How to drive customer loyalty
Customer Loyalty Software
What is customer loyalty software
Customer loyalty software includes any web-based tool designed to track and strengthen customer engagement following the point of purchase. Loyalty program software also includes customer loyalty software tools. These enable you to build and implement customer loyalty programs such as point systems, rewards, and gamification. Customer loyalty software and loyalty program software both create opportunities for streamlined customer data analysis. By utilizing both a loyalty program strategy and loyalty program software, you can get the data and insights your company needs to decrease customer churn and increase customer retention and profitability.
A customer loyalty program is an excellent way to retain loyal customers and increase sales. While some level of customer churn is unavoidable, it is profitable to continue focusing on customer retention. A customer loyalty program is a proven method to reduce customer churn and increase sales. In order to build a successful customer loyalty program, you’ll need both loyalty program software and a customer data platform (CDP). One way a loyalty program software can help reduce customer churn is by pinpointing customers at risk of leaving. By identifying customers at risk of leaving, customer loyalty program software can prompt retailers to implement a retention plan to convince customers to stay.
Customer retention plans work best when they are highly personalized. Retail businesses online and through storefronts handle thousands of customers. Creating customized experiences and building connections with all of them can be a real challenge. The best loyalty software tools, such as Lexer, will send all your data to one platform giving you an in-depth understanding of customer behaviors and how they engage with your brand or business.
Once the data is on the platform, Lexer features tools to segment your communication, making it more personalized. In addition, in-depth data analysis using customer loyalty program software allows you to measure critical customer retention metrics. Gaining visibility into these metrics and offering your customers a more personalized experience may significantly reduce church rates and increase customer retention.
Best loyalty software
Years ago, loyalty programs were associated with punch cards. Today, most loyalty programs are digitized. Through apps, social media, in-store, and eCommerce, customer loyalty programs prompt customers to enter personal information in exchange for special customer deals and customer care. This online connection is a company’s gateway to collecting valuable data from customer engagement. The goal is to use all this data to create a customer experience that is personalized and tailored to their specific needs as a customer. The best loyalty software will help brands take all the data collected and use it strategically to increase loyalty and decrease customer churn.
A cloud loyalty software solution helps businesses streamline their customer data into an easy-to-use hub where you can view unique customer insights. More than loyalty points software, it is critical to use a customer data platform (CDP) such as Lexer. Lexer helps retailers understand each customer through rich sources of individual customer data showing interactions online and offline.
This includes engagements with marketing campaigns. Lexer also makes creating target segments easy by analyzing the data collected and helping you send the right offers to the right people. Another significant way Lexer’s cloud loyalty software implements the latest techniques in customer loyalty is through omnichannel. Omnichannel is a seamless integration of customer experiences timed and executed for each customer segment across all contact channels. Lexer works for all retailers, those with loyalty programs in place, and those who don’t have any loyalty programs at all. Our system takes existing data and uses it to help retailers create personalized, targeted campaigns designed to increase customer loyalty and decrease customer churn.
How to track loyalty program
Today, customer loyalty goes beyond consistent purchases and reaches into engagement across social media channels and various online platforms. Customer engagement does not always result in a purchase but may still indicate customer loyalty. Where a physical loyalty card or points-based system works to track customer loyalty through purchases, the question becomes how to track a loyalty program involving all customer engagement. Retailers are innovating loyalty tracking through loyalty program apps that are not store-specific. Some of the best loyalty apps include Yotpo, Shopkick, and Belly by Mobivity.
These apps allow customers to earn points for purchases and non-purchases by interacting with retailers and products. Some innovative customer loyalty apps, like Five Stars, are purchase-based, although not store-specific. With customer loyalty apps like Five Starts, customers can earn points, discounts, and rewards by entering a phone number or email at the register using a physical device located at the counter. Loyalty program apps like these help collect valuable information about your customers and their behaviors.
These customer loyalty apps collect data. Retailers then must understand what to do with the data. That is where customer loyalty software and custom data platforms come into play for retailers today. Customer data platforms will allow you to streamline all the collected customer data, analyze it and create personalized, well-timed campaigns for your customers. For example, instead of generic emails, customer loyalty software will help you develop a strategy that works for you to increase loyal customers and decrease customer churn. The best customer loyalty software will alert you to customers you may lose, allowing you to proactively connect with them based on their past interactions with your business.
