For most businesses, retaining customers and increasing customer lifetime value is a primary goal.
When you were smaller, it probably felt easier to build one-to-one relationships with your customers. But, as you grow, so does your customer base. This means it can be harder for you to identify your at-risk customers and where to focus your marketing efforts.
Our research showed that 53% of your store’s revenue comes from the top 20% of your existing customers. A loyalty program with particular enterprise features can help you to draw your at-risk customers back to your store through differentiation, stronger customer relationships and enhanced brand value.
As an enterprise brand, your loyalty program needs to hone in on your most valuable customers and provide features that they will use and appreciate. In this blog, we will explain which enterprise loyalty program features can help you retain customers and drive revenue. We’ll also share examples to inspire you as you create your own enterprise loyalty program.
Research shows that a consistent brand identity across all platforms can increase revenue by 23%. To keep your sales on track, try creating a loyalty program that’s a natural extension of your store, enhances your brand identity and creates a community.
For example, Boody, an Australian eco-clothing brand, created a loyalty program called “The Goodness Corner” that reflects its unique brand values: comfort and goodness. With a fully on-brand loyalty program, Boody has added incremental value and strengthened its identity. In a single month, Boody increased its customer spend by 25%. And don’t just take our word for it: Boody’s CEO, Shaun Greenblo, says, that their loyalty program is becoming “a key pillar of Boody’s online presence and identity”.
Lively is also a great example of how you can implement your brand elements into your loyalty program’s structure, design, communication and photography. As a sophisticated underwear brand, Lively is established for female customers who have a wild heart and boss brain. They implemented their core brand values into their tiered program structure; Bestie Status, Total Boss Status and Powerhouse Status. They also used a specially designed iconography that is consistent with their brand identity. With this approach, Lively strengthened its branding and community while encouraging customers to spend more.
86% of customers are willing to spend more when they receive a seamless experience. To make your loyalty program a natural part of your online experience and presence, try creating an integrated loyalty page.
This feature allows you to embed loyalty components directly on the page so customers don’t stray away. It can also provide a destination for both your existing and potential customers to return to regularly and encourages to spend more.
A loyalty program helps you to encourage your customers to complete specific activities such as writing a review, referring to a friend or engaging on social media platforms. But, as an enterprise brand, you can take this to the next level.
With conditional tiers, you can segment your customers into groups and create custom rewards. For example, you could add your most loyal customers into a premium tier for an added fee.
Mirenesse, a leading makeup and skincare brand, created a paid “Gold” tier in their program that offers customers luxurious treatments and benefits in exchange for a $10 monthly membership. Customers who pay for this premium club gain access to secret sales, a tester panel for the new products, exclusive rewards and much more. With this golden approach, Mirenesse added more than $500,000 to their revenue in just three months.
Recent research shows that 68% of customers are willing to spend more when they receive a smooth experience. To deliver an effortless journey and increase your revenue, every stage of your loyalty program needs to be simple and easy for your customers to engage with.
With In-Cart Rewards, customers can redeem rewards with no need to apply voucher codes or gift cards. Instead, they can directly use their points against rewards from within the cart. With this enterprise feature, you can easily increase your program engagement, reward redemption, and revenue.
As a result, Pacifica Beauty increased its AOV by 22% from loyalty program members.
You can A/B test different loyalty campaigns to improve the performance of your program and find real insights about your customers. For instance, you can A/B test a notification campaign that displays a pop-up to customers once the purchase is made and letting them know that if they create an account they will earn points that can be redeemed against future purchases. Keep in mind that customers who sign up to your site are 47% more likely to purchase a second time.
For example, Original MakeUp Eraser, a cosmetics brand, started running a time-limited experiment to Increase their signups post-purchase. The notification has had a clickthrough rate of 40% and 25% have converted to program members, whilst only 9% of customers who haven’t seen the notification became a member of the loyalty program.
You can also set up friendly reminders on the site to encourage referrals. You can run a referral campaign that displays an on-site notification to customers post-purchase, explaining that they can unlock additional rewards for making referrals. This instant call-to-action works effectively because customers are often happiest right after they make a purchase.
As an enterprise brand, having a loyalty program is inevitable to enhance your customers’ lifetime value.
To set your store apart from your competitors and strengthen your relationship with customers, design a fully-customised loyalty program that is on-brand; use an integrated loyalty page that delivers a seamless online experience; create conditional tiers to deliver exclusivity and increase your revenue; implement In-Cart Rewards and Campaigns to enhance your reward redemption, program engagement, and your bottom line.
At LoyaltyLion, we also have specialist Loyalty Consultants on hand to assist enterprises, like you, to deliver a unique loyalty program that accelerates your marketing efforts and solves your ecommerce challenges.
Check out the Hall of Fame to learn some more loyalty program best practises from the best in the business.
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Connect with a Loyalty Analyst