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Customer Loyalty Programs BOOSTING YOUR BOTTOM LINE WITH
FOLLOW ME ON TWITTER @DARRENDEMATAS BY DARREN DEMATAS Darren DeMatas has 10+ years of professional marketing experience wo...
Reasons Why Customer Loyalty Programs Matter7
There are 3.3 BILLION loyalty program memberships in the US, an average of 29 per household. (Colloquy) 1
2 More than 71% of those making $100,000 OR MORE a year are enrolled in a loyalty program. (Software Advice)
85% of retailers are in search of ways to add value outside of discounts. (Colloquy)
It is 6-7 TIMES more expensive to acquire a new customer than it is to keep a current one. (White House Office of Consumer...
75% U.S. companies with loyalty programs generate a return on investment. (Experian)
83% of members agree that programs make them more likely to continue doing business with certain companies (Bond)
Increasing customer retention rates by 5% increases profits by up to 95%. (Harvard Business Review)
Big Reasons Why Customer Loyalty Programs FAIL4
97% of loyalty programs are based on spending money to earn money (transactional rewards) (Cap Gemini)
77% of transaction-based programs fail in the first two years. (Cap Gemini)
Overall, ONLY 25% of companies reward any form of engagement. (Cap Gemini)
56% of people don’t join a loyalty program because of privacy. (Bond Brand Loyalty)
CHECK OUT THE POST ENJOYING THIS PRESENTATION? Learn How To Launch A Customer Loyalty Program
Types of Customer Loyalty Programs 5THAT WORK
POINTS PROGRAMS REWARD CUSTOMERS WITH REDEEMABLE POINTS FOR MONETARY OR NON-MONETARY ENGAGEMENT.
POINTS FOR ENGAGEMENT (NON-TRANSACTIONAL)
POINTS FOR ENGAGEMENT (NON-TRANSACTIONAL)
SPEND PROGRAMS REWARD CUSTOMERS WITH STORE CREDIT BASED ON DOLLAR AMOUNT SPENT.
EARN POINTS FOR TRANSACTIONS ONLY
EARN POINTS FOR TRANSACTIONS ONLY
TIERED PROGRAMS INCENTIVIZE CUSTOMERS WITH STATUS BASED REWARD LEVELS BRONZE SILVER GOLD Free Products Birthday Gifts Birt...
THREE TIERED PROGRAM
#VIBROUGE TWITTER SEARCH = ENGAGEMENT & EXCITEMENT
GOLD MEMBERS GET FREE SHIPPING
PAID PROGRAMS CHARGE AN UPFRONT FEE FOR VIP BENEFITS
PUNCH PROGRAMS CUSTOMERS MOVE TOWARDS A GOAL WHEN PURCHASING CERTAIN ITEMS
BUY 5, GET 1 FREE
CHECK OUT THE POST ENJOYING THIS PRESENTATION? Learn How To Launch A Customer Loyalty Program
Tips For Launching A Loyalty Program11
SIMPLE start 1
start with your EXISTING EMAIL LIST 2
JOIN make it simple to 3
LIKE THIS
NOT LIKE THIS
EARNING make rules simple EARN 1 POINTSPEND $100 4
100 POINTS IS WORTH $1 SPENDING make rules simple 5
launch in digestible chunks6
Don’t Overwhelm Customers’ With Options 7Coupons POINTS Tiers Fees Punch Cards
END GOAL have your 8 in mind IMPROVE CUSTOMER ACQUISITION? DECREASE CUSTOMER CHURN? INCREASE ORDER SIZE?
EMAIL AUTOMATION use 9Automated Emails Get 119%HIGHER CLICK RATES Than Broadcast Emails (Epsilon)
make it about your customer 10 not about money
11
LEARN ECOMMERCE ENJOYED THIS PRESENTATION? Learn How To Launch and Grow An eCommerce Business
How to launch a customer loyalty program that boosts your bottom line
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How to launch a customer loyalty program that boosts your bottom line

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Shoppers love customer loyalty programs, but most ecommerce sites get it wrong. Learn how to launch a profitable rewards program that boosts your bottom line.

