Tuesday, August 03, 2021

5 Ways to Make Customers Fall in Love with Your Loyalty Program

Jessica Kaufman
February 12, 2021

3 minute read

Now more than ever, brands are shifting their strategies to focus on retaining and engaging existing customers. In today’s world, smart brands build emotional connections with customers, cultivate brand advocates, and create communities to enable growth.

To successfully drive customer loyalty, innovative brands provide seamless (and relevant) customer experiences at every interaction. Loyalty programs can help brands become more omnichannel focused and personalized. Here are some ideas from industry-leading brands on how to make your customers fall in love with your loyalty program in 2021.

Connect to customers through loyalty campaigns

In 2019, Vitamix, a family-owned business that manufactures high-performance blending solutions, launched Vitamix Rewards, a free loyalty program for new, existing, and future Vitamix customers.

As loyalty members, customers can earn points through purchasing directly on Vitamix.com, registering their products, uploading receipts from wholesalers, or engaging with exclusive content (like free recipes and product tips and tricks).

Last year, Vitamix launched a healthy-made-easy campaign to help their customers incorporate more whole foods into their diet and use Vitamix Rewards as a vehicle for healthy life choices. They even released a new recipe where customers could use their Vitamix blender to make their own hand sanitizer.

This campaign helped provide additional value to customers beyond the sale, kept them engaged in between purchases, and helped drive brand affinity.

Offer more rewards your customers love

When popular toy brand LEGO relaunched their loyalty program a couple of years ago, they completely revamped their rewards catalog. Loyalty members now have the opportunity to choose from LEGO rewards that connect across several passions and price points. Recent reward innovations include:

  • Segmented rewards (making certain rewards only available to specific customers)
  • One-of-a-kind rewards (rewards that customers can’t find anywhere else)
  • Mobile wallet (seamlessly connecting the in-store and online purchase experience)
  • Bonus point multipliers (awarding members double or triple points for purchases of specific SKUs).

By providing so many ways to earn and redeem, LEGO helps members have an experience that makes them feel like a VIP.

Leverage loyalty data to create magical moments

Walt Disney Studios uses its loyalty program to better engage with members across all channels and capture data to deliver a better customer experience.

Disney’s Movie Insiders creates direct connections with Disney fans and generates excitement and buzz around upcoming title releases while offering customers rewards for their purchases. The program encourages and tracks viewership across channels and formats while building progressive member profiles regarding their household makeup, movie interests, viewing preferences, and more. Data has been the primary focus of the program and drives future enhancements.

As many Disney fans swapped nights at the movie theater for movie nights at home in 2020, Disney ensures members receive rewards for every movie purchase, no matter where it’s made. Members obtain rewards with exclusive opportunities like future Disney releases, one-of-a-kind merchandise, and experiences.

Stand out from the crowd through personalization and authenticity

Tarte Cosmetics, a beauty industry leader with its eco-chic, cruelty-free cosmetics, and hypoallergenic, vegan skincare, uses its loyalty program, teamtarte, to differentiate from the competition. With a passionate customer base and a plethora of assets to share—from video tutorials to user-generated content—tarte incentivizes and rewards customers for purchasing products and engaging with its website.

Teamtarte drives program participation through tiered membership, rewarding customers for engagement, capturing and actioning on behavior and preference data, and evolving the program to keep it fresh. Teamtarte members can earn points by completing product quizzes, completing a beauty profile, and inviting friends to shop at tarte.com.

Through these brand-authentic engagement activities, tarte improved its data-driven marketing and created personalized customer experiences across all brand channels.

Put loyal customers a step ahead with member-only perks

Foot Locker’s FLX loyalty initiative is a three-tiered program where members can unlock additional benefits, access, and opportunities as they enter higher tier statuses.

FLX members can redeem points for Head Starts—a reservation slot for an upcoming product release—one of the most prominent program advantages, especially among members in the higher tiers. Customers also have a considerable amount of flexibility around choosing how to spend points, whether they are motivated by discounts, exclusive merch, partner rewards, or charity donations.

Through FLX, Foot Locker is deepening customer connections through exclusive access and flexible rewards.

To learn more about how loyalty can help your brand grow, check out Oracle CrowdTwist.

Jessica Kaufman
Jessica Kaufman is your snowbird-in-training (moving from New York to Florida 2x). Some of her favorite things include trying new restaurants (especially pizza), watching her favorite sports teams (Go Gators!), and exploring new places. Jessica is a Product Marketing Manager at Oracle with more than 10 years of industry experience.
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