Imagine you visit a particular jewellery store frequently. You've been giving this store good business for quite a while now. You'll naturally want to be treated to some extra-special attention from store employees. Consumers are no different when they shop online. You'll need to reward the customer loyalty they show your store. So investing in a loyalty program is important. But its not just the customer who benefits from a loyalty program. The store owner does as well.
Here's why you need a Loyalty program at your store.
Gives you a competitive edge
As a result of Google Shopping's comparison model, online customers get to see different store pricings for the same product. The competition between online stores is high and your sales depends on your customers whims of buying. Your customer might choose to buy products from store 'A' that's selling it cheaper or simply because it was the first listing he saw.
So to improve the odds of a customer purchasing at your store, you need to make him feel like he's getting more from your store than just the product he's paying for. A good loyalty program connects with the consumer on an emotional level, so he keeps coming back.
Assists Market research
When your customer makes his first purchase at your store, you'll convince him to sign up, so he can join your rewards program. The sign up process allows you to get to know your customer. What his interests are, what he's looking for, what his personal background is? All of these details help you understand your customer better, connect with him, and cater to him better.
Creates a Purchase Cycle
The reward points you give out, act as incentives to customers to keep visiting your store. Let's say a customer gets 10 reward points worth $50 after a purchase is made. He will try to buy another item worth the same amount or a little more to avail the loyalty offer. This creates a cycle of buying from your store. The customer purchases, is rewarded, motivated to buy more, and hence makes subsequent purchases. This is how a customer loyalty is created.
Loyal Customers become Brand Ambassadors.
Existing customers are the best way to get new ones. When they love your store, they'll spread the word about it to everyone they know. So keeping your existing customers happy by rewarding them is important. It sends out a message that your ultimate goal is not to make money or increase your sales, but to actually bond with the customer and keep him happy.
Exclusive loyalty programs make customers feel special
Customers love that exclusive one-in-a-million feeling and you can give this to them by implementing a tier reward program. Tier reward programs segment customers on the basis of purchase amounts or frequency into different classes.
Customers love knowing they're in the Gold class and above the Silver or Bronze classes. It gives them a feeling of superiority and entitlement and encourages them to make more purchases.
So now you know why you need a loyalty program at your store and here's how you get one. Download the Points and Rewards app from J2Store to implement an effective loyalty program. You can award points during signup, define points earned globally or at product level, manage points at the backend and so much more.
Download the app here today!
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