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Are You Planning To Implement A Customer Loyalty Program For Your E-commerce Business?
Planning to implement a Customer Loyalty Program for your E-Commerce Business
  • Are you in charge of an E-commerce business?
    Do you have a Customer Loyalty Program integrated with your Ecommerce store?
    If not, are you planning to implement it anytime sooner?

    Well, you must be.
    And bang on! You have landed on the correct destination – NextBee.

    For the past decade, NextBee has been developing and delivering best-in-class Loyalty Reward Program to various business verticals. Among those, E-commerce is one of it.

    It’s been quite a journey and throughout this process, we have successfully dealt with most advanced and most complex solutions that positively mold the business prospects of hundreds of organizations.

    This article is especially focused on E-commerce business-leaders who are planning to embed a customer loyalty program in the system. And obviously, there are some grey areas in your mind regarding the solution.  

    Through the following Questions and Answers, we would try to explain how an E-commerce business can gel with a customer loyalty program to retain more and more customers and generate increased sales.
     

    Q. Why Loyalty Program is Important for your E-commerce Store?

    In today’s time, the E-commerce business is gaining popularity and is widely in usage. But in this competitive environment, you need to make your E-commerce business to be easily discoverable to the audience.

    There exist the term ‘Marketing’ to boost sales, the same work is done through the loyalty program. This program helps in customer retention and is a powerful way of increasing conversions and ultimately accomplish the required goals for your business.

    Loyalty Programs benefit E-commerce stores in several ways:

    • Customer Retention
    • Increased Conversion
    • Advanced Insights
    • New Customers through Referrals
    • Makes your customer satisfied
    • Increase Customer Lifetime Value
    • Segmentation

     

    Q. What is the right time to implement a loyalty program in an E-commerce store?

    It is a matter of concern to know that – what is the best time to implement a loyalty program for an ecommerce store?

    Business owners get confused whether they should follow a proper plan to implement a loyalty program or it should be in action only when it is required. Also sometimes, they think to focus on more sales, rather than investing time on loyalty.

    But the fact is – there is no particular right time to execute the loyalty programs. Though it is advisable to start the program as soon as you start and think of getting more sales for your business. There is no way to delay loyalty while you have already thought of building a profitable trade.

    While implementing a loyalty program, four main goals should be followed:

    • Provide your loyal customers with benefits and value
    • Encourage other customers to become loyal
    • To increase your profit
    • Use it as a tool to gather more data on your customer

     

    Q. What kind of loyalty schemes works well with the E-commerce market?

    While you think of an E-commerce business, a tool to align your business, with customers and profit is actually the “Loyalty Programs”. Indeed, the Loyalty program can help to get customers retention and is a powerful way of increasing conversions.

    Though there are numerous loyalty schemes that can be adopted, only a few of them can work best with the E-commerce business.

    Subscription Programs – These days, a well-known program in E-commerce businesses is the Subscriptions scheme. Just like, the membership of Amazon Prime is gaining popularity. Subscription programs offer customers a broader perspective of available services and more reward opportunities for an additional fee.

    Points Scheme – A simple and most widely used loyalty program in E-commerce is the Points Scheme. This scheme can get customers to earn points for every purchase they made. These points are further converted into money, offers, and discounts.

    Gamification – Gamification Loyalty programs are meant for encouraging users to stick to us. By offering a gaming environment along with displaying contests, customers tend to get engaged with your brand.

    Cashback Schemes – This type of scheme offers a cashback on a certain limit of purchase or on a certain commodity which increases retention and engages more customers as well.
     

    Q. Along with Customer Loyalty Program, what other elements are responsible for generating adequate revenue?

    Loyalty Program acts as a powerful tool to increase conversions and earn profits. Though you cannot ignore the importance of Loyalty programs, there are also many other means of generating revenue.

    Profit will continue to rise for the long term if many things are taken care of along with Loyalty program, and business owners can take advantage of this growth.

    Some of the points are listed below that can help to achieve your E-commerce business targets easily:

    • Reach Out to the long term Customers
    • Manage the Shipping Costs
    • Manage Product Reviews
    • Use excellent Product Descriptions
    • Use Best Products images
    • Selling with Personalization help
    • Optimize the speed of your website

    NextBee has developed a methodology that aims to improve the revenue of your business by different means. The application ensures that every participant is approached in a way that drives increased conversion of referrals and leads.
     

    Q. In the E-commerce business, does loyalty program only benefit repeat buyers?

    Loyalty programs benefit E-commerce stores in several ways with many aspects; they not only just profit to repeat buyers. Loyalty deals with customer’s willingness to continue the service of a brand repeatedly because of customer satisfaction and their experience. With regard to this, the program actually benefits the E-commerce business or trade by achieving targets and getting more revenues.

    Though repeat buyers get benefited as they get much offers or rewards from the service provider for being a loyal customer, they are not the only ones who gain. E-commerce stores get an advantage in several ways like:

    • Customer Retention
    • Increased Conversion
    • Advanced Insights
    • New Customers through Referrals
    • Makes your customer satisfied

     

    Q. Can a loyalty program for the ecommerce store be accessed via mobile-phones?

    Building a mobile app for your online store is mostly preferred these days as you can see there is a rapid increase in online mobile shopping. In the same way, the loyalty program for eCcommerce can be accessed with the help of mobile phones.

    It is a known fact that people who download your mobile app initially show a higher level of investment in your brand. They are ready to buy, while mobile site visitors mostly access the site for information or view services.

    In addition, customers spend three to four times more hours in apps than on mobile sites and access them intentionally. Therefore, it is advisable that the loyalty program for the E-commerce store should be accessed via mobile phones.

    Conclusion:

    You need a scalable strategy and an engagement tool for incentivizing customers to buy from you over and over again. And that’s where customer loyalty programs shine.

    It is a hard decision to take while finding the right loyalty program for your business. Thankfully, NextBee is here to understand your customers and knows how to actually provide value to them.

    NextBee is specialized in building a robust, customized, and scalable Loyalty Reward Program that boosts customer retention and can make your E-commerce brand the most loved one. Feel free to connect with us and explore more to create a top quality loyalty program for your E-commerce business.

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