Many brands have realized that it is easier to build customer loyalty than to attract new customers. It is very important to remember that a satisfied customer can speak well of your brand and thereby attract more customers. Customer loyalty is the most important factors to your overall success.

What is a customer loyalty plan?

It is a marketing strategy that a company establishes with the aim of rewarding the purchasing behaviour of their customers, resulting in customer loyalty and a reciprocal sense of loyalty towards the company.

Customer loyalty plan provides access to discounts, premiums and other benefits that strengthen customer engagement with your brand.

Benefits of a customer loyalty plan

A plan to build customer loyalty requires resources and time. With this type of plan your company will get;

Company growth. Loyal customers tend to buy more and attract other customers, allowing your business to grow and expand.

Increased revenue. As a result of growth in your base, your income will also increase. Generally it is more expensive to develop campaigns to attract new customers rather than implementing a simple customer loyalty plan.

Improving your online reputation. As mentioned above a satisfied customer will speak well of your brand – that is something that will improve your online reputation.

How to develop a customer loyalty plan?

To develop a plan to keep your customers loyal, follow these 3 simple steps:

1. Prepare a database of customers

You can do it with using a CRM program to filter your customers. This will allow you to integrate and perform marketing campaigns aimed for a specific target audience. Not all customers require the same level of loyalty actions, so be aware that you customize your brand.

2. Establish specific objectives

The first question you should ask yourself is what are you aiming to achieve? In order to answer this question it is important to see how is your customer loyalty based. Is it based on the quality of your products, your affordable prices or your outstanding customer service? Think of very defined business objectives.

3. Find your type of plan.

This step is to find the right type of plan for your company and identify specific objectives that you aim to achieve. There are many possibilities you can include in your loyalty plans:

• Discount coupon programs.
• Preferential treatment for your best customers.
• Accumulating points for your future purchases.
• Creating events to bring up links with your brand.
• Social corporate responsibility.

Set the frequency of your plan

Once you chosen the type of your loyalty plan, it is important to establish the frequency with which you will perform the chosen actions and communication tools you will use.