Posts

7 myths about customer loyalty programs

A company thrives on customers. As much as it is important to gain new customers to keep the company running, it also important to maintain the old customers. Gaining a new customer costs a lot whereas having a repeat customer cuts back on the cost of acquisition and helps in increasing profit margins. But, books on customer satisfaction issues, quality of service and customer relationships winners are fed by myths. Here are a few points about these preconceptions and really act on customer loyalty software’s and programs.

1) All satisfied customers are loyal!

It is a fact stated after survey that the satisfied customers are not 100% true! To retain customers, meeting is not enough! So you must be good on both accounts, quality of products and communication.

2) In your customer base, you have all the information about customer loyalty programs

Wrong! The really useful information is usually in the head of your business or sales reports that are generally not included in your database.  To run an effective loyalty program, one must first take stock of the data in its customer base.

3) Loyal customers contribute to the growth of your CA through word-of-mouth.

Wrong! In most business areas, clients do not consult them, and word-of-mouth mainly concerns exceptional products that come out of the ordinary.  In addition there is evidence that customers are more likely to speak of a bad experience (negative word-of-mouth) rather than a good experience.

4) Loyalty programs are a barricade for customers

Wrong! The loyalty program that is not designed to re-consume the client is a waste of money. If, after analyzing your loyalty program, it shows that your customers do not consume more, the company has spent money for nothing.

5) Customer loyalty increases market share.

Wrong! The companies with the most loyal customers are the most important in their market. For example Harley Davidson, MAC users are very loyal, but are a minority in their market (niche market). There is no direct correlation between loyalty and market share.

6) Building loyalty is a one person job.

Wrong! It is not just the customer support or the sales man who is responsible for building and maintaining customer loyalty. It is the job of everyone who works in the company. It is imperative for everyone in the company to work towards achieving a reliable and good quality product which will help in maintaining the trust of the customer towards your company, thereby ensuring customer loyalty.

7) Loyal customers are only loyal to one brand.

Well, that’s not the case entirely.  Let’s have a closer look. Each of us have loyalty cards from more than one store and sometimes also have loyalty cards of competing stores. We buy stuff for our homes from more than one store. Mostly customers are split loyals and alternate between choosing two brands from their evoked set. Hence, using this information to maintain the status in their evoked set is equally important as being the only brand in their evoked set.

3 customer retention strategies that you do not want to miss

No matter what business you’re in, one fact remains.  To be a success you’ve got to not only attract customers, but keep them coming back for more.  This is something that all companies try to do, with varying results.  If you’re trying to increase your sales, here are some quick ways to keep customers loyal to you.

Loyalty Rewards Programs

If a customer is being rewarded for shopping with you, they’re more likely to come back rather than go to a competitor.  There are numbers of ways to do this, depending on what sort of product you sell.  One popular way is with a punch card ticket, allowing a customer to get a free product for every ten or twelve they buy.  This works really well with small everyday purchases, and is most often utilized with food items.  But it can work for other small purchases as well.

 Another popular loyalty program is to offer a certain percentage off purchases after a particular dollar amount is met for the year.  For example, once someone spends $100 in a calendar year, they’ve got a card that takes 10% off for the rest of the year.

After Service

How you treat a customer after the sale has already been made can go a long way to helping them decide whether or not they’ll be shopping with you again.  This really does come down to just simple good customer service.  If a customer has a question about your product, you should have several easy ways for them to get that question answered.  This can be handled either in your stores, on your website or through an easy to fine e-mail address.

 Another thing to keep in mind is returns.  There are a lot of reasons for returns, and how you handle them is important.  This is a personal decision based on what your sell, but one thing is clear; if you accidentally sell a faulty product, it’s better to do more than less.  Replace the product, give a coupon for next time, and apologize.  Everyone has a slip up sometimes, and most customers will understand this.  They’ll be a lot quicker to forgive if they’re return is handled with respect and care.

Follow Up Contacts

There is no end to the good customer list can do.  Get every customer on your contact list if you can, and send out a good, well thought out sales flyer.  Include coupons, if possible.

 One company that’s a great example of this is called JetPens.  They sell stationary supplies from Japan online.  Every customer who buys something on their site is added to a once a week mailing list.  This mailer includes the top sellers for the week, new items to the website and items that will be coming soon.  They’ve also got a weekly contest.  This is not sent out more than once a week, so it’s not enough to get on anyone’s nerves.

Give these steps a try, and you’ll turn one time shoppers into loyal customers.

5 ways your business can benefit from running a loyalty program

A customer loyalty program has many benefits for you, your company or your business! It was first created to encourage customers to continue to shop or purchase from your company or business using small plastic cards or pieces of paper and to even gather information about your customers transactions and find out which items are more popular among your loyal consumers.

 But now, we are here to introduce a new better and futuristic way to keep your customers and gain many more through this customer loyalty software! Through our Poket App, your customers can simply and easily sign up once and never have to do so again. They will receive a personalized QR code in which they can scan on a merchant tablet and instantly receive a loyalty card or a voucher. They will be able to receive all sorts of vouchers which are sent straight to their smartphone. They are even given a notice to when the voucher will expire.

 Mobile CRM (customer relationship management) is a great way to form new bonds or to strengthen old ones. Our customer rewards program can offer you and your business returning customers by sending vouchers to targeted customers and rewards vouchers should the points criteria be met, and add vouchers on the app to attract new customers. Another way would be to create a stored value card or even membership cards, one tier and/or multi-tier, have contests or games.

 So basically, because consumers are influenced by a status or VIP membership (i.e. bronze, silver or gold) they will strive for and spend much more time (and money) in your store or business! Wouldn’t that be great? When your loyal customers are happy, they will also most likely spread the word about your offers and promotions, sending more curious customers your way, ensuring that your company will become more successful than ever before!

 If you’re wondering exactly how it works, it’s simple. All your customer needs to do is download the app onto their smartphone (sign up and receive their QR code), then download your offered vouchers and/or membership card using the app or your tablet, and finally to use it, they can scan your tablet directly at your counter. Our loyalty program software will surely increase the amount of customers you have daily with this app.

 Of course there are many other reasons as to why you should think about setting up a customer loyalty program for your company or business, some of them being to set you apart from others (in a good way, of course), giving you a chance to learn more about your customers preferences on certain items and objects, current trends and what’s popular, allowing you the decision on what else to bring in or take out of your business. These are a few among many of the other reasons why you should join us, because we are here to help you improve!

 Take action today!