This is a guide, shared by centricweb.co.uk, to mobile loyalty for small and medium businesses. It makes a case how SMEs can boost their sales and retain customer value using mobile loyalty programmes on their own branded apps.
2. INTRODUCTION
• Loyalty programs are a great way of
adding value to customer visits and
giving them a reason to return in the
future.
• To create loyal customers who always
use your business over your competitors
you need to acknowledge their loyalty
and reward them for their business.
95% of UK consumers appreciate
customer loyalty programs
3. LOYALTY STATISTICS
• 90% of mobile users who
have joined mobile loyalty
programs feel they have
gained value from them
• 62% of consumers don’t
believe that the brands they
are most loyal to are doing
enough to reward them.
• 95% of people who enrolled
in a mobile loyalty program
said they were likely to
continue using it.
4. EVOLUTION OF LOYALTY
• From stamps, to cards and now with
the saturation of smartphones in
everyday life, comes the emergence of
Mobile Loyalty Apps.
• Smartphones have opened up an
incredible opportunity to replace and
lighten wallets and handbags by
offering a Loyalty Card that can be
accessed via an App.
• As mobile technology continues to
grow, retailers are increasingly looking
to provide customers with a seamless
shopping experience.
6. In total, how many loyalty
cards do you own?
Results from a consumer survey by SAS, allfigures are percentages.
95%
of consumers
own at least
one loyalty
card
7. TYPES OF LOYALTY
• Buy 10 get one free
The traditional punch-card is popular with independent
businesses like coffee shops, greeting card stores and beauty
salons.
• Points for purchase
Customers earn points based on how much they spend via their
App, which can be applied as credit against future purchases.
• Points for checking in
Customers can earn points every time they check in to a
business location and share their status via social media.
8. VALUE OF LOYALTY
It doesn’t matter what the consumer benefit is (be it money
off, holidays, or a free coffee), the real prize here for the
retailer is big data.
9. LEARN FROM LARGER
RETAILERS
• Companies such as Tesco and
Waitrose need to attach purchase
history to an individual, and learn as
much as they can about that person to
help their marketing efforts.
• Retailers use big data to turn customers
into big spenders.
• Big data enables companies to create
comprehensive customer profiles,
precise product recommendations and
one-click checkout.
10.
11. RISE ABOVE THE COMPETITION
For small businesses, it can be difficult to compete with
the larger brands considering that they have more
resources and a higher budget for marketing.
However, a good customer-loyalty program is an easy way
for small businesses to :
•Gain trust
•Show their personal side
•Hold their share in the market dominated by big
businesses.
12. VALUE OF LOYAL CUSTOMERS
On average, Loyal Customers will spend 10X more than
regular customers
These people here are your loyal customers. They
account for 20% of your customers
13. Those 20% drive
80% of your total
revenue…
…and 72% of total
visit to your
business!
14. NEW vs. LOYAL CUSTOMERS
NEW CUSTOMER
• Are more price conscious
• Probability of getting a sale from new
customers is 5-20%
• Over 50-60% of new customers don’t
come back after the first visit!
• The average conversion rate (actual
sales) from promotions sent to new
customers is less than 1%
• Less than 20 of daily deals
customers will return and pay full
price for items.
LOYAL CUSTOMER
• Have a greater lifetime value.
• Spend more over time and generate
more revenue.
• The probability of making an
additional sale or upselling, is 60-
70%
• Loyal customers like to hear from
you. 65% want stores they visit to
email them with offers and discounts.
• A loyal customer will recommend you
to others via word of mouth and
social media.
16. 1. OFFER REAL
VALUE
Offer Small Business
Benefits!
Customers are often being a sold a significantly worse
deal from larger companies.
•Take Tesco for example, for every pound spent
earns the customer 1 point, 100 points is equal to £1
saved. That’s a rather sad 1% return.
•Now consider your local coffee shop who may offer a
free coffee for every 9 purchased. If a coffee costs
roughly £2.50, that’s a healthy return of 11%.
Which would you prefer?
17. 2. DEFINE
YOUR MOST
LOYAL
CUSTOMERS
• Analyse your data and learn who
your most loyal customers are.
• These are the customers you want to
target and create the most incentives
for.
• Rewards to encourage repeat
business are different to rewards you
offer to encourage new business.
18. 3. BE PERSONAL…
• Learn about your customers
spending habits. What time
they shop, what they buy and
how frequently.
• Use this information to create
personal offers tailored towards
your customers preferences.
19. … AND RELEVANT
• 94% of loyalty members prefer to receive
communications from their programs.
• Yet only 53% describe the communications
they receive as relevant.
- Maritz Loyalty Report
20. 4. TIMING MATTERS
• Make sure you promote your
offers at the most appropriate
times.
• There is no point notifying
customers of a special offer
when your business is closed,
or of a time sensitive offer if
they aren’t nearby.
• Use scheduled Push
Notifications and create Geo
Fences to target your customers
at the right time.
21. 5. MAKE IT SIMPLE,
YET SIGNIFICANT
• Be clear to customers on how they
can earn points and redeem points.
• The first 4 to 6 months of any loyalty
program launch are critical, so be
sure to let new members collect lots
of points as quickly as possible for
excellent traction.
• Create QR codes that App users can
scan for points upon payment at
checkout.
• Enable users to earn points through
in-App payments.
22. 37% of retailers believe “retaining
customers” will be the number-one
contributor to revenue growth in the
next three years. -KPMG
23. LOYALTY PROGRAMS
ENCOURAGE SALES
•Nearly 60% of global consumers said
that loyalty programs were available
where they shopped.
•A whopping 84% of those said they
were more likely to visit those retailers.
- Nielsen
24. BY OFFERING LOYALTY
RETAILERS CAN..
• Increase the number of repeat customers
• Increase the amount spent by repeat customers
• Drive sales
• Understand more about customers shopping habits
• Boost revenue
25. LOYALTY PROGRAM =
CUSTOMER RETENTION
• A 5% increase in customer retention can double your
profits.
• The average business loses 10-30% of its customers
each year.
• A Loyalty Program can help to reduce this number,
especially when thinking about the lifetime value of
each customer.
26. GROW YOUR BUSINESS
Something as simple as
a Mobile Loyalty
Program can literally be
the easiest way to grow
your business!
Make a positive change
to your business that
both you and your
customers will love…
27. INCLUDE MANY OTHER FEATURES
• FOOD ORDERING
• PRODUCT
SHOPPING
• DIRECTIONS
• GALLERY
• IN-APP FORMS
• ONE CLICK CALLING
• SOCIAL MEDIA LINKS
• VIDEO DIRECTORY
• AUDIO STREAMING
• BOOKING FORMS
• EVENT LISTINGS
• MESSAGING
• QUIZZES
• UNLIMITED HTML
PAGES
• and MORE!
28. GET STARTED
• Contact us from 9-5 PM by calling
• Tel: +44 129 629 0838
• Or email us at time at: info@centricweb.co.uk
• For more information visit our website at:
www.centricweb.co.uk
