There are so many different types of loyalty platforms on the market that it can become confusing as a business owner when implementing the right program. Everyone is so conditioned to seeing what works for big retailers as well, that it is easy to assume that what works for them will work in the SMB world…wrong. Let’s have a look at some of the misconceptions happening in the SMB loyalty space.
Customers love marketing emails
No…they really don’t, do you love receiving hundreds of emails every day? It takes a very special kind of email to blow email open rates out of the water. Mailchimp says, on average SMB email campaigns average an open rate of 21.53% and that’s by creating outstanding email campaigns, but that’s just an open rate. For a customer to actually take action on this email is far less. Think before you implement a loyalty program that focuses purely on email and email marketing campaigns, as you may not see the return on investment you are looking for.
Customers will do anything you tell them to do
Wrong again, it’s incredibly hard to get a customer to behave in a certain way, so don’t leave it up to them. There are plenty of loyalty programs that require a customer to take action in signing up to a loyalty program. They may have to go to a website and sign up or keep a paper or plastic card in their wallet or it may even be scanning a QR code when they arrive in-store. Think about the customer and how much of an inconvenience this is for them. The best advice is removing the friction from the sign-up process and doing it for them, that way you stay in control & don’t leave it up to them to decide.
Birthday offers will generate a tonne of revenue
Totally false again! We’re not saying it’s going to be a total flop but think about what you personally do on your Birthday. You either celebrate with your loved ones maybe have a party at home and in most cases, your friends will take you out for dinner to a place that they think is nice or to your favourite restaurant. In any of these cases, your small business will probably lose out. Now think about it again, is it really worth running Birthday offers in-store?
Reminder: Focus your energies on the things you can control & don’t leave the rest up to chance
SMS marketing works!
This is only half true, it certainly works but remember the saying “too much of a good thing is bad.” SMS campaigns work because they are short, snappy and grab a customer’s attention immediately but if you bug a customer with predictable and constant SMS messages, all you are going to do is make them “opt out.” Make it exciting and keep promotional campaigns between 2 – 4 times a month.
London, 29 November, 2016: Loyalzoo, a leading digital loyalty service provider for SME retailers and restaurants, has taken its subscription offering to the next level by announcing a fully automated marketing engine aimed at targeting customers at the right time with the right offer.
Running alongside Loyalzoo’s easy to use proven loyalty program, the new Handsfree Marketing feature enables companies to send targeted marketing messages to customers, segmented according to their purchasing behaviour.
Using complex mathematical calculations, the system identifies specific customer-types and ensures delivery of appropriate targeted messages. Whether it is new users, high spenders, returning customers or those who have not visited for some time, the appropriate message or offer is delivered automatically, all for a low monthly cost.
The new feature takes only a minute to set up, in line with Loyalzoo’s “hassle-free” uncomplicated approach to the use of technology within independent retail environments.
According to BrightLocal and the Chamber of Commerce, SMEs on average spend $400 per month on marketing. Using Loyalzoo’s Handsfree Marketing, they could reduce these costs by up to 78 percent, while simultaneously running a digital loyalty program.
“For small businesses marketing can be time consuming, costly and sometimes just non-effective. With this in mind we wanted to invent a feature that provides a new twist on “set and forget” marketing and will revolutionise their approach” says Loyalzoo CEO, Massimo Sirolla. “Meanwhile, it allows business owners to focus on what they do best – running their business.”
Loyalzoo is already working with hundreds of merchants across the UK and US, and has been named one of the UK’s top 50 most disruptive businesses by Everline Future 50.
Since 2014, the company has made huge strides in the loyalty space thanks to its easy to use digital service. The stress-free, self service nature of the solution is its unique selling point. “Loyalzoo has been absolutely wonderful! It’s a lot less of a hassle than our previous system since the customers do not need to remember a card. It’s wonderful! It works great with our office and store, we are so happy to have found this system!” says Cynthia Monette, Owner at Avena Integrative Medical Centre of Putnam, Connecticut.
Loyalzoo recently launched a third crowdfunding campaign to support on-going growth and to establish a team in the US, working alongside its UK headquarters (www.seedrs.com/loyalzoo3).
Note for editors
About Loyalzoo – Digital loyalty card service for SME retailers and eateries
Based in west London, Loyalzoo was founded to help small/medium sized businesses compete with larger retailers and brands in an increasingly mobile/digital world. Loyalzoo is unique in the industry, as retailers of any size can setup their own, custom made in-store loyalty program in just minutes, without the need to print cards or buy expensive hardware. It also operates directly from most point-of-sale systems, avoiding any change or disruption for merchants and their staff. Loyalzoo’s service is available directly via the company’s website www.loyalzoo.com, resellers, agents, as well as via the digital marketplaces of Clover POS and Epos Now.
Wynne Evans Communications
p: +44 (0)7946 418133
Loyalzoo, the UK’s most popular digital loyalty service for SME retailers and eateries, is raising £500,000 in funding to support ongoing growth and establishing operations in the US for the innovative, fast growing company.
