Loyalty programs encourage customers to visit and return. Here are guidelines for creating a loyalty program for your business.
You can structure a loyalty program however you like, but they all boil down to the same concept: for each set amount of business the customer gives you, you give them something in return.
A few guidelines to consider when creating your loyalty program
- Complex rules for earning points may discourage customers from signing up
- Customers should earn a reward in a timely manner
- Offer a reward that people want, and an easy path to getting rewarded
- Consider offering customers the flexibility to choose the type of reward such as a discount or a free item
There are multiple providers and options available to help you get up and running with a loyalty program.
- POS-enabled: Check to see if your POS provider has a built-in loyalty program. For example, if your POS can prompt customers to provide their email address, you can automatically credit customers with points tied to their emails. Authorize.net allows for customizable settings and SKU Cataloging to assist with this.
- Card-linked programs: Usually offered by payment networks, banks, and third parties, these programs allow customers to seamlessly enroll and automatically receive discounts and rewards if their registered card is used to make a purchase at your business. Customer Information Manager can store customer information securely so the customer doesn't have to input their information for every purchase.
- Plug-and-play solution: There are various customer loyalty solutions online. When evaluating these, think about what offers and rewards matter most to your customers and pick the provider that suits your business best.
- Customized: It’s also possible to work with a loyalty provider to create a custom program for your customers. Full-service loyalty providers can help you analyze, track, and examine your customers' engagement with the loyalty program.
Excerpt from Digital Transformation of SMBs: The Future of Commerce presented by Visa.
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