Do's and Don'ts of Small Business Loyalty Programs


Go Digital 

2020 has catapulted the tech market to an all-time high. Contactless payment is now normal and your loyalty system should be contactless too. Not only do fewer touchpoints cause less friction, but customers are also trying to spend less time in physical places and avoid crowds as much as possible. By going digital you are offering your customers the freedom to sign up how they please: without cards, manual stamps, or any other friction. 


Be creative

Don’t shy away from being creative! Offering the same rewards as your competitors will not make yours stand out. Nowadays customers are looking for a loyalty program that responds to their buying behavior and rewards every dollar spent. Most of all, you want a loyalty program that encourages customers to spend. Creative rewards which give the customer a reason to spend more will make them stick to your business. That also means scaling up your rewards to be bigger and better the more they spend. 

Promote your Loyalty program 

Your Loyalty program can be set up perfectly and it may not receive the amount of attention you intended. True customer loyalty starts in-store. Tell your customers about your new loyalty program. Promotional stickers and QR codes help promote your loyalty program and keep your customers informed about the great rewards waiting for them. Not sure how to get customers to sign up? Start with your staff members to show them just how easy it is and to get them excited about loyalty. Enthusiastic staff members make happy customers. 


Set unreachable rewards

Did you ever join a loyalty program and just stopped earning points because the reward target was unreachable? Setting high reward targets drives customer spend, but to keep your customers engaged,  rewards should be reachable. Only having one seemingly unreachable reward is not going to make your customers stick to your business. You can set high targets – as long as you have many lower targets that help them get there! 


Spam your customers

We often get asked why we don’t offer more than 4 promotions per month. The answer is simple: we do not want to spam your customers. Spamming your customers with messages and promotions increases the risk they’ll opt out which means they would not receive any further communications from you, including points notifications and hands-free marketing messages. Promotions are supposed to be special treats for your customers such as 15% off on the Easter weekend, for example, meaning that every single promotion has an important message. 

Change your rewards

There is nothing more frustrating for customers than getting excited about a promotion or reward, just to arrive at your store to be told that it is no longer available or has been changed. Being upfront and clear about promotions, rewards, and how points are earned will keep your customers happy and engaged. Watch how their average spend grows with their points balance, most of all as they get closer to redeeming a reward.

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