You'll understand why customer loyalty programs matter, how they contribute to long term profitability and how to launch an effective program

Published in: Marketing
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How to launch a customer loyalty program that boosts your bottom line

  1. 1. Customer Loyalty Programs BOOSTING YOUR BOTTOM LINE WITH
  2. 2. FOLLOW ME ON TWITTER @DARRENDEMATAS BY DARREN DEMATAS Darren DeMatas has 10+ years of professional marketing experience working with large corporations and small businesses. In addition to having an MBA in Internet Marketing, Darren is a Copyblogger Certified Content Marketer and Google AdWords Certified.
  3. 3. Reasons Why Customer Loyalty Programs Matter7
  4. 4. There are 3.3 BILLION loyalty program memberships in the US, an average of 29 per household. (Colloquy) 1
  5. 5. 2 More than 71% of those making $100,000 OR MORE a year are enrolled in a loyalty program. (Software Advice)
  6. 6. 85% of retailers are in search of ways to add value outside of discounts. (Colloquy)
  7. 7. It is 6-7 TIMES more expensive to acquire a new customer than it is to keep a current one. (White House Office of Consumer Affairs)
  8. 8. 75% U.S. companies with loyalty programs generate a return on investment. (Experian)
  9. 9. 83% of members agree that programs make them more likely to continue doing business with certain companies (Bond)
  10. 10. Increasing customer retention rates by 5% increases profits by up to 95%. (Harvard Business Review)
  11. 11. Big Reasons Why Customer Loyalty Programs FAIL4
  12. 12. 97% of loyalty programs are based on spending money to earn money (transactional rewards) (Cap Gemini)
  13. 13. 77% of transaction-based programs fail in the first two years. (Cap Gemini)
  14. 14. Overall, ONLY 25% of companies reward any form of engagement. (Cap Gemini)
  15. 15. 56% of people don’t join a loyalty program because of privacy. (Bond Brand Loyalty)
  16. 16. CHECK OUT THE POST ENJOYING THIS PRESENTATION? Learn How To Launch A Customer Loyalty Program
  17. 17. Types of Customer Loyalty Programs 5THAT WORK
  18. 18. POINTS PROGRAMS REWARD CUSTOMERS WITH REDEEMABLE POINTS FOR MONETARY OR NON-MONETARY ENGAGEMENT.
  19. 19. POINTS FOR ENGAGEMENT (NON-TRANSACTIONAL)
  20. 20. POINTS FOR ENGAGEMENT (NON-TRANSACTIONAL)
  21. 21. SPEND PROGRAMS REWARD CUSTOMERS WITH STORE CREDIT BASED ON DOLLAR AMOUNT SPENT.
  22. 22. EARN POINTS FOR TRANSACTIONS ONLY
  23. 23. EARN POINTS FOR TRANSACTIONS ONLY
  24. 24. TIERED PROGRAMS INCENTIVIZE CUSTOMERS WITH STATUS BASED REWARD LEVELS BRONZE SILVER GOLD Free Products Birthday Gifts Birthday Gifts Free Shipping Free Shipping Free Shipping2X Points 3X Points Exclusive Items
  25. 25. THREE TIERED PROGRAM
  26. 26. #VIBROUGE TWITTER SEARCH = ENGAGEMENT & EXCITEMENT
  27. 27. GOLD MEMBERS GET FREE SHIPPING
  28. 28. PAID PROGRAMS CHARGE AN UPFRONT FEE FOR VIP BENEFITS
  29. 29. PUNCH PROGRAMS CUSTOMERS MOVE TOWARDS A GOAL WHEN PURCHASING CERTAIN ITEMS
  30. 30. BUY 5, GET 1 FREE
  31. 31. CHECK OUT THE POST ENJOYING THIS PRESENTATION? Learn How To Launch A Customer Loyalty Program
  32. 32. Tips For Launching A Loyalty Program11
  33. 33. SIMPLE start 1
  34. 34. start with your EXISTING EMAIL LIST 2
  35. 35. JOIN make it simple to 3
  36. 36. LIKE THIS
  37. 37. NOT LIKE THIS
  38. 38. EARNING make rules simple EARN 1 POINTSPEND $100 4
  39. 39. 100 POINTS IS WORTH $1 SPENDING make rules simple 5
  40. 40. launch in digestible chunks6
  41. 41. Don’t Overwhelm Customers’ With Options 7Coupons POINTS Tiers Fees Punch Cards
  42. 42. END GOAL have your 8 in mind IMPROVE CUSTOMER ACQUISITION? DECREASE CUSTOMER CHURN? INCREASE ORDER SIZE?
  43. 43. EMAIL AUTOMATION use 9Automated Emails Get 119%HIGHER CLICK RATES Than Broadcast Emails (Epsilon)
  44. 44. make it about your customer 10 not about money
  45. 45. 11
  46. 46. LEARN ECOMMERCE ENJOYED THIS PRESENTATION? Learn How To Launch and Grow An eCommerce Business

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