Are Loyalty program profitable? What to know about advantages
Starting a loyalty program is a true investment: what you should know about loyalty marketing and the advantages of Epipoli's proposal.
What are Loyalty Marketing? Definition and why they really works
It’s written Loyalty Marketing, but it’s read as customer loyalty.
To better understand what is meant by Loyalty Marketing, let’s examine the definition of the term.
Loyalty Marketing comprises actions and marketing tools geared towards establishing a loyalty relationship between the consumer and a given product or company through a series of strategies.
The goal then is to build quality, lasting relationships with customers whose trust must be earned.
To talk about Loyalty, therefore, a familiarity bond between the clientele and the brand, or between the consumer and the company, must be established.
Loyalty Programs for customers: the many faces of Loyalty Marketing
The Loyalty Marketing tools available to companies include loyalty programs that can be developed in various ways:
- Club exclusive: loyalty card holders are members of a real club that allows access a series of services.
- Catalogue prizes: loyalty business model based on the accumulation of points for various purchases made over time. Loyalty card holders receive a series of prizes based on points earned.
- Advantages: Loyalty card holders have access to a series of advantages and discounts.
- Coalition: those who join the loyalty program can take advantage of benefits not only within the brand under which they enrolled in the card program, but also with a group of other brands.
Are Loyalty Programs effective? The strengths of Loyalty Marketing
This is how a relationship of trust between the company and its customers is created, by achieving one of the objectives of relationship marketing.
The benefits of activating a loyalty program do not end here, however.
Here are the most noteworthy strengths of this type of activity:
- Database: the chance to get to know consumers by obtaining quantitative and qualitative data.
- Activate clustered and customized campaigns through omni-channel communication.
- Maintaining clients is a true savings: enrolling new clients would, in fact, cost the company more.
- Loyalty programs often turn clients into brand ambassadors who convey a positive image of the company and encourage trust in potential customers.
- Emotionality: a loyalty program can engage clients and foster positive feelings in them.
- Upselling: last but not least, the strength of loyalty marketing lies in its ability to stimulate loyal customers to purchase new products from the company, even those at a premium price.
These are the general advantages. It’s important to note that each loyalty program brings with it a series of specific advantages, depending on the context.
Activating a Loyalty Program with Epipoli: our strategy
For the client, creating a Loyalty Program with the Epipoli team means choosing a customized solution based on their needs, along with a thorough consultation that includes:
- Concept definition
- Technology and dedicated platforms
- Legal advice and regulations
- Data analysis and modelling, both Small Data and Big Data
- Awards that can be comprised of the group’s Gift Cards, historically one of the most loved prizes among Italian consumers
- Customer care
For more information:
Loyalty program: what are the benefits of Gift Cards in the prizes catalogue
That’s not all: Epipoli makes it possible for companies that with a loyalty program to reward their customers with major brand Gift Cards.
Gift cards are, in fact, the perfect gift for this kind of operation, as they allow choices from among a wide range of gifts, such as fashion and travel, by way of technology, letting each loyalty card holder to freely choose the object of his or her desire from a much wider range.
Loyalty Programs in Italy: why choose Epipoli
Epipoli Group relies on fintech services for its engagement and, thanks to the modular and flexible HighWays proprietary platform, is able to satisfy all customer needs. In this way, clients receive tailor-made projects from a team who handles everything from consultation to implementation.
For information, consultation, and quotes: