Loyalty cards for small business keep customers coming back. And consumers today have the equivalent of a super-sized mall in their pocket. In a word, all they need do is go on their phones. There, they have a plethora of e-commerce stores at their fingertips.
So, how else do you get customers not go elsewhere and return to your site? In essence, you need the ideal balance between retaining existing customers and acquiring new ones for e-commerce. A good point of reference for repeat customers is averaging 20 to 30 percent.
Thus, to be better than the average e-commerce store, you’ll need to increase customer loyalty. Obviously, one of the most effective ways to do this is by integrating loyalty cards and programs for small business.
What are Customer Loyalty Cards For Small Business?
Whether from your corner store or favorite coffee shop, you’ve seen them. In fact, you probably have several of them. Customer loyalty cards for small business are shaped like a credit card that you use for different purposes. For example, coffee shops loyalty programs for individuals or small business usually have hole punch in their cards.
Each time you get coffee, your card is punched. After you reach all the punchable holes, you get a free cup of coffee or something else. With such a large population of coffee drinkers in the US, this is a great marketing strategy.
Most retailers and service providers offer similar loyalty cards for small business or individuals. These types of customer loyalty programs allow customers to earn points for completing an action like making purchases. For instance, following that brand on social media could earn you points. After you acquire a certain number of points, you earn discounts or other perks.
If you’re not using loyalty cards for your small business, you’re missing out on customers and business. Why? Because it costs 500% more to get a new customer than to convince an existing one to return to your shop. So, you definitely should have some type of customer loyalty program for your small business.
Why Use Customer Loyalty Programs For Your Small Business?
If we’re just talking dollars and cents, loyalty cards encourages repeat business. As a result, you increase the lifetime value of customers as well as your profits. It’s also an economical and easy way to hold on to customers. Ultimately, it saves you money on marketing campaigns while providing an audience for simple ads.
With customer loyalty programs, your small business can build and maintain long-term customer relationships. And the best part is that over 50 percent of consumers say they would join the right loyalty program. Other consumers are willing to spend more with brands they’re loyal to. Even if the prices are lower elsewhere.
Customers who are part of loyal programs for small business are the best customers. For the most part, they’ll continue spending money with you regardless of who or what else is available.
In addition to that, when they receive incentives and great perks, they become superfans of your brand. Thus, they’re more likely to recommend your products and services to others.
The 5 Best Loyalty Programs
Now that you know more about customer loyalty programs for small business, here are examples of what other businesses are doing. While they’re not all small businesses, you can draw inspiration from their implementations.
01. Reebok. Their approach is slightly different that most brands. Reebok offers training and wellness programs, partner rewards, VIP experiences, and much more. As a member, you gain points for every transaction and interaction.
The value of the rewards increases alongside the points accumulated. They even give access to product releases and partner events.
02. Starbucks. It’s definitely worth it to be a member of Starbucks loyalty program. Some of their perks include free in-store refills on coffee and tea. A free drink on your birthday, and the list goes on. When you reach 50 stars, you get a free bakery item.
Additionally, Starbucks’ rewards program provides convenience. As a member, you can skip the in-store line and order your personalized beverage before getting to the store.
03. PetSmart. We all love our pets. After all, they are a family member just like others in the household. PetSmart Treats program provides a surprise on the birthday of your pet. You can also earn points on purchases as services such as grooming and training. Even when you donate to PetSmart Charities® you earn points.
04. IKEA. Want a free cup of coffee or tea to continue your marathon shopping? The IKEA Family rewards program entitles you to a thank-you surprise and a free hot beverage. You even get special prices on select meals and products.
As a member, if you purchase ready-to-assemble furniture, IKEA automatically includes Oops-Assurance. If you accidentally breaks something during assembly, IKEA exchanges it for free.
05. Target. This one is for all the die-hard Target shoppers and you know who you are. Target RedCard offers 5% savings on everything. And they even partnered with Starbucks to give RedCard holders 5% off any in-store purchase at Starbucks location.
You’re also get an extra 30 days to return or exchange items, exclusive offers, and free two-day shipping.
Final thoughts about customer loyalty programs for small business is customer service. Because even if you have the best programs, customers will go elsewhere if treated poorly.