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5 Reasons To Reward & Incentivise Your Customers - REASON #1

  • by Junior Bucknor
  • •
  • 05 Dec, 2018
  • •

CUSTOMER RETENTION

Just 3% of first time visitors that make a purchase at your shop will return to buy again. This statistic is alarming especially after the effort and budget you've allocated to attracting them in the first place. So how can you change this trend? One way is through a loyalty program. 

Loyalty schemes and coupons are a fantastic way to generate extra business and are a simple and effective marketing tool to spread the word about your products/services.  We're used to seeing the big brands utilising loyalty schemes and may wonder why they do this. The reason is simple. Collectively, your repeat customers bring the most revenue in to your business.
One of the most effective methods of encouraging repeat customers is by offering coupons and loyalty schemes.
In 2010 Costa Coffee launched their UK customer loyalty program, the Costa Coffee Club where customers are rewarded with points for every purchase they make, points they can trade in and spend on any other Costa Coffee purchase at any of the 2,300 UK outlets. Just some of the rewards the business has seen are increased sales, increased spend per-customer and increased frequency of visits
“We thought we had a hard-core set of consumers, but the findings showed this was only partly true–5% of our customer base drove 46% of our customer transactions–so we set out to find a way to build loyalty and create active brand preference.”
Kevin Hyde - Costa Coffee's Marketing Director
A loyalty scheme can help create closer bonds with your customers by gaining an insight into their buying habits. You can use this data to tailor the types of rewards and promotions delivered via your consumer loyalty program. A supportive marketing consultant can help you drive loyalty, footfall and revenue

There's no reason why small and medium size businesses shouldn't develop a loyalty scheme to reward their most loyal customers and drive more business revenue. With 69% of consumers having a preference for loyalty schemes and coupons delivered through their smartphone the time has never been better than now to get involved.

It's affordable, effective and your customers will love you for it!

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