While every advertisers’ business aims to grow distribution and increase advertising revenue, they often overlook an effective way to develop and sustain market share. A customer loyalty program can provide unique ideas to grow small newspaper revenue by retaining current customers and attracting new ones.
Customer loyalty is a significant factor in a business’s overall success. After all, you have a 60-70% likelihood of selling to an existing customer and only 5-20% likelihood of selling to a new customer. By rewarding your loyal newspaper printing customers, you foster a deep, lasting relationship that sets you apart from the competition and leads to overall sales increases and continued growth.
Keep reading to learn how to create and implement a customer loyalty program that boosts customer satisfaction, strengthens your reputation, create value for customers and drives revenue growth for your publication.
Key Takeaways
- Customer loyalty earns you influential reviews, generates profits, and provides invaluable feedback that shapes effective marketing strategies.
- Audience insight, defined goals, and a clear budget help shape the development of your customer loyalty program.
- Different rewards appeal to different people, so it’s important to choose incentives that bring value to your customers and reward a variety of interactions.
- Promotion and awareness are paramount to the success of your loyalty program, so spread the word far and wide.
Why is Customer Loyalty Important?
Today’s consumers are less impressed by quality products at low prices and are more concerned with having a positive customer experience. If you are dependable, make an emotional connection, and offer superior services, you improve customer satisfaction. This increases the likelihood of retaining your current customers, which is important because:
- Customers become advocates: 81% of shoppers rely on Google reviews to evaluate a business. When you develop strong customer loyalty, your customers become advocates of your business. This helps set you apart from competitors and influences purchase decisions for potential new business.
- Profits increase: Establishing customer loyalty means you lock in reliable repeat business. Customers continue to patronize your business, which generates more profits, encourages sales growth, and drives sustainability.
- Feedback is provided: Loyal customers are more willing to complete surveys to provide invaluable insight that helps guide your marketing strategy and gives you direction for a more effective and successful campaign.
Customer loyalty is a way to secure your brand identity, set you apart from the competition, and ensure longevity and sustainable growth for your business.
5 Steps to Creating and Implementing a Customer Loyalty Program
A customer loyalty program is an impactful way to reward your most devoted patrons. Whether you issue points to be redeemed for free services or provide insider perks to keep customers coming back for more, a customer loyalty program can be a boost for your business. In addition to incentivizing customers to shop regularly, it can help turn your followers into promoters.
Here are five steps to creating and implementing an effective customer loyalty program for your publication.
Step 1: Know Your Customers
When it comes to customer loyalty, knowing your audience demographic isn’t enough. Conduct in-depth research to learn more about who your customers really are as shoppers. Gain a better understanding about:
- How long they’ve been a customer.
- Purchase history and frequency.
- Whether they shop with your competitors.
Monitor chat threads and survey your customers to assess satisfaction levels. All of this information will give you the insight you need to determine what kind of loyalty program would be most effective for your customers. You’ll see what kinds of rewards would create value, and you’ll identify ways to further improve and strengthen your relationship for continued success.
Step 2: Define Goals and Budget
Once you see what kind of rewards program would be appreciated by your following, you must decide what you want to achieve with your program. Maybe you want to increase overall purchase frequency. Perhaps you need to sell more of a particular offering. Whatever the goal, define it clearly so you can build a loyalty program that helps you achieve your objectives.
Your goals can help you set a budget for your plans. While a customer loyalty program is an effective way to retain current customers, it can also be the incentive that converts a prospect. Consider setting two separate budgets, one to manage retention and one to develop new customers.
Step 3: Determine Rewards Tactics
With goals and budget providing direction for your program, it’s time to determine which rewards tactics to implement. Based on the information you gained through customer research, you should be able to recognize what kind of incentives would deliver the most value to your audience. If they’re frugal shoppers who take advantage of sales, provide special discounts for members. If feeling like a VIP is important to them, create a hierarchy of membership that offers greater rewards for longevity or higher purchase amounts.
The following video highlights several types of customer loyalty programs and gives examples of each:
Whatever program you choose, make sure it’s customer centric. The focus of a customer loyalty program is not to generate more sales. Rather, it’s to provide value to your faithful followers and show your gratitude for their continual patronage.
Step 4: Reward More Than Purchases
Customer loyalty isn’t solely reflected through purchases. Customers can help your business in a variety of ways, from social media and mobile app engagement to watching videos and subscribing to your newsletter. Develop a customer loyalty program that rewards various means of commitment to your brand.
Not every incentive has to be a financial discount or free product. Keep in mind what’s important to your customers. Points could be exchanged for contributions to a charity of the customer’s choice. Partner with advertisers to offer experiences to your loyal customers, like a private wine tasting or a night’s stay at a five-star hotel. Think outside the box to offer rewards that are worth earning.
Step 5: Promote Your Program
Once you’ve established what kind of program to implement and the parameters for earning incentives, it’s time to promote your program to your audience. Here are some of the ways to do it:
- Post a clear CTA button on your website to invite membership.
- Create an email campaign that informs current customers.
- Send follow-up push notifications to new customers after they’ve made a purchase.
- Post about your program on your social media platforms.
- Use outbound calls and real-time text messages to help reinforce loyalty.
Awareness is key to a successful customer loyalty program. If people don’t know about it, they won’t sign up, and you won’t reap the benefits of building those deeper relationships.
Create an Effective Customer Loyalty Program
BOOM Communications provides printing, marketing, and advertising solutions to solidify your following and help grow your business.
Contact BOOM Communications today to learn more about creating an effective customer loyalty program for your publication.