As loyalty programs proliferate and consumers begin to lose interest due to the volume and perceived lack of value, there are eight things you may want to consider to differentiate your program:
1. Provide virtual currency — this allows consumers to track their progress and they look forward to receiving their statements to see how their account has grown.
2. Progress — show customers where they stand relative to the next award level. Consumers have an idea of what they want to get with the points they’re earning. Let them know how close their next award level.
3. Level — let your customers know what level they are currently and how much is needed to achieve the next level. Provide suggestions or incentives to achieve the next level.
4. Personalization — increase engagement by showcasing items that particular customers have exhibited an interest in. The more targeted and relevant the item, the more likely the consumer is to pay attention to your message and take action.
5. Leader boards — create a sense of achievement as well as competition. This may also promote a social community among program members. Leader boards can be by geography, store, level or any other variables. Building a community of loyal customers can be very powerful.
6. Bonuses — give bonus points for behaviors other than purchasing a particular product or buying at a particular time like providing more personal information or consumer insights that will enable you to personalize your communications and offers.
7. Lottery — have the value of a surprise vary. This will increase repetitive behavior by the consumer who wants to see what they may receive for a certain activity.
8. Status — Higher levels lead to higher status. Ensure your most valuable customers are receiving a value commensurate with their value to your firm. Be sure to consider the lifetime, and social media, value of these “heavy users.”
What can you do to spice up your loyalty program?