. Programs of Tiered Loyalty
These loyalty programs give customers rewards based on their ranking system. The rank is usually determined by the amount they spend and how engaged they are. The programs may inspire people to work towards a higher rank. Southwest employs this strategy of loyalty programs and offers customers who fly extra benefits based on their rank.
2. Programs for paid loyalty
The type of loyalty program is one that requires the customer to pay a fee in exchange for ongoing and immediate benefits. It can be paid once only, or it can be recur in a periodic (often every month) basis. Fabletics is a great illustration of this. A subscription to their program at a monthly cost of about $50 can get an entire workout program with a cost of around a third their regular price. Members are 62 percentmore likely to invest more for a particular brand after joining their paid loyalty program.
3. Experiential rewards and exclusive events
4. Incentive programs that are based on points
This is the most common kind of incentive for customers out there. Customers gain points with every purchase . They can then use these points to receive cash-back, freebies discount coupons, as well as additional perks. Some companies offer customers points for actions like sharing their social media accounts, writing reviews or gamification techniques, and even for milestones like birthdays. Tarte uses a points system that rewards members as well as give their customers access early to sales and product launches also.
5. Email campaigns
Brands using this type send emails offering insider tips and special discounts to loyalty members. Chipotle does this, and they use the emails to remind their customers that they earn points, and to give gratitude, too.
6. Referral programs
This type of loyalty program promotes advertising through word of mouth through rewarding customers with cash, discounts or freebies when new customers buy a product on their recommendation. Tesla uses this kind of program to grant only those with a valid referral code access to new vehicles and special events.
7. Discounts
It is essentially a discount for loyalty members. As an example, Mapco's gas rewards program offers members a small discount for typing in their number when filling up at the pumps.
8. Apps
A few companies offer an application that houses their reward program. Customers order in the app to accumulate points to redeem freebies or discounts. Panera Breaddoes this well, offering an incentive each time a customer makes a visit. It also includes a countdown on the app , which shows users the amount of time they've spent before they receive their next bonus.
Video is a great way to help build customers' loyalty
The rewards program will be useless if it fails to establish a connection of emotion between your clients and you. A few words that outline a possible discount printed on a page aren't often enough to accomplish it effectively. Video has repeatedly been proven to be the most effective way to foster emotional connection with an crowd.
Strengthen your customer loyalty program through these 7 kinds of videos:
Make an announcement video
Explain your program
Your loyalty program will be ineffective if customers do not know how it works. Develop a explainer video that details how to join your loyalty program, how you can use the program, and what benefits clients can look forward to.
Demonstrate how your app functions
Marketing videos for email and GIFs
Express your gratitude via a short video
The ability to show your customers that you appreciate their loyalty will go a long way particularly in the form of video.
Leverage social media marketing
Celebrate milestones of customers
Commonly requested questions
What are the top customer loyalty programs?
Sephora's Beauty Insider program and Amazon Prime is two different yet highly successful and well-liked loyalty schemes to take lessons from. What are the primary kinds of loyalty program?
The most commonly used kinds of reward programs include points-based, tiered, and paid. Sephora's program is both points as well as tiered. Amazon Prime is an example of a program that is paid.
Closing around
The cost of acquiring new customers can be costly. Put some money into a customer loyalty program that is tailored to the customer base you have and you can up your sales with the customers who are already supporting you. Give back to them to give them additional support for you.