7 Critical Steps to Successful Loyalty Marketing

7 Critical Steps to Successful Loyalty Marketing

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Who We Are

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What We Do

Increase customer lifetime value

Drive new revenue

Boost conversion rates

7 Critical StepsTo Successful Loyalty Marketing

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• Develop Clear Goals Critical Step

#1

#1 Develop Clear Goals

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#1 Develop Clear Goals

Think Beyond Retention

Source(s): Social Annex

• Increase retention/conversions• Drive referral revenue• Increase customer value• Build a brand community

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#1 Develop Clear Goals

Think Beyond Retention

Source(s): Social Annex

• Increase retention/conversions• Drive referral revenue• Increase customer value• Build a brand community

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#1 Develop Clear Goals

Think Beyond Retention

Source(s): Social Annex

• Increase retention/conversions• Drive referral revenue• Increase customer value• Build a brand community

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#1 Develop Clear Goals

• Increase retention/conversions• Drive referral revenue• Increase customer value• Build a brand community

Think Beyond Retention

Source(s): JimmyJazz.com, Delias

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#1 Develop Clear Goals

Quantify the Goal

• Customer Lifetime Value – AOV– Purchase Frequency

• Social Activity• Social Reach• Referrals• Total active loyalty customers• Additional revenue attributable

to the loyalty program

Source(s): AbesMarket.com

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#2 Understand Your Customers

• Understand Your Customers

Critical Step

#2

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#2 Understand Your Customers

• Gather social data from social APIs with tools like Social Login• Develop ideal consumer scenarios – their likes, interests, time

spent online, purchasing behavior, etc.

Make Customer Profiles Actionable

Source(s): Social Annex, Facebook

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#2 Understand Your Customers

• At the core of every loyalty program is the consumer

Add Practical Attributes to Customer Profiles

Source(s): Social Annex

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• Identify Rewards That Will Motivate Your Customers

Critical Step

#3

#3 Identify Rewards

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#3 Identify Rewards

• What do shoppers care about?– Publicly competing– Discounts– Personalization– Exclusivity

Make Shoppers Excited to Act

Source(s): VAULT, CaféPress.com

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#3 Identify Rewards

• Personalization– Service

• Exclusivity – Instore and online

VIP events– Brand ambassador

programs

Image Conscious & Price Inelastic

Source(s): AbesMarket.com

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#3 Identify Rewards

Omnichannel Incentives and Actions

Source(s): American Signature Furniture

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Critical Step

#4

• Value Available Actions

#4 Value Available Actions

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#4 Value Available Actions

• Determine the value (in terms of dollars) of each available action

• Estimate the cost of each action

• Define your max cost per action

What Aligns with Your Goals?

Source(s): VAULT

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#4 Value Available Actions

• Build brand advocates– Referrals programs– Social Q&A

• Implicit Points

Image Conscious Socialites

Source(s): Social Annex, VAULT

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Critical Step

#5

• Define a Rewards Scheme

#5 Define a Rewards Scheme

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#5 Define a Rewards Scheme

• Badges• Public boards• Hierarchy• Perks

What’s the Core Value Proposition?

Source(s): TeeFury.com

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• Hierarchy– Exclusive levels

• Perks– Mystery perks

How Will You Market?

Source(s): TeeFury.com, AbesMarket.com, Prep Sportswear

#5 Define a Rewards Scheme

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Critical Step

#6

• For Success, Invest

#6 For Success, Invest

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#6 For Success, Invest

• Cross promotion• Expiring High Value offers• CTA placement• ESP Integration

Drive Program Adoption

Source(s): Paula’s Choice

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#6 For Success, Invest

Drive Program Adoption

• Cross promotion• Expiring High Value offers• CTA placement• ESP Integration

Source(s): VAULT

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#6 For Success, Invest

• Cross promotion• Expiring High Value offers• CTA placement• ESP Integration

Drive Program Adoption

Source(s): AbesMarket.com

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#6 For Success, Invest

• Cross promotion• Expiring High Value offers• CTA placement• ESP Integration

Drive Program Adoption

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Critical Step

#7

• Evaluate and Optimize for ROI

#7 Evaluate, Optimize for ROI

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#7 Evaluate, Optimize for ROI

• Set up and get comfortable with a dashboard

• Solidify a process for evaluating your loyalty program

Prepare to Reap Your Rewards

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#7 Evaluate, Optimize for ROI

• A/B testing• Continually iterate• Who’s opting in?• Surveys• Adjust goals/timelines

Stay Vigilant

Key TakeawaysFor Successful Loyalty Marketing

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Key Takeaways

1. Develop Clear Goals2. Understand your Customers3. Identify Rewards that will Motivate4. Value Available Actions5. Define a Rewards Scheme6. For Success, Invest7. Evaluate and Optimize for ROI

Recap

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• Please reach out with any questions of if you would like to set up a demo.

• Mlinehan@socialannex.com

Thanks for Listening!