What a wonderful thing if customers simply would come back time after time, out of sheer affection to your business and the products that you offer. If no maintaining was necessary to keep customers onboard, but simply your presence and expertise within your market field. But, as we all know, the reality tend to work differently.
The competition is fierce and no matter your field of business, there will constantly be a flux of new and innovative solutions, new cheaper alternatives, or trends that shift the consumer patterns in another direction. How to retain your customers will always be at the top of any business agenda as this is a rewarding way of increasing profit. A study shows that by increasing the customer retention rate by only 5% can boost the profits by as much as 95%. Understandably, it’s well worth the effort.
Loyalty programs are a well-used solution, implemented in order to attain that goal of a steady cash flow from already paying customers. Loyalty programs are all about getting to know your customer and build a relationship, and a familiarity that will not only enhance brand image but also offer tempting deals that will make customers return to your products instead of being lured away by sweet promises made by competing brands.
As with anything else it’s important to choose a loyalty program solution that is user friendly and that can be uniquely adjusted to your needs as a business in an easy manner to align with the quick changes within your market. If there is anything we have learnt from 2020 is that rapid adaption to unprecedented circumstances is key if you want your business to survive. With a flexible solution you can use your loyalty program to check in with your customers during difficult times, offer their favourite products with a discount and build a strong foundation by inviting them to exclusive events, virtual and – for when the time is ready – non-virtual. Build a points program that not only lets your customers gather and redeem points in exchange for your products – solidifying your relation and increasing spending – but also keep track of when their points drop below a certain level to be able to take necessary steps to regain their trust and business again. With greater flexibility you can make adjustments as you go in accordance with the changing business landscape, to show your customers that you are there for them not only during the good times but also the trying times.
Another way of staying on top of your game is to measure the level of customer loyalty, also translated into your net promoter score (NPS). Your NPS score will be measured between -100 to +100, based on ratings between 0 to 10 made by your customers. +100 means that your customers are extremely loyal and pleased, -100 means the extreme opposite – all your customers are dissatisfied with your services. Normally a score between 50 to 100 is considered extremely good. By asking the simple question of “How likely is it that you would recommend this company (and/or product, and/or service) to a friend and/or a colleague?” you will extract vital information about how your products and brand are perceived and you can also forecast in what direction your business is headed. If your NPS score have fallen into a negative trend where the curve is heading downwards, you know that something has to be done and you can launch an investigation into what needs to be rectified.
The best way of working with your NPS score solution is to simply build it into your loyalty program and incorporate the check ups with regular communication. Simply tweak your questions to align with your business demands in that particular moment. By using a low code solution in order to build your loyalty program you will enable quick adjustments and customisations where you can add and subtract offers on an individual customer basis depending on their points level, engagement or any other measure you wish to add to the equation.
With a low code platform such as Bosbec WE, you can easily build a loyalty solution that can be integrated to your current systems, such as Microsoft Dynamics 365. The functions and characteristics of the program will be entirely up to you as a business, easily customised and changed when you need them to be.
Learn more about the solution by reading our latest technical blog where we introduce the Loyalty Solution and its functions clicking here.