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7 Tips To Develop Customer Loyalty Programs

Sales is king. My guess is this is not your first time hearing that statement, Right? Since it’s rare for businesses to have a monopoly in their industry. It means customers have options when looking to purchase a product.

Therefore, every business is concerned about how to get rid of their competition, acquire more customers, and increase their sales.

And one of the proven marketing strategies for achieving this goal is customer loyalty programs, and right here you will uncover 7 useful tips to help you create a successful program for your brand.


Create a framework

This is the first thing you need to do. It is more like the foundation for whatever incentive you are going to build. This sets out how customers are going to take part in the loyalty program, what they need to do, and what they stand to gain.

Create terms and conditions

You need to design an explicit legal agreement that defines what the participant in the customer loyalty program must agree to before partaking in the incentive program. You can also issue disclaimers via this agreement.

Anyone who flouts the terms of the agreement automatically risks disqualification from the program.

Make it seamless for people to take part

Some incentive programs are hideous, and you can already see through the scheme of the company that they do not want people to win. They are only looking for engagement with their product or brand to increase.

Don’t be like this. Don’t hustle people. Hustling people can sometimes backfire and even if it doesn’t, it is creating a bad image for your brand.

Make it easy for customers to track their progress

When developing a customer loyalty program for your business, endeavor to incorporate a means for your customers to track their progress towards the goal. This serves as a motivation for them to continue in the program.

Promote your customer loyalty program via referrals

If you want to increase awareness about your loyalty program, there is no better way than to make use of your existing customer base. Offer them bonus points, discounts, and freebies for getting others to participate in your incentive program.

This would inevitably spell a spike in revenue for your business. As people partaking in the incentive program means they have to purchase your business’ offering.

The rewards should be worth the stress

If you want people to engage with your incentive program then the rewards need to be worth their while. By this, I mean the rewards must be enticing and relevant to your business. And the reward does not have to be a physical product. It could be a discount, access to VIP privileges, bonus, or cashback, among others.

Personalized communications

Findings reveal that consistent, regular communication has a big part to play in the success of customer loyalty incentives. Keep your customers in the loop of things as the program progresses or nears its end. Endeavor not to send bulk messages screaming spam! instead, personalize the messages bearing in mind the involvement of the customer in the program.


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