Loyalty Marketing, a familiar but strange concept. Enterprises always know that: Need to do Loyalty Marketing, to take care regularly to increase the file of loyal customers, increase sales. But have you ever tried to find out: what Loyalty Marketing really is? And what benefits does implementation create for businesses? Let’s find out through the article below.
What is Loyalty Marketing?
Loyalty Marketing, defined as a campaign to build, nurture loyalty for customers. However, it is not just a simple advertising campaign. Because in order to successfully implement a Loyalty marketing campaign, it requires business owners or implementers themselves to have a long enough vision, design a roadmap from contact with the brand, experience products/services, gradually nurture them until they become loyal, loyal customers.
Loyalty Marketing is a campaign to build and nurture loyalty for customers.
“In business, the marketing cost of acquiring a new customer is not cheap, about 6 times as much as selling to an old customer.”
Therefore, in addition to focusing on continuous file expansion, businesses need to invest in customer care and up-sale activities to increase sales. That building customer loyalty is one of the keys.
Loyalty Marketing is of course very important to any business. However, due to the specificity that there are a number of business segments, industries will be extremely suitable for this campaign. According to statistics: Old customers in B2C (Business to Customer) will spend 67% more than new customers. This indicates that the Loyalty Marketing campaign will make any changes if your business is in the B2C segment. Typically the segments: retail, F&B, spa, fashion, education, gym, pharmaceutical, technology …
4 reasons that businesses should deploy Loyalty Marketing
In the above two parts, we have gone through understanding what Loyalty Marketing is and somewhat understanding what industry will be suitable for implementing this program. In the next section, you will see the great benefits that a Loyalty Marketing campaign brings.
Stimulate re-purchase, increase sales
By taking care, nurturing, and converting new customers into loyal customers through preferential programs, membership, gratitude activities, … businesses can easily gain trust from customers. . From there, they will spend more times, more often or spend more money, contributing to improving sales for your business.
Loyalty Marketing improves revenue for your business
Understanding customers better through feedback
Launching a Loyalty Marketing campaign, you will have the opportunity to do a real survey and listen more closely to the needs and experiences of customers with the product. Feedback from users will give you more insight into identifying the right market segment. At the same time, businesses can rely on those assessments to come up with an R&D (Research & Development – Research and Development) plan to continually improve products/services, optimize the customer experience.
Loyal customers will become the media ambassadors for your business
“Organic organic flavor” – Investment for Loyalty Marketing is one of the ways to optimize advertising costs. Customers love your brand, they are loyal to your product, and they go and share, viral experiences with others. In addition, businesses can deploy Referral Marketing programs (referral marketing) to more active users in introducing new customers to the brand.
Momo’s Referral Marketing Program.
Make a striking difference to the brand
In the midst of a competitive market, with almost the same products, no obvious differences between brands, the Loyalty Marketing deployment is one of the ways out for your business. We may not be much different in terms of products/services, but a different customer care program, touchpoint experience is enough to make your brand mark forever in the minds of users.
With the above 4 reasons, it can be seen that deploying Loyalty Marketing is a solution to solve the conundrum of businesses in retaining customers and improving sales. However, the question is: What solution to deploy Loyalty Marketing effectively?
It’s no secret anymore that loyalty programs are effective marketing tools. They increase growth, help retain customers, and improve your brand’s reputation. And if you haven’t yet weaved a loyalty program into your marketing strategy, you may be missing out on one of the best and easiest tools available for the success of your business.
𝐋𝐞𝐚𝐝𝐞𝐞.𝐚𝐢 – 𝟐𝟒/𝟕 𝐒𝐮𝐩𝐩𝐨𝐫𝐭