New Integration: LoyaltyLion and ReCharge

Loyalty and Subscriptions – perfect partners for customer retention

Research shows that the average consumer keeps subscription services for just 125 days. That’s why we’ve launched an integration with leading subscription platform, ReCharge. Using LoyaltyLion and ReCharge together, you can encourage customers to become subscribers, and reward them for their loyalty.

The subscription ecommerce market has grown by more than 100% over the past five years as competition has heightened. This isn’t really so surprising when you scroll through your Facebook feed, where companies like Gousto and HelloFresh compete with special offers and free delivery on your first few boxes.


Companies like these have got their acquisition down to a fine art. However there is nothing to stop a customer playing the field and working their way through introductory offers. As a result, subscription retailers need to shift more of their focus toward retention.

So who’s capturing loyal subscribers successfully, and more importantly – how are they doing it?

Creating a subscriber-only tier

To keep customers around once their initial trial period or introductory offer has expired, you have to show them that they’re valued. Inviting them to join a subscriber tier allows you to offer them access to rewards that non-subscriber loyalty members can’t enjoy.

Exclusive perks that can’t be gained elsewhere give subscribers more reason to stay loyal. For example, health and wellness ecommerce retailer, Annmarie Skincare offers their subscriber tier free shipping, double reward points on all purchases and early access to new products.

Screenshot 2021 04 14 At 16.47.48Offering meaningful rewards

Retaining subscribers relies on making it worth their while to make their next order with you rather than someone else. Ensuring that when customers order they receive points that they can redeem on future boxes is good. Engaging them in between orders is better.

Allowing customers to earn rewards for additional activities such as referrals and social shares, keeps your brand top of mind even when subscribers aren’t waiting for a box to arrive. The ability to redeem those rewards against their next purchase also motivates them to order from you again. Birchbox uses a points program to drive customer retention, offering customers points that can be traded for full sized products when they review samples online.

Birchbox Rewards

Reactivating lost subscribers

It costs 5 times less to retain an existing customer than to acquire a new one. Identifying your at-risk and disengaged customers and offering them recurring rewards won’t just encourage a one-off reactivation. It will also motivate longer-term loyalty and engagement.

Recurring rewards can be as simple as offering a discount that will be automatically applied on the next three (or any other number) subscription orders. Use this to match what customers would get in an introductory offer elsewhere, and you can incentivize them to resubscribe with you rather than setting up with someone new. Subscription services such as Glossybox take things one step further, allowing customers to reinstate their existing points balance when they reactivate their accounts.

When it comes to extending the lifetime value of a customer, loyalty and subscriptions are the perfect partners, reducing acquisition and marketing costs while simultaneously driving more loyal behaviours from your customers.

Find out more about how you can use LoyaltyLion and ReCharge together to encourage customers to become subscribers, and reward them for their loyalty.