Customer loyalty programs can be an effective way to differentiate your business, build customer relationships, and drive revenue growth. Specially In a bustling business hub like Dubai, where competition is too high.
In 1793, supermarkets and gas stations offered customers redeemable copper coins as tokens to use purchasing goods from stores. Nowadays, loyalty program businesses have become more competitive and so marketing.
Customers are changing their minds randomly to choose the best suppliers of products and services. 45% of consumers keeping their loyalty to the business by earning points and rewards.
To make businesses successful, marketers run a few campaigns on customer loyalty programs to retain existing customers. A business needs to spend 5 times more to acquire a new customer than an existing one.
According to a study, businesses generate 95% of revenue from their existing customers. It’s clear for a business that it must keep engaging existing customers and that’s preparatory through a customer loyalty program.
What Exactly A Customer Loyalty Program is:
Customer Loyalty programs are not just for offering discounts and cashback. 63% of marketers are investing in customer loyalty programs by using the purchase history & customer data, and offering them relevant & time-based loyalty rewards.
A list of incentives such as gifts, free parking, free merchandise, reward points, coupons, offers, discounts is a few examples of customer loyalty programs.
Customer loyalty programs have become more user- centric by user experience and engagement cycle. 32% of consumers love to use customer loyalty and experienced better with the brand they using.
How Do Loyalty Programs Are Beneficial For Business:
- 84% of customers visit online stores by attractive loyalty programs. It’s can build a healthy relationship between customers and business.
- Integrated loyalty program with CRM offers highly personalise customer rewards for customers based on their purchase history and interest,
- Brands have records with a minimum of 13% growth and a maximum of 35% growth of Average Oder Value through the customer reward program.
- Customer Loyalty rewards are used for marketing and organic advertisement purposes. Happy customers recommended and send reviews for brands or businesses they are satisfying with.
- Correctly implemented loyalty programs can increase 30% of total revenue for a business.
- Omni-channel loyalty programs become more beneficial to engage customers. It provides customers a large number of choices for shopping at their convenience and interest. It is also beneficial to increase brand loyalty and brand value.
Read more : How loyalty program helps small business
How Do Marketers Help A Business Through Customer Loyalty Programs?
Businesses are more centralise and user-centric in this period. Everything is being recorded digitally and CRM software is incredible to collect and store consumer data from every possible source.
Social media are large platforms for potential customers and existing customers. Integrating CRM software is used to collect data from social media to understand customers’ interests and purchasing history.
Marketers manage and analyse those data to segment their target audience and run personalise ads and campaigns for loyalty programs to the right customer at right time.
The result is awesome and grows customer retention enormously. Although 18% of customers are loyal to those brands they are cater to without any rewards but 45% of customers purchase for the loyalty rewards. Additionally, 75% of existing customers love to continue shopping with the brand after satisfied with consumer loyalty incentives.
How Can Yegertek Help Businesses In UAE By Providing Customer Loyalty Programs?
Yegertek is a leading Loyalty Program company in Dubai and UAE that provides Engage365 customer loyalty program solution for its clients. Engage 365 loyalty program is powered by Microsoft Dynamic CRM, which helps a brand to get more loyal customers over time.
Engage 365 integrated to the personalise loyalty program on clients’ demand. Microsoft dynamic CRM is one of the best software for marketing automation, proximity marketing, social media engagement, POS integration( Point of Sale system software used in restaurant, retail business and grocery store to spot customers and payments, integrated with CRM), Loyalty program designing with comprehensive customer reward software management. Etc.
In addition dedicating customer loyalty platform offers several ways to manage and judge customer retention by customer experience after purchasing and the performance of a loyalty program through some key matrices.
- Customer retention rate: Successful loyalty programs is increase the number of loyal customers over time.
- Net promoter score: This metric helps a business recommended by its customers through personal recommendations or reviews and giving pints or stars from 1-10.
- Customer effort score: It shows the interest of a customer in the brand and its products and services. Customer services care plays a big role to increase customer effort scores.
- Churn: It indicates the number of customers who leave the brand and did not respond in loyalty rewards.
Yegertek provides Engagement 365 to businesses for Retail, Restaurant, Hospitality, Banking, Healthcare, etc. to achieve fundamental targets and increasing consumer satisfaction within the margin of the marketing budget.