The added value of a successful loyalty program has been proven over the years. But what are the benefits businesses get from the best loyalty programs?
Key takeaways:
☑️ A positive brand image
☑️ Sustainable brand loyalty
☑️ Long-term revenue growth
☑️ The ultimate rewards program
A positive brand image
Creating a positive brand image comes with much more benefits than many may believe. This starts with your brand reputation. Achieving the desired perception for your brand isn’t always easy.
Brand image and brand reputation
One of the benefits of a well-known business with good brand recognition and a positive brand image is that you won’t have to compete on price ever again. The way your brand is perceived has to do with emotion. As the research states, a purchase decision is highly emotional whenever the product is not a necessity. Approximately 46% of consumers would pay more for brands they trust, according to the research. To get customers emotionally connected with your brand, your brand image and reputation are essential. By offering the best brand experience possible, you’ll make a turn in the right direction.
It takes 20 years to build a reputation and 5 minutes to ruin it - Warren Buffett, a famous investor.
Improving the brand experience
The brand experience is something logical to mention. Past experiences you’ve had with a brand determine how you feel about them. There are a couple of topics to take into account. Your priorities will mainly vary on the type of services you provide or the type of product that you sell. For example, several brands are doing a lot of advertising. Make sure to use only the types of advertising that are not intrusive to prevent your brand from getting harmed. You can think of annoying pop-ups or other invasive, unwelcome or irrelevant ads. These types of ads can damage the brand experience. But to offer relevant ads could be dangerous as well, depending on how you’ve accomplished this. On the Crowny Platform, for example, all qualitative data that businesses can use for campaigns are provided willingly by the app users, who in return get rewarded for that. Statistical or quantitative data is collected completely anonymously.
At Crowny, we recently announced a massive development in our Loyalty & Marketing Platform which would ensure a seamless user experience for all onboarded businesses and their communities. This, in return, would increase our brand experience as well. Read up on Crowny and Web3Auth.
Sustainable brand loyalty with a loyalty program
Acquiring new customers is more expensive than retaining existing customers. Up to five times more, to be exact.
Customer journey, the current focus
Popular social media platforms like Instagram or Twitter provide solutions to fulfil some of a business’ needs, which primarily focus on brand awareness. For this phase in the customer journey, there are multiple platforms and tons of options on how to use them. Even though most of a business’ revenue is made in the later stages of the customer journey, the majority of businesses aren't focussing on these stages. This shows in the estimated market valuation: the Loyalty Program Market was valued at $181 billion in 2019, and the global internet advertising market size was valued at $319 billion. The differences in market size might not be surprising, but they should be. Especially since, according to research, increasing customer retention by just 5% boosts profits by 25% to 95% - RetentionScience.
Work towards brand insistence
Investing time and effort in brand awareness is great, but converting traffic from this phase to loyalty and retention is even more critical. That’s where real brand relevance, and eventually even brand insistence is created. There are countless benefits why businesses should be more motivated in accomplishing this status with an increasing amount of customers. Not to mention obvious reasons like increased revenue as a result of better customer retention, creating brand advocates is an important one. More key drivers to build brand insistence are accessibility, added value, community relationships and relevant differences with your competitors. Focussing on these aspects will create sustainable brand loyalty, and generate exponential revenue in the long run.
Did you know that 77% of consumers say they stayed loyal to specific brands for 10 years or more? - Crowny Twitter
To start creating brand insistence, a loyalty program is a logical first step. Finding a decent loyalty program that fits the needs of your business can be quite a hassle. At Crowny, we’re trying to tackle all problems loyalty programs’ creators of today are facing. Besides, we’re adding value by combining the best elements of demonstrated programs and new technologies. For example, find out the differences between regular loyalty programs and crypto loyalty programs.
Lifecycle marketing for long-term revenue growth
To improve customer retention rates, developing your skills and increasing your efforts in lifecycle marketing is vital. This means that you’re focussing more on ensuring that the customer lifetime value of your customers will grow over time.
Reward your loyal customers with a loyalty program
To stimulate growth in customer lifetime values, building personal relationships with your customer is essential. This means that you will be working on growing a brand community. Strengthening the bond with your community members can be done by rewarding them for their efforts. Traditional loyalty programs have been doing this for a while, they would reward consumers for making a purchase. Community members provide more value than just spending their money. For example, opt-in data is valuable, interactions are valuable, video views or comments are valuable and spreading the word - like a brand advocate - is almost priceless for any brand. Incentive marketing can be an incredibly effective strategy to reward and retain your customers. Incentivizing your community can also be done using tokenized economy platforms.
The ultimate rewards program
Rewarding users for doing things like this gets massively appreciated and is reflected in long-term business success. That is why Crowny has developed an ultimate rewards program for rewarding users of your loyalty program based on incentive-driven interactions. By combining the benefits of blockchain technology and the most effective features of modern loyalty programs, Crowny now offers the best of two worlds.
Try out our cutting-edge customer loyalty software, get early access now.