Rewarding your customers is no longer optional, it is a given. From local businesses to global conglomerates, gaining customer loyalty is the key, and nothing fosters that more than providing a reward. But giving them can be tricky, as it needs to be done correctly and add value. Below, we discuss the most popular rewards for retail customers.
Points Systems
Points systems are usually applied through a loyalty card, either a digital one or the old-fashioned paper where you add stickers or stamps. Perhaps you have used them in a local coffee shop, where you get a card marked and when you reach ten drinks you get an eleventh one for free. You may have seen it at a supermarket, where you earn points for buying groceries and you can cash them in for discounts.
This type of reward has been extremely instrumental in entertainment, particularly in the competitive field of online casinos. To beat competitors, casinos have often offered players various bonus rewards and VIP programmes.
These match the deposits they have made, so a 100% bonus would mean anyone depositing $50 would get $50 in credit. While you don’t have to be this drastic in the retail environment, you could still offer credit as points on a loyalty card. For example, for every $100 spent then $25 may be added in loyalty credit. Still, gamblers should keep in mind that match deposit bonuses usually also come together with minimum deposit requirements, with 10 minimum payment promotions being among the most common ones.
Setting up your points system depends on your budget. Some companies can build apps and credit card-like systems for you. However, you can use a card with a stamper if you are keeping it simple. The amount you give away also depends on your budget.
Prize Draws
Prize draws can be used in a wide range of situations to reward customers. Yet, they can also be used to advertise new products and services. If people enter the draw, then they can win the product for free.
Draws can also be used to get information from your customers. You may conduct some market research and enter them into the draw for doing so. Perhaps you want to sell a certain product and enter anyone who buys it into a draw to win another related product. For example, a furniture store might enter anyone who buys a sofa into a draw for a new bathroom or kitchen.
The bonus for customers is that they win free items. You can also use it as a fantastic marketing opportunity, showing how you treat your customers and building up suspense in the run-up to a draw.
Vouchers for Other Businesses
For this one, collaboration is the key. Don’t go giving away vouchers for competitors, but find other businesses in your area in the same niche. For example, a wedding dress retailer may give away vouchers to catering suppliers.
This works in two ways because the joy of this is that your customers will get a discount for something they most probably would be spending money on anyway. The bonus is that you can get the other businesses to do the same for you. This brings in brand-new customers and can increase conversions.
Discuss rewards with your team and customers. Set a budget and see how much you can and are willing to give away. Advertise your reward scheme, and watch as your profit slowly begins to increase.
