While customer loyalty remains a hard and fast goal for B2C organizations, challenges like increased costs of marketing, shifting consumer behavior and a myriad of other sales-related issues cause businesses to struggle. That said, investment in customer loyalty programs has never been more important, and brands continue to pour resources into tech solutions that will help them to identify, engage and retain their audience. Studies show that an impressive 53% of marketing business leaders in the B2C field will up their spend on technology that supports loyalty programs.
As B2C brands investigate the principle of customer loyalty itself, it’s clear that relying strictly on the traditional model of offering points and discounts misses the opportunity to engage on a deeper level with customers by generating “emotional” loyalty. Today’s B2C marketing leaders have developed new strategies, technologies and best practices that drive intelligent and lasting customer loyalty.
Let’s take a look at one of the most successful. Today, the Starbucks loyalty program is comprised of close to 29 million active members, and at least 50% of the brand’s sales are generated through this program. In other words, Starbuck’s overall market share and success is directly linked to its loyalty program – how many brands can say that?
How does this marketing superstar operate? Every time that Starbucks Rewards members make a purchase, they collect “stars” that are redeemable for merchandise, food and drinks. In early 2023, Starbucks announced some pricing changes to its rewards system, whereby more redemption stars were required, and its customer base was initially upset. But when the brand lowered the number of stars needed for many of its most popular menu items – including regular hot and iced coffee – the integrity of the value exchange between Starbucks and its customers was preserved, and all was well.
Other brands are paying close attention to the concept of premium value exchange and are looking at benefits such as free shipping to maximize value and ensure the loyalty of their customers. The challenge facing brands today is that they need to show profitable growth to their shareholders, so even the most well-established loyalty programs must be analyzed and revamped periodically. Building an emotional connection with customers and maintaining a strong value exchange are ways of ensuring their retention through these program changes. Supplying things like experiential rewards and early access to new products can go a long way in that regard.
When it comes to developing and managing customer loyalty programs, it can be a highly strategic move to involve a customer service outsourcing company like Anexa. Our customer-centric specialists have the training and experience in building long-term customer loyalty for your brand. Whether you execute a points program, a subscription program or both, Anexa can be a key participant in the administration of a robust loyalty platform. Our twenty years of experience in the demanding customer service sector is a significant benefit, and our many global customer service awards speak to our leadership in the field. We collaborate with our clients to plan, execute and monitor loyalty programs that will move your business to the front of the 2023 e-commerce race.
Contact Anexa today to see how we can enrich your customer loyalty programs.