I recommend starting or boosting a loyalty club in a recession.
Loyalty programs are getting a lot of attention in this economic climate—and that’s because customer loyalty is more important than ever for the success of your business. (Read last week’s article here: Build real value into your loyalty program.)
Here are 3 loyalty-building rules to consider when building your program:
- Be sure your rewards are desirable. Above all, it is critical to give customers something they actually want to receive—not just a reward you want to give.
- Encourage more spending. You’ll have the most success with an “earn more, spend more” approach. This prompts the customer to try your other products or purchase additional services. Consider a car service center that offers “Buy 3, Get 1 Free” oil changes. That gives customers an incentive to return for oil changes…but it won't keep them from going to another store that offers rewards for buying tires or parts.
- Keep it simple. Don’t confuse your customer by making it difficult to cash in on their rewards…or to understand how the program works in the first place. Your busy customers will appreciate a straightforward setup.
Could a loyalty program work for you? If you’d like to find out…or improve what you have…contact me at inquire@cdmginc.com. Let’s see if I can help.
