Can a small business offer loyalty schemes?
If you think loyalty programmes are just for big brands, think again. Even small to medium businesses can hook customers and keep them engaged through loyalty schemes… if it’s done right.
Did you know that 70% of your profits come from only 20% of your customers? That’s because this 20% are returning, loyal customers. Building that level of trust with one-time customers so that they keep coming back is key.
You can use a loyalty programme in order to build that trust with new (or even potential) customers. The end result is an increase in sales from loyal customers that end up generating the most profit for your business. Ultimately, small business owners don’t have the time or resources to chase new customers through fancy marketing tactics. Working on customer loyalty is in fact, the best use of your time and effort, with greater returns. Here are some quick steps to get started with a loyalty programme.
Ask yourself these 3 questions
1. Is it easy to follow?
Firstly, try to make the loyalty programme easy to follow for your customers. A programme that’s easy to understand and follow will help your customers feel comfortable within the process.
2. What’s the benefit?
Why should consumers be part of your loyalty scheme? Give them appealing reasons to consider and sign up.
3. Is it fun?
Make the process enjoyable for customers. Can the value your business provides your customers for loyalty lead to happiness and joy? Ask yourself this question at each step of curating your personalised loyalty programme.
What are the main types of loyalty programmes
You don’t need a huge bank balance to set up a loyalty programme. It’s possible to run an effective profit-driven loyalty scheme that benefits both the loyal customer base and business.
Remember greater focus on retention over acquisition is the basis of building a loyalty scheme for small and medium enterprises. Here are some quick and easy programmes you can implement right away.
Send, give, distribute and reward customers with points. The more they spend the more points they receive. After a certain accumulation of points, they are eligible to win a prize! Try to get really creative with the services you may offer for hitting certain targets for your points-based loyalty system.
A stamp scheme is a fun and easy way for a small business to set up a loyalty scheme. Give a customer a stamp every time they buy from you. Give out cards with a minimum number of stamps that need to be filled before they can claim a freebie or reward.
Perks schemes can be very popular amongst consumers as they help make the process enjoyable. Perks may include a VIP discount on a client’s birthday to reward them for their consistent engagement with the company. Another great perk is to give out sales codes for customers each time they make a purchase. Also, early-bird tickets to events are a common way of promoting products and services.
How Prosper² can help
Prosper² uses a powerful yet simple loyalty strategy to transform the business potential of all our SME clients. Our leading philosophy is “repeat customers are rewarded and businesses increase sales”.
More importantly, Prosper² is a quick, cheap and easy to implement points-based loyalty programme. We are flexible and adapt to the needs of your business all in a cost-effective manner.
How does Prosper² build strong relationships with clients? By connecting at an emotive level and acting as an advocate for customer loyalty. Learn to win, maximise and retain customers as a Prosper² member here.