Every marketer is obsessed with loyalty – we know it’s easier to keep a customer than go after a new one.
But with business being constantly disrupted by innovation, squeezed margins and increasing competition for people’s attention – how can B2B marketing find new ways to keep their customers engaged and buying?
One thing to consider is looking at the way consumer brands are innovating within loyalty and promotion and (as we so often do in marketing!) stealing and adapting some of their ideas! And just to get you started, below are a few practices which are really paying dividends in the consumer market.
As well as having a straightforward point mechanism which accrues rewards quickly, Boots are the total masters of data analysis. Rather than just tracking baskets, Boots try to build a holistic picture of customer buying behaviour to really provide appealing offers which engage. In fact, they actually have a fairly robust CRM system rather than just a loyalty card.
With reports that Advantage Card members spend 60% more than average consumers, it seems like Boots’ investment in loyalty is paying off.
Could data analysis help you add personalisation to your loyalty strategy?
Premium price (but added value)
Amazon try to pack so much added value into Prime that it becomes a ‘no-brainer’ to join – and when it’s thought that Prime members spend twice as much as non, then it’s easy to see why. And Amazon are winning the retention game – 96% of Prime members who have been in for 2 years renew – so the longer you are with them, the more likely you are to stay.
So consider what value you could add and if your customers would pay a premium for it? Perhaps data/insight/research/training? Maybe they could get invited to exclusive events? If you can nail a value-add package for your customers, you could be well on the way to amazing retention and engagement.
Rewarding different types of engagement
Phillip Kingsley haircare have a simple points system, £1 spent = 1 point. But buying their products is not the only way you can earn points – you can also earn for things like reviewing products, sharing on social media, referring a friend and signing up to a newsletter. They also encourage up-sell by adding bonuses for threshold spends – so the more you spend, the more you earn.
The result of this is that PK don’t just get sales driven by loyalty but also word of mouth, referral and brand uplift. Are there other marketing KPIs you could drive with your loyalty program?
McDonalds have been running their Monopoly promotion since 1987 and when at times it’s been credited with a worldwide uplift in sales of 5.6% you can see why it’s still going strong.
Can you capture your customer’s desire to win and turn it to your advantage? Often competitions and games are a great way to engage those who are less frequent buyers as they are still in with a chance to get something. Games don’t have to just be fun, you could do a quiz so they learn more about your product, or use it for data capture to build your CRM database.
Delight and surprise
We know the secret to a long lasting relationship is delight and surprise right? That’s what Uber knew when they launched their #Ubericecream promotions – free ice cream when you booked an Uber. The result – heaps of social engagement with their customers and a whole lot of love out there for the brand.
So think about a special surprise for your customers – maybe you could send them a big game box when the football’s on? Maybe you could share your success, if you announce good results share some of the fortune with them with a bonus payment? There are plenty of ways to do this, but one thing is sure – it’s a great way to get customers to remember you.
Want to see more about loyalty and recognition? Head to our case studies and how we could help support you changing behaviour in your customers, your staff or your consumers.