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Why Does Your Business Need A Loyalty Programs Software?

While loyalty programs are common to huge businesses including Best Buys and Starbucks, small business can also gain from the wide range of benefits a loyalty program can give. Most of the small businesses focus on making their business grow and improving their services to their clients. To further boost their business, small businesses may start with a rewards program for their customers. Here are five reasons why using loyalty programs software give small business the competitive edge:

Keeping existing customers is a lot easier that finding new ones.

This is supported by several studies pointing out that profits can increase from 25 to as much as 95 percent when retention rates are increased by five to ten percent.  It is a lot easier and less expensive to retain existing customers than going out and finding potential customers. With a loyalty program, customers will have something to look forward to every time they go to your store thus increasing retention.

Loyal customers spend more than new ones.

Studies suggest that repeat customers have the tendency to spend more than new clients. Loyal customer may spend an average of 65 percent more that clients who just pass by up-to-the-minute. While it is encouraged bringing new customers to your business as much as you can, customer loyalty and retention should also be something to focus on as it can drive good profit for your company.

Edging out other competitors can be tough but customer retention can ease competition.

Competition can be stern for small businesses, especially if the competition has more resources and more store locations. The easiest way, to level with these competitors, is to create business based on customer loyalty. A rewards program can help you established this.

Loyal customers can get new customers in. 

Loyal customers may recommend your small company to their family and friends. You can always draw new customers from these recommendations. So, pamper your customers with quality service and give them what they deserve. A little loyalty program won’t hurt your business. Take note, the vine is very effective in boosting the statistics of customers getting in your company.

People love rewards program.

Who doesn’t love getting prizes and freebies every time you get to complete a purchase of this and that? Who doesn’t want a free two days hotel accommodation if you have booked a hotel for a certain number of times already? People are too eager to get rewards so they will religiously go to your store to redeem their points or to get products for rewards.

Loyalty programs software does not have to be expensive, if that’s what you think.  All you have to do is to get an affordable but working solution to get started. There is also loyalty programs software for small business to help you with this endeavor.

With these five special reasons, you should be thinking now. Your small business needs boosting, and customer loyalty can be a great solution to that. Conceptualize a reward strategy that will make your customers happy and advance your business at the same time. You can use loyalty cards and even the latest mobile technology to initiate your program.

3 Customer Retention Strategies That You Do Not Want To Miss

No matter what business you’re in, one fact remains.  To be a success you’ve got to not only attract customers, but keep them coming back for more.  This is something that all companies try to do, with varying results.  If you’re trying to increase your sales, here are some quick ways to keep customers loyal to you.

Customer Retention Program

If a customer is being rewarded for shopping with you, they’re more likely to come back rather than go to a competitor.  There are numbers of ways to do this, depending on what sort of product you sell.  One popular way is with a punch card ticket, allowing a customer to get a free product for every ten or twelve they buy.  This works really well with small everyday purchases, and is most often utilized with food items.  But it can work for other small purchases as well.

 Another popular customer retention program is to offer a certain percentage off purchases after a particular dollar amount is met for the year.  For example, once someone spends $100 in a calendar year, they’ve got a card that takes 10% off for the rest of the year.

After Service

How you treat a customer after the sale has already been made can go a long way to helping them decide whether or not they’ll be shopping with you again.  This really does come down to just simple good customer service.  If a customer has a question about your product, you should have several easy ways for them to get that question answered.  This can be handled either in your stores, on your website or through an easy to fine e-mail address.

 Another thing to keep in mind is returns.  There are a lot of reasons for returns, and how you handle them is important.  This is a personal decision based on what your sell, but one thing is clear; if you accidentally sell a faulty product, it’s better to do more than less.  Replace the product, give a coupon for next time, and apologize.  Everyone has a slip up sometimes, and most customers will understand this.  They’ll be a lot quicker to forgive if they’re return is handled with respect and care.

Follow Up Contacts

There is no end to the good customer list can do.  Get every customer on your contact list if you can, and send out a good, well thought out sales flyer.  Include coupons, if possible.

 One company that’s a great example of this is called JetPens.  They sell stationary supplies from Japan online.  Every customer who buys something on their site is added to a once a week mailing list.  This mailer includes the top sellers for the week, new items to the website and items that will be coming soon.  They’ve also got a weekly contest.  This is not sent out more than once a week, so it’s not enough to get on anyone’s nerves.

Give these steps a try, and you’ll turn one time shoppers into loyal customers.