Let’s face it: when it comes to capturing customer attention and loyalty, competition is fierce. With so many options to choose from, it’s more important than ever to have a differentiated marketing strategy so your business truly stands out in their eyes. Mere advertising campaigns aren’t enough.
This is where referral and loyalty programs come in. Combined, they form a powerful tool that both creates brand ambassadors and keeps your customers coming back again and again.
But to do this, you still need to use them properly. We’ve highlighted what makes these two tactics so interesting and profitable for your business.
Use a referral program to acquire new customers
One of the easiest ways to win new customers is to be recommended by people they trust. 77% of consumers are more likely to buy from a brand they hear about through their friends , and 42% of consumers are loyal to brands whose products are purchased by their friends and family.
These numbers show how valuable being recommended by a trusted source is to your business. A referral program is a great way to encourage more of these types of recommendations.
The principle behind such a program is simple: encourage your current customers to convince potential customers to try your brand. If these potential customers become actual customers, the people who recommended your business to them are rewarded.
Referral programs are beneficial for both referrers and referees. Why? Because the prospect of a reward increases the chances that your india telegram data current customers will promote your product or service, and a “trusted” recommendation increases the chances that potential customers will choose you over a competitor.
It may seem expensive at first, but the price tag for acquiring new customers is typically much higher than a referral reward. And then, think about what a customer earns you over a lifetime. Is capturing that “customer lifetime value” worth offering a free product or discount? Chances are the answer is “yes”!
Keep your customers coming back again and again with a loyalty program
Everyone knows that variety is what spice up our lives. It’s the same for loyalty programs. A classic “stamp card” tends to lose its effectiveness and appeal over time. Why? Because having only one option is boring. Loyalty Program: Two Ways to Build
The excitement and perceived value of a reward diminishes every time a customer requests it. Your most loyal customers are the ones who visit you the most, so offering them the same reward over and over again can become the case of digital telephony for example repetitive and lose its appeal.
How do you solve this problem? Simply by varying the types of rewards you offer!
By offering multiple options, you allow your customers to choose the one they prefer, instead of limiting them to just one option. If you currently only offer one type of reward, why not vary it with free menu items, merchandise, a buy-one-get-one-free promotion, or even VIP access to special events?
Building “reward tiers” is another way to add value to your loyalty program. Once a customer has accumulated enough points, they move up a tier, giving them access to a new set of rewards. The higher the tiers, the greater the rewards. Naturally, customers will want to move up as many tiers as possible to gain access to the best rewards.Loyalty Program: Two Ways to Build
By creating a sense of progression and scaling rewards based on customer loyalty, you’ll increase the chances that a customer will become a regular who comes back again and again.
The results Loyalty Program: Two Ways to Build
If your customers are happy, they’ll be b2c fax more likely to recommend your business to their friends. This is especially true if you encourage them to do so with rewards.
When your customers feel the need to move up to the next level in your loyalty program, they will buy more and more often.
The result of combining these two tools is therefore the following: you attract new customers while maximizing the value of the customers you already have.