12 Secrets About Loyalty Programs The Government Is Hiding


Customer loyalty is an essential part of every business marketing strategy. It serves a multifunction locking up your loyal customers to your brand while driving in new ones. It’s logical. When customers are satisfied with the relationship they share with their favorite brand, they will surely ask others to come and share the good experience.

Research showed that operating a buyers agency will increase your chance of getting new customers by 80% and that it’s a more reliable way of advertising. People act based on the experience of others. So, how better can you convince a new customer except by making the existing ones comfortable. 

Between 2008 and 2017, loyalty members in the US increased by 20 percent every year presently recording up to 20 loyalty memberships in every household. Loyalty marketing programs are becoming more prominent in modern commerce due to its effectiveness in increasing customer base, sales, revenues, and brand marketing.  


Loyalty programs seems to be everywhere in different forms. You can find it with both large and small businesses, whether local or online store. Every business now accept the importance of loyalty and rewards programs but only a few understand the secrets behind the general brand marketing strategy.

The impact of this trend seem vary from one sector to another. While loyalty programs are making positive impact in the hotel businesses, it rather having negative impact on airlines, food retail establishments, car rentals and more. 

Of course, there are some magic cards that those high flying establishments are playing that others who are not getting it right are not aware of, this article contains 12 secrets about loyalty programs that might remain unknown to you. 

1. Tailor-made rewards are gold

The first secret behind loyalty programs is big data. This refers to the large data collected by computers to reveal preferences, patterns, trends, associations and interaction. Most customer feels important and recognized by the company having their information on the company’s database which are later analyzed to give them personalized rewards. 

Using big data to provide enticing rewards for customers very precious to loyalty programs. These strategy shows how much a company esteem and understands its customers. Most customers don’t like to share their personal information with diverse platforms. Hence, having data with a brand fosters a longer customer-brand relationship. 

2. Making customers want to earn 

One of the top most secrets of loyalty programs is that they package the rewards in such a way that customers would want to get them at all costs. Rewards are the sure baits for make customers flow into the net. 

You need to make sure that you offer rewards that you can sustain. many companies are presently in trouble because of this simple fact. They spend much on the rewards which later affect their financial capacity and they crashed. 

As smart business owner need to know the kind of rewards that best suit his/her business goals, know what other competitors are doping and know the gifts that will best motivate customers and go for them.

3. Partnership

Although data can successfully drive loyalty but building a strong partnership with your customers will achieve more within shorter period. Partnership makes customers feel they are important part of your business and that will keep them locked up with you for a long time. 

4. Integrate technology into loyalty program

Technology has made everything simple. People can now do many things on their mobile phones and at the comfort of their homes. The primary purpose of your loyalty program is to sustain a healthy customer relationship. So, taking advantage of technology to provide a better customers via mobile apps, or extensions to engage your customers is a smart idea. 

You cannot afford to stress your customers when your competitors are doing all they could to make life better for them. you can enhance their shopping experience putting everything in their palm.

5. Increase the value 

While you are striving to make your customer continue to patronize your service, you need to ensure that they get value for their dollars. Rewards can attract customers but when you can longer deliver to their expectations, they will abandon your program and patronize your competitors.

6. Allocate loyalty reinvestment

Know your most profitable customers and give them special treat. One of the reasons many customers leave some loyalty programs is because they feel cheated receiving the same reward with those that spend less for the company. whichever the loyalty marketing strategy you want to adopt, ensure that your rewards separates your most visiting and heavy spenders from less visiting low buyers. 

Your customers cannot give you the same profits. This is why you need a loyalty program that will differentiate your category of customers. customers are intelligent. they know how much they have served you and how much they spent for you. they also know that you are treating equally with other buyers which may tamper with their emotions.


7. Learn about disloyalty programs

Disloyalty program is actually a new form of loyalty program. it is becoming more popular among business marketers. it is most applicable for brands that are practicing chain store. For instance, if 8 different store gather to form a brand, loyal customer can get their rewards within any of the 8 stores. It is called disloyalty program because it does not encourage customers to shop at only one store. 

8. Reward successful referrals 

When you gain a new customer, it is ideal to reward your loyal customer that did a volunteered advertising to increase the number of your patronage. You also need to give discount to your new customer to increase purchase likelihood.

9. Promote your loyalty program

Many companies don’t pay attention to advertising or publicizing their loyalty program. it very uncommon to see posts about customer loyalty program. Many of your loyal customers didn’t join your loyalty program because they are not even aware you are doing something like that. 

10. Get creative with your perks 

You don’t have to copy what your competitors are doing exactly to your business. it will not make any difference. I know a company that gave some customers the opportunity to exchange their points for haircuts. That is creativity. know whet your customers needs most and give it to them. 

11. Communicate with your customers 

You can make use of emails to track and keep in touch with your esteemed customers. loyalty programs is centered on making your customers feel important and this is one of the best ways to show it. Update them with news and special offers of the company every now and then. It a good way to show care. 

12. Be careful with loyalty 

Loyal customers have high expectations about your brand in terms of products and services. You might need to continue to meet up. having had better customer experience with your brand, they may ask for more time after time which might put you on your heels.    

Other resources: Investing in Adelaide: The Buyers Agent Edge

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