There are so many ways to make a bad points or rewards program, its hard to just pick a few. But to help you on your quest of consumer loyalty, we have to rule out a few loyalty program mistakes that are real killers.
1. Wrong Loyalty Mechanism
Punch card vs. points program, vs. tiered vs. exclusive, how do you pick? Many of the mistakes in loyalty programs start from the selection of the wrong loyalty mechanism. How do you know if you picked the right one? Try our loyalty program planner to see if you’ve picked the right one.
2. Wrong Loyalty Channels
You might have picked the wrong channels to communicate your reward program to your customers. Have you made a hard match to your customers daily behaviors? Are your open and interaction rates where they should be? If you are not getting enough response, it might not be the right channel.
3. No Data
The success of any loyalty program needs to be sown from the data behind the customer. If you can not fully defend your concept with data, you’re in trouble right from the start. Stop now and do some modeling from the previous year to see what trends, behaviors and other patterns can emerge to guide the loyalty process.
4. Bad Loyalty Program Branding
Adoption of your program has a lot to do with the customer’s understanding of your program. Branding the program is important so that the customer understands what is needed of them to engage in the program. Check out our posts on loyalty program branding for more help in this area.
5. Poor Execution
You might have the right ideas, just a really tough time getting the program moving. Checkout our Reward Program Checklist to help you get your program off the ground and running quickly, with all the proper steps in place.
