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Loyalty program adoptions

3 Tips for Loyalty Program Adoption

Jacob Brain

Author

Looking to increase your loyalty program adoption rates? In the beginning of many loyalty programs, adoption is a big concern as you look to establish a foothold in your customers’ shopping habits. Here are three ideas to help spur you forward during the expansion.

Auto-Enroll

This is a controversial topic for many reasons, but one to consider for your customers if it fits your business. Auto-enrollment simply would mean enrolling every customer that purchases from you. While it fits certain types of businesses better than others, it is one way to get your census up. Then your challenge becomes increasing engagement as you now need to influence your customers to participate in the program. This might work for you if your purchase process entails gathering customer information like a service or order taking retail. Then you have precedent to gather customer data and avoid the “application” to your loyalty program.

Front Loaded Promotion

The most typical effort is to front-load the program with a promotion. You see this with double points, freebies, and other extra offers at sign up. These do statistically move your numbers forward more than your standard offers. The challenge to watch for in these is balancing the extra incentive with the cost of acquisition of the program and make sure it does not put you into a bad place with the customer’s projected LTV (lifetime value). For example, if double points costs you more than you would profit from a customer in two years, you might want to think about that carefully as attrition might happen in that two year timeframe and then you’ve lost money on the deal. But on the positive side, a great promotion can be a great driver to sign up. Yet the most successful signup driver is a program that is well constructed where the benefits are apparent.

Sign Up Teams & Events

A popular way of increasing signups is bringing the program to your customers through direct contact. Sign up events, or sign up teams are great ways to position the program offering to your customers and provide a real one-to-one interaction to boost understanding and adoption. We all crave a program that will grow on its own, but having the chance to interface with customers in person will give your loyalty team a chance to hear direct feedback on the program, as well as connect with the customers personally, which will drive overall acceptance. “Boots on the ground” has many other advantages and is something that should be considered during the adoption phase of a loyalty launch.

Need more help with your program adoption? Let New North help you create a plan that will launch your program to your customer base with great success. Contact us today for a free, no pressure conversation on how we can help.

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