Customers do, after all, possess greater power than ever. They are far more intelligent and have greater options available to them. They are also far less forgiving. Developing a relationship with a customer is more challenging than ever. Even a minor error on your part could cause customers to switch to a rival’s good or service.
A single negative encounter will cause 32% of consumers to abandon a brand, according to research. Additionally, 59% of customers will leave after two or three negative encounters. That’s how challenging it is to retain customers in the modern world! To ensure a company’s existence, expansion, and success, well-thought-out client loyalty programs, and retention tactics must be invested in. Customers that are loyal to your brand are much more inclined to make larger purchases, recommend your business to more people, and expand their product horizons.
According to research:
- 61% of devoted customers will go above and beyond to support their favorite brands.
- 60% of brand-loyal customers will buy from them more frequently.
- 50% of a brand’s devoted clients buy more things from it.
- 75% of brand-loyal consumers will suggest a company to their friends and relatives.
What even is a loyalty program?
A loyalty program often referred to as a rewards program, is a marketing tactic used by brands to reward consumers by providing them with savings, cashback, benefits, and other incentives to enhance their overall experience and foster customer loyalty. Brands can use a variety of loyalty programs depending on their business’s size, the normal frequency of their customer’s purchases, and the average order value (AOV). Points-based loyalty schemes, tiered programs, and pay-to-join programs are some of the typical varieties.
Increased client lifetime value and repeated purchases are key advantages of a loyalty reward program. 95% of businesses feel that their loyalty program members spend more than their non-members annually, according to LoyaltyOne’s Loyalty Big Picture research. Out of this, at least 60% of businesses claim that their loyal customers spend two to three times as much, and 23% think they spend over four times as much!
At SmartGifty, we can help you create a fantastic loyalty program for you and your customers. Offer your customers more!