Loyalty traditional fail

Is Your Traditional Loyalty Programme Failing You?

How many customer loyalty cards have you got cluttering up your wallet right now? Or how many times have you saved up for a free coffee and then can’t find your card?

Traditional loyalty programmes just don’t seem to be doing the trick anymore, and no-one knows this more than your customers!

Here’s why you need more than just a paper card with a few stamps on it to create a worthwhile customer retention strategy:

 

1) Identifying Customer Behaviour Is Almost Impossible

 

With paper cards, you can’t easily identify who’s doing what. Sure, you’ll know when a customer’s being loyal when they show you their card full of stamps, but you can never know who’s stamped when, or even if their stamp came from you in the first place.

Even then, you can only check their balance if they’ve remembered their card in the first place, and if they’ve lost their card…tough!

With a digital loyalty programme, customers can easily see their points balance when they check in and what their next reward is. 

 

hand holding phone

 

2) You Don’t Know What Triggers Customer Loyalty

 

First things first: you attract customers because of the service and product you sell. No loyalty programme in the world can take away from that. However, if your loyalty programme is going to effectively complement your primary function, you need to know exactly what makes your customers tick.

Paper cards offer no insight into your customers or the reason they choose to visit your business rather than your competitor’s, which could lead to you giving out complimentary services unnecessarily. A digital loyalty programme like Swipii, lets you choose customised rewards which highlight your products and services, and provides you with a dashboard where you can view which rewards are most popular.

Thanks to this, you only give away discounts or complimentary products or services to your most loyal customers without leading to a loss of potential revenue.

 

3) The Conversation Ends As Soon As They Leave The Store

 

Your customers now have a loyalty card, but how do you get them to actually keep coming back?

Well, with a standard paper loyalty card, for example, you only see that customer (and get their business) when they choose to come back to your store. By asking for further details, however – such as a customer email address – you can increase your engagement with that user and encourage further visits at your quieter times.

Swipii’s ‘plug & play’ technology makes this data capture step simple, and it can all be done in less than 12 seconds! We not only supply you with a customer facing iPad to capture these email addresses quickly and easily, but we also provide you with a dedicated Account Manager who can analyse your customer data and advise you on popular offers for your industry, in addition to writing and sending email campaigns that are proven to bring customers back more often.

 

4) You Can’t Pinpoint How Effective Your Strategy Is

 

This one is probably most crucial when considering what you want from your in-store loyalty programme. If you don’t know how many customers are using your system, or how many free haircuts or cups of coffee you’re giving away each week, you’re ultimately throwing money at something you don’t have the time, means or ability to track.

With any system, you should be available to view the metrics and see what’s working for your business. The Swipii online dashboard, lets you easily view how many customers are in your database, which rewards they’re redeeming, and how many of your customers are returning from the emails sent by your Account Manager.

digital Loyalty Program Swipii devices

 

For example, Haigs Food Hall in Aberdeen ran a triple points campaign to reward their customers for their loyalty and thank them for their support in winning Best Food Retailer at Scotland’s Business Awards.

This email campaign had a 34% open rate and led to 372 visits in-store that weekend, generating £1,860 in revenue based on just £5 average spend per visit!

Ultimately, what you get out of a loyalty programme is what you put in. Some paper loyalty cards may still work, but it requires a lot of effort to track and promote the kind of loyalty you want to instil in your customers through these. More and more businesses are going digital to save time, keep customer engagement high and easily track customer loyalty.

In conclusion…

Measuring your success is vital so you know how well your loyalty programme is working within your business. A digital loyalty programme will supply you with the relevant analytics and return of investment statistics you need to reap the benefits.

Do you own a small brick & mortar business? Interested to see how Swipii can bring your customers back more often and keep them away from the competition? Click here to learn more.

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