To have sustainable growth, retailers must create customer loyalty. Customer loyalty increases profitability through consistent purchases and customer preferences. Loyalty and retention are two different things. Developing customer loyalty is the goal. Using a customer loyalty program is a proven method. Loyalty management is vital to decrease inevitable customer churn. Loyalty goes beyond products and services. A general rewards program can be highly effective. However, the best loyalty programs offer personalized engagement opportunities between the retailer and customer. A well-developed loyalty program combined with innovative loyalty management can attract new customers, re-engage dormant customers, develop loyalty in existing customers and encourage all customers to spend more.
The best customer loyalty programs have a strategy for member acquisition, branded customer service, personalized communications and marketing, a mix of benefits and rewards, and continuous technology enhancements. Despite this, the best loyalty programs keep customers engaged through social media, in-store interactions, emails, and apps. A rewards program runs on customer engagement, both online and in person. With each engagement, data is collected, and what you do with that data matters. Loyalty management software helps retailers collect and understand customer data to develop the best customer loyalty programs. An intelligent loyalty management software will help you stand out from the spam emails and overabundance of ads people face every day. In addition, a personalized, targeted approach to creating more meaningful customer engagement using customer data and customer loyalty software is critical for developing a sustainable business today.
Loyalty platform providers
Digital loyalty programs require loyalty platform providers. Retailers must have an efficient way to collect and store pertinent customer data, track loyalty, offer rewards, and create a customer experience. There are many loyalty program providers to choose from, most of which are cloud-based software options. Several factors make a difference when deciding which loyalty platform providers to use for your business. The best digital loyalty programs help retailers attract new customers, retain existing customers, increase profitability and develop brand loyalty in the process. Brand loyalty refers to customer preference. It does not solely refer to customer purchases.
Loyalty platform providers vary in scalability, features, and technology. When selecting a loyalty platform provider, it is best to consider the strategy of your loyalty program and base it on current and projected technical requirements. A significant aspect of digital loyalty programs for retail businesses is data collection and analysis. When selecting a loyalty platform provider, security, simplicity, and effective data analysis are critical for creating the best digital loyalty program. In addition to rewards, discounts, and incentives for your customers, creating personalized engagement opportunities increases the potential for profitability and brand loyalty. Digital loyalty programs work through both purchase and non-purchase interactions. Finding loyalty platform providers that can utilize non-purchase engagement in your customer loyalty strategy is essential in today’s retail market. While non-purchase engagement may seem counterintuitive for profitability, it is critical for developing brand loyalty.
Loyalty program solution providers
Loyalty program solution providers offer loyalty management solutions for businesses. Loyalty management services include the tools, strategy, and approach by which a company attracts customers, engages, retains, and develops customer loyalty. The best loyalty program solution providers will help your brand reach your target audience and help you develop experiences, rewards, benefits, and overall positive connections that will result in long-term loyal engagement.
Top loyalty platforms offer customer data platform services to help streamline customer engagement data allowing retailers to understand and reach their customers on a more personal level. Customers are more likely to be loyal to a company that provides a relevant, tailored experience that matches their needs and behaviors. For example, your loyalty program solution provider should include all of your customer data, purchase and non-purchase interactions, and offer detailed analytics. Your customers should know you are obsessed with them, and they will become obsessed with your brand.
A top loyalty platform like Lexer helps businesses through quick, simple pre-built integrations that enable you to transform your data into a single customer view. Powered by artificial intelligence (AI), Lexer is an innovative platform offering loyalty program app features such as predictive analytics and surveys, providing valuable insight. This intelligent insight helps retailers increase their sustainability and relevance as a digital presence and in-store interactions. Lexer is leading the say as one of the top loyalty platforms for retailers today.
Click here to learn the top 15 reasons customers choose Lexer as their preferred CDP partner and vendor.
📄 Customer Data Platform (CDP)
📄 Customer Data Experience Platform
📄 Customer Intelligence Platform
📄 Omnichannel Customer Experience
📄 Customer Data Platform Architecture
📄 Customer Segmentation in Retail
📄 Single Customer View Benefits