When it comes to customer loyalty, one thing that many businesses don’t realise is that there is actually quite a big difference between a repeat customer and a loyal one. Just because a customer comes back to shop with you again, it doesn’t necessarily mean that they’re loyal to your brand. 

There could be a number of reasons why a customer may not actually be loyal to your brand but keep returning anyway. For example, customers could be loyal to price. As long as your company has the lowest price, a customer will keep coming back. However, as soon as a competitor undercuts you, that customer won’t hesitate to take their business to them instead of you. 

Customers can also be loyal to location. Maybe your company is closer and more convenient for customers than a competitor, therefore customers choose to shop with you. But then as soon as a competitor opens a shop that’s closer and more convenient, customers switch over. For example, if the nearest supermarket to you is currently a 10-minute drive away, but then a different supermarket opens a two-minute drive away, it’s unlikely that customers without brand loyalty will continue to shop at the same supermarket. 

Strong customer loyalty involves an emotional connection between the brand and customers. This connection could be because of the way an employee treats a customer, or it could be due to everyone at the business knowing a customer’s first name. Emotional connections can come from a number of different ways, but most importantly customers need to enjoy the experience with the brand, which needs to be consistent every time!

This brings us on to the topic of loyalty programs.

The aim of a loyalty program, as the name suggests, is to create loyalty – or at least a repeat customer. However, sometimes loyalty programs actually just act as a marketing program and an incentive for customers to come back rather than creating an emotional connection. Of course, there’s nothing wrong with that at all! However, when you can manage to add that emotional connection to customers, you’re on to a winner. 

Any good loyalty program will help customers to decide to do business with one company over another. According to research, 63% of customers say they modify their buying habits to maximise the benefits of a loyalty program. I’m sure everyone can relate to this, whether it’s choosing a specific sandwich shop because you’ll be able to claim a free sandwich when you’ve got enough stamps, or flying with a certain airline to collect more points.

However, there are actually a few mistakes that many companies make which prevents customers from developing an emotional connection to their brand. 

You don’t have enough rewards available

Brands should always try to offer a range of rewards that goes beyond their own products or services. For example, if an airline can offer discounted hotel stays or even savings at the airport, it will only strengthen their loyalty program. 

You know what they say, variety is the spice of life. Providing a range of rewards for your customers is key to ensuring they keep coming back for more and develop a connection to your brand as a result. 

Perx Rewards provides a wide range of deals and discounts that your customers could have access to whenever they want. Our PERX range from shopping and travel right through to motoring, health and fitness, and food and drink! We also offer deals and discounts from the UK’s biggest brands including hotel.com, M&S, GoApe and many more! 

Our range of PERX are designed to create customer loyalty and an emotional connection to your brand by saving money on day-to-day purchases. 

Lack of Convenience

This is one of the most important mistakes to avoid! If you want your loyalty program to stand out from all the rest, make it easy!  The easier your loyalty program is, the more likely your customers will actually use it.

Making your loyalty program convenient will depend a lot on the type of loyalty program you have in place. For example, if you use a point-based system you should try to make it easy for your customers to see how many points they have as well as claiming their rewards.

With PERX Rewards, each of your customers will get their own login to access the platform. Once on the platform, they’ll have access to every single discount or deal and will be able to claim their rewards at the click of a button! You don’t get much more convenient than that. 

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To find out more about how PERX Rewards could help your business to create and maintain customer loyalty, get in touch on 0333 202 88 33 or email sales@perxrewards.com.