Loyalzoo, named one of the UK’s top 50 most disruptive businesses by Everline Future 50, will use investment to focus on executing its go-to-market strategy and pipeline, growing US and UK presence and establishing a team in the US to work alongside the UK-based HQ. There will be a strong focus on deploying Loyalzoo across more retail POS platforms, growing partnerships, reseller engagements and merchant user base.
“We are seeking investment to ensure we can roll out as widely and quickly as possible to meet the demands of the market. With hundreds of merchants across the UK and USA, over 300,000 loyalty transactions processed to date and recurring revenues growing 12% month on month, we are an established loyalty service for small to medium sized retailers and restaurants and ready for scalable growth” says Loyalzoo CEO Massimo Sirolla.
The company has already secured most of its target amount from existing investors, and has launched on the Seedrs crowdfunding platform to secure further investment. Within the first two days the company has already raised almost 80% of its £500k target, from over 40 investors. The opportunity to invest will be live until November 30. This follows Loyalzoo’s previous crowdfunding campaigns in 2014 and 2015, which raised a total of over £450k.
The independent retail market is a major opportunity for Loyalzoo. According to Bira (British Independent Retailers Association), there are 279,000 independent retailers in the UK. And according to the NRF (National Retail Federation), there are 3.8M retail establishments in the USA. Three out of four SME retailers can benefit significantly from running a loyalty program, and with Loyalzoo it is all digital, which means no paper or plastic loyalty cards for consumers, and more actionable data for the retailer.
Loyalzoo’s appeal can be readily explained as its innovative technology enables independent merchants to run their own points or stamps based rewards program, without being part of a group scheme, and to compete in an increasingly digital world. The company’s loyalty system runs on most electronic point-of-sale terminals, making it super easy for the merchant’s staff to sign up customers to the program and issue loyalty points. Consumers can then redeem those points for rewards chosen by each merchant. On average, merchants running rewards programs with Loyalzoo see a revenue increase of 11%, from existing customers and without reducing margins.
To follow Loyalzoo’s campaign visit https://www.seedrs.com/loyalzoo3.
Note for editors
Based in west London, Loyalzoo was founded to help small/medium sized businesses compete with larger retailers and brands in an increasingly mobile/digital world. Loyalzoo is unique in the industry, as retailers of any size can setup their own, custom made in-store loyalty program in just minutes, without the need to print cards or buy expensive hardware. It also operates directly from most point-of-sale systems, avoiding any change or disruption for merchants and their staff. Loyalzoo’s service is available directly via the company’s website www.loyalzoo.com, resellers, agents, as well as via the digital marketplaces of Clover POS, Epos Now and Lightspeed.
Happy staff = happy customers
Have you ever had the worst customer service ever? It ruins your day and you walk out of the store fuming. Now have you been served by an absolutely outstanding staff member and their customer service is next level? How amazing does it feel? Now that’s what helps create loyalty! Maybe it’s time to reflect on your businesses environment and start making some positive changes to motivate staff.
Reward employees for great performance
It’s one thing to congratulate the team as a whole but individually rewarding staff for hard work is a great tactic. It means those who go above and beyond feel appreciated and it makes underperforming staff realise they too can work just that little bit harder. A few great ways to do this is by:
- Giving a prize
- Writing a congratulatory letter
- Posting on a staff bulletin board
Note: make sure to reward for various types of work, otherwise you may just end up rewarding the same staff members over and over again.
Incentivise using food to motivate staff
Well you’ve heard that food is the way to a mans heart but it’s also the way to a staff members heart. Your employees work hard and there’s nothing better than shouting your team lunch. Without spending too much either, you will find a full stomach leads to better productivity and happiness. Try and use mood boosting food to motivate staff such as healthy burgers incorporating eggs and avocado or why not even try keeping a fruit bowl in the lunch room. You’ll be surprised how much this can change your staff members happiness.
Utilise wall space
Ok maybe motivational quotes are a bit old school but who’s to say you can’t try the following:
Bulletin boards: This is a fantastic way to communicate outstanding work, pictures from staff events, posting about birthdays or if there is nothing to communicate put up a joke. Communication is the key to running a business and if the staff can take part in it and get the creative, the more they will be willing to exchange ideas and converse.
Business news: Sometimes it’s hard to get staff excited about business news. You as the business owner find everything exciting when it comes to advances in the business, so why not let them choose when to get excited by it. Put up a visual graph to show growth or success so employees don’t have to read, they simply walk in and see straight away how well the business is doing. This will make them feel like they are part of something truly special and that you are all working together to achieve greatness.
Fun pictures: You might get a few eyeball rolls if you start hanging up motivational quotes everywhere but putting up fun pictures with bright colours can enhance ones mood. The best colours for happiness are green and yellow, so get hanging and get those staff happy!