Common Mistakes of Online Loyalty Program

Provided By Mageworld A Leading Magento Provider

Outline

Too Complicated To Understand

Lack Of Attraction

Setting NO Goal

Benefits Of Loyalty Program

Business

Better relationship with buyers

Increase customers loyalty &

Sales

Customers

Rewarded for purchases

Rewarded for behaviors

1. Too Complicated To Understand

Confusing Earning Rules Example Spend $20 to earn 4 points

=> should be more specific such as: Spend $5 to earn 1 points

Apply for only products with SKU: ABC, DEF, GHD,… (very long list of products)=> should include a category of products  or several ones if listing SKU

Confusing Spending Rules Example Spend 120 points get $20

discount => should be more specific such as: Spend 6 points get $1 discount

1. Too Complicated To Understand A too complicated program with many confusing

earning rules and spending rules definitely overwhelms your customers.

Key to remember: Simplicity is the best when starting online loyalty program

2. Lack Of Attraction

An online loyalty program is a promotion that motivates customers to purchase and return to your business, hence, it needs to be advertised as other marketing campaigns.

Key to remember: Promote the program smartly and prepare a clear explanation page.

2. Lack Of Attraction #1: Catch customers ‘attention and let them know the visibility of

online loyalty program:

An Eye-catching Banner

Marketing Channels

Information in Home Page

2. Lack Of Attraction #2: Let customers know the mechanism of your loyalty program:

3. Setting NO Goal

Þ Prevent you from improving your loyalty program Þ Before start, make sure that you know what you want after a

period such as: % Sales increase, number of repeats customers, etc.

  Key to remember: Goals keep your program running in the right direction.

Checkout Magento Reward Points Extension for a successfully loyalty program!