1. Retains customers
The primary purpose of implementing loyalty programs is to retain customers by providing them incentives for making a purchases, giving a referral, sending a review, and others.
2. Gathers relevant data
One of the most important benefits of a loyalty program is to gather relevant customer data which helps you to track important analytics and measure metrics with a future insight to expand your business. Creating targeted marketing campaigns leads to a cost-effective approach to ensure that there is high engagement from your customers.
3. Boosts sales
Customer data is the key to boosting sales by giving customers a personalized shopping experience. This allows you to make better recommendations by means of cross-selling and up-selling which further increases the cart value.
4. Increases profit
A highly satisfied customer is a repeat customer, which is a huge contributor to increased the profit.
5. Lowers marketing costs
Implementing loyalty programs lowers the marketing costs which saves you money in the long run.
6. Sheds off unprofitable customers
Implementing a loyalty system or program will help you reduce unprofitable customers who can be more harmful to your company than being profitable. A loyalty program sheds off unprofitable customers with a focus on retaining customers who are actually important to generate more profits for your business.
7. Makes customers cheerful
A loyalty program helps you build personal relationships with your customers. This has an emotional connection between your brand and your customers, and shows how much you value and appreciate them.
8. Enhances customer communication
Loyalty programs helps you better communicate with the customers to promote sales, events, and new products.
9. Attracts new customers
With an incentive program, you can turn your valuable customers into brand advocates who can refer your brand to their family and friends.
Customer Loyalty Accelerator
The Customer Loyalty Accelerator (CLA) app for Shopify and Clover platforms helps small and medium sized merchants compete with retail Goliaths in building digital relationships . A groundbreaking loyalty program, CLA uses the power of spending-based store credits to reward return customer visits – and higher spending –generating more revenue for your store. CLA also includes a Referral Promotion feature to broaden your customer base. In addition, Clover merchants can integrate a Gift Card program right within your loyalty program for even greater reach.
Adapted from: Elvatoz