Top Loyalty Program FAQs every brand is willing to know
- Posted on March 29, 2022 by Robert
- Reading time about 6 minutes
In the U.S around 90 percent of the companies have some sort of loyalty program variation already running. But brands are still sticking with the customer retention strategies which were followed earlier. Why is that? Because no matter how many more businesses come up, every brand aims to boost their revenue and focus on retaining their existing customers.
With the fact that loyalty is always an undeniable aspect, business owners must have a lot of questions popping up, let’s decode what does a loyalty program means, why’s it important for your business, and a lot more in between. Here’s a list of frequently asked questions about loyalty-
- What does a Loyalty Program mean?
A loyalty program is a tool that is used by businesses for fostering repeat sales, elevating spending, fostering brand loyalty, and collecting tons of customer data to understand the customer requirements as well. These programs can vary in different types including the most common one- Points Based Program and the other ones like Buy One Get One, Referral Loyalty Programs, Tiered Based Programs, etc. Being a great source of retaining and acquiring customers, consider loyalty programs as an impactful business strategy to not just foster customer retention but, also keep the business running strong in the longer run.
- What does the best Loyalty Program offer to the customers?
First of all, there’s no definite definition for understanding what are the best loyalty programs. It all depends on your business type and the kind of goals you’re taking forward. So, the best loyalty programs are the ones that fit in perfectly with your business model, are easy to use, have the necessary features you’re willing to add in, and are affordable at the same time. While your brand is researching for a loyalty program make sure you’ve checked every possible aspect which could later affect your business and find any clauses which can prove troublesome in the longer run. The well-equipped loyalty program should include everything from offering the right services to covering the end business goal.
- What’s Customer Loyalty?
Customer loyalty refers to a simple logic where customers have numerous options available in your competition, but, they still choose you over the rest. For easier explanation, it’s a customer’s emotion and loyalty towards a brand. It’s not just about introducing a rewards program but also about identifying your customers and their regular requirements so that you, as a brand can have fair communication and target the right set of audiences with the most appropriate message/service/product.
- Why does my brand need a Loyalty Program?
As shared and stated in the above questions, a business will always need a loyalty program to grow and flourish, here are a few pointers to consider-
- It increases customer retention
- Fosters better customer spending
- Brings more traffic to the website or offline store
- Helps in gaining valuable customer insights
- Helps in realizing and anticipating sales trends
- It facilitates a brand in becoming a much stronger competition
- What is a White Label?
A white label is a feature offered by the brands that allow the clients to rebrand the loyalty program with a label of their own branding. Most while label software comes from a software-as-a-service (SaaS) business that leases out the rights of their software over a specified or decided subscription firm.
- Is using a card mandatory with a loyalty program?
Not necessarily! One can either have a system of using a loyalty card or choose simply not to use it. As on date, cardless programs are more popular among many merchants including online retailers.
- What kind of customer data a brand can collect?
As a brand, you can collect a huge amount of customer data through a loyalty program. It can customize the data entry interface and collect tons of data which can later be used to analyze and make use for targeted communication.
- What can be done with the collected customer data?
The collected data can help a brand in marketing its product or service. The program allows the brand to segment the data generated to be used for targeted marketing. One can have a look and determine who are a brand’s targeted customers, who have not been there with the brand for a while, which are best selling brands and which products are not being sold yet. One can even customize meaningful communications to the customers which seem much more relevant to them.
- How easy is it to switch to Novus from any currently associated Loyalty program?
Yes, it’s quite easy and simple! If you’re already using a loyalty program and are not satisfied with the performance or the outcome, it’s better to switch your program! We offer a smart and smooth process to get started with your loyalty journey.
- My POS is already offering a Loyalty Program? Why do I need Novus?
Many competitors, POS, etc. can offer a loyalty program for your business but we differentiate ourselves through our unmatched functionalities. Novus offers a complete loyalty engine, loyalty campaign management, rule engine, offers management, reward marketplace, BI reporting, options for gamification, and gift card management as well. Our loyalty program is flexible enough which can easily adapt to your marketing strategies and can be started instantly.
- I am a POS company and would like to integrate, is that an option?
If your system allows connectivity through an API, it is completely possible! As POS companies have already started to check out comprehensive loyalty, gift card functionality. We’re a perfect solution to help you through.
- Is my data secure with your brand?
Yes for sure! Stay hassle-free when your data is shared with us as we have the data stored at multiple secured and managed servers. We always make sure that the server is always available and even in case one crashes we have a backup to help you through.
- What if your service does not match our requirements?
Our loyalty program is extremely flexible with the features like custom information fields, numerous integration possibilities, and alternative interfaces for accommodating most business requirements. Though our system is specifically designed to accommodate almost any sort of business or loyalty strategy. In case it does not match your requirements you can easily get stuff customized through us or help us know what exactly would you like to integrate with your system.
Loyalty programs are extremely important even when following a complex loyalty strategy as it eases up the burden and helps brands in attaining better outcomes altogether. We hope we were able to address all the basic and necessary information in terms of loyalty.