Statistics show that the key to a successful Loyalty program is that it feels personal and that it is simple.
During our development of Stampr we have talked to business owners of local places who consider creating point based bonus systems. Collect X hundred of points and get Y discount. Their customers would have a branded plastic card to track status of their loyalty program. Don't do it, even if your POS supports it.
Today, your customers don't want another plastic or papper card. Nor 10 different reward systems to remember and to use. It's not a smooth experience, the whole system fails.
Your regulars want something simple, that is very easy to understand and to see their progress on their way to their reward.
It is important to separate the Regulars Offers from your other promotion activities. The purpose with a Regulars Offer is to build long rewarding relations. The normal promotion is to make people experience your service or product for the first time, or give it another try.
You should also consider the other values your Regulars bring to your business.
Statistics are clear that returning customers buy more on each purchase.
Your regulars are your must efficient marketeers especially in the digital, social age that we live in. Your happy customers will bring others.
Statistics show that simple regulars offer make your regulars come more often.
The simple Regulars offer often looks like:
Get a Free Pizza after 9 purchase of any Pizza.
This is easy to understand, reward returning purchases and build long term relations.
Our recommendation is to consider if another reward would be more suitable, to make your customer explore other parts of your offer, to drive their purchase behaviour.
Get a free desert or beverage after 4 purchases of any pizza.
In an offer like this, the Regulars is Rewarded more frequently and might help them explore more of your products. This doesn't have to be limited to a specific product, it can also be used to drive traffic over time.
Get half prize on a dinner for two after 8 purchases of today's lunch.
In this example, lunch guests would possibly be converted to a guest for dinner and would be able to bring someone new with them. Incentivise a change of behaviour like this can be strategically good for your business workload and be worth more both for your business and the customer.