How to succeed with a loyalty program?

In today's challenging economic situation, loyal customers are even more important than before. When prices rise, customers become more conscious of what they consume, which can make it more difficult to attract new customers. It is therefore increasingly important to build strong relationships with existing customers. A loyalty program can be very useful when building this relationship, if used strategically.

Loyalty programs are more than software

A loyalty program is more than just the software needed to offer membership benefits to customers. The software is necessary, but it is important to use the software in accordance with your company's brand and goals. Which member benefits are to be offered is a strategic decision linked to what you want to achieve with the loyalty program. A loyalty program does not create customer loyalty if it is not used. It must be actively used and developed to create added value for customers and the company. It is therefore important to develop a strategy for the loyalty program in order to achieve success, and to analyze the results afterwards.

What is a strategy?

A strategy consists of goals and how to achieve them. It is therefore a plan for how to achieve results. Companies often have overall goals and strategies for their operations. Loyalty programs should not be an exception. In order to achieve success, it is important to know what you want to get out of the loyalty program and how to achieve this.

Loyalty strategy for success

To help your company maximize the value of the loyalty program, we have developed an 8-step loyalty strategy. These steps should help you think holistically when creating your loyalty program.

Member recruitment

Offer your customers benefits that make it attractive to become a member.

Training guides

Use our guides to train your employees in program administration.

Establishing goals

Set goals for what the program will achieve and how to achieve it.

Program promotion

Design material to recruit as many members as possible.

Digital customer journey

Design a customer journey that provides tailored and relevant information.

Newsletters

Create newsletters to strengthen your customer relationship.

Campaigns

Use promotions and exclusive offers to generate steady customer traffic.

Analyzing results

Compare results to goals and gauge how successful the loyalty program has been.

By spending time designing the program and deciding which membership benefits to offer, you will increase the likelihood of meeting your customers' needs, and thus build loyalty among existing customers.

A loyalty program has the greatest probability of success when it is seen strategically in the context of the rest of the company. It is therefore important to structure the program so that it is adapted to your customers' needs in order to build loyalty. This can be crucial to retaining customers, especially in challenging economic times.

Do you want to know more about our loyalty strategy? Read more here.

More insight from Loyco

When customers grow price-conscious

When inflation and interest rates are on the rise, the average consumer tends to tighten their budget. During such times, marketing becomes an important tool to ensure that your brand stays relevant. By tailoring the communication and offers that your customers receive, you can stimulate activity even as market purchasing power weakens.

Read more
Unike Hotels: Increasing Direct Bookings and Guest Loyalty with Loyco & Techotel

Unike Hotels wanted to strengthen guest loyalty, increase direct bookings, and streamline operations. By leveraging Loyco’s existing integration with Techotel PMS, they established a seamless and rewarding guest journey. This case study explores how Unike Hotels successfully automated membership registration, personalized guest interactions, and reduced reliance on third-party booking platforms—resulting in higher retention rates and increased direct revenue.

Read more
Mani boosts loyalty and sales with Loyco & Front Systems

Mani, a rapidly growing retailer with bothonline and physical stores, aimed to improve customer engagement and unifyloyalty and gift card management across all channels. Through our loyaltydashboard and seamless integration with Front Systems, Mani adopted astreamlined solution that enhanced operational efficiency and elevated customerexperience. This case study highlights how Loyco’s tools and integrationcapabilities supported Mani in achieving these results.

Read more
View all