4 Ways to Reward Loyal Customers

Many businesses spend a lot of time and money acquiring new customers. While that is important, they shouldn’t forget those who have already supported them. Some apartment complexes knock off a couple hundred bucks from the rent for new tenants to lure them in. In contrast, they increase the rent for existing tenants nearly every year. It almost feels like old tenants are penalized for having been loyal.

Instead, companies should have a two-pronged approach. They should expand to new markets and attract more clientele. However, not at the expense of making their existing customers feel left out. Here are some proactive steps your business can take to reward loyal customers.

4 Ways to Reward Loyal Customers Effectively

1. Make Life Easier

If a business can solve a problem, it can make a customer happy. Nearly everyone complains about not having enough time. If you can make people’s lives easier, you can make it worth their time to patronize your business. For instance, if people complain they don’t have time to go to the mall to try on clothes, suggest items to them based on their online order history.

Amazon does a great job with this. If someone has ordered modest, long dresses in large for fall, they will automatically suggest large, modest, long sweaters in large for winter. Once customers see apt suggestions pop up while they browse, it feels like one less thing to search for. By offering personalized recommendations, you’re helping current clients.

You can use predictive analytics like this ‍to improve your relationship with potential customers as well. Sending a mass email to everyone who has visited your website recently is inefficient and not likely to yield many conversions. A far better option is to send personalized emails to predictive audiences. This approach allows your business to engage with customers more proactively. By targeting those who have shown interest in specific products or categories, you increase the chances of conversion and build a stronger connection.

2. Save Money

Close friends also help you get the best deals. Encourage loyal customers to enroll in your VIP club. Not only do they get to feel important, but you also get more opportunities to suggest items to them. Keep the process super simple. No one wants to enter their ancestry at checkout. Just an email or cell phone number should be enough for them to sign up. Once you have that information, send them a welcome message, and share the perks they get for being in this club.

While everyone likes to feel valued by a brand, they like it even more to save money. Fancy marketing materials and cute emails are OK to a point. However, the Target Red Card saves you 5% each time you use it. It seems like a great deal, and there are no coupon codes to remember.

During holidays and promotions, give your customers more opportunities to save money if they spend more. Some airlines do this with tiered benefits. Their most frequent fliers may be part of the diamond level and get free business-class upgrades. Their lowest tier may get one free carry-on bag. Having these tiers entices customers to rack enough miles to get to the point where they can be bumped up to enjoy better perks.

3. Insider Access

Some luxury items do not go on sale, but they still have loyal customers. You can proactively entice customers by giving them exclusive access instead of monetary savings. Perhaps some designer shoes are launched right before Christmas each year. Your VIP list can have insider access to pre-order those shoes at Thanksgiving. This way they can secure the goods beforehand because they have purchased at your store for several years or spent a good amount of money there.

This strategy can also work well for non-luxury items. If you have a limited line of kid’s pajamas, have your loyal customers get first dibs. If they sell out in hours, you can perhaps order more. Freebies are another way to reward loyal customers. Throwing in some extra stickers or samples is the least you can do for people who choose to return to your store or site.

4. Stay Consistent

While appreciating your customers is crucial, you also must do your job to keep the quality consistent. You don’t want to impress someone with the most decadent chocolate chip cookies once, and then compromise on the ingredients. Don’t cut corners and get cheaper quality butter and cocoa.

The same goes for customer service. Once you’ve acquired the customer, don’t have different phone extensions for existing patients and new patients and the dentist’s office. You don’t want callers to feel new customer calls are answered before existing patients. It should ideally be the other way around. An existing patient may have a serious issue they are calling about. New patients will just be making appointments. Loyal clients should be given priority if they have had treatments done at your office.

Loyal customers can be your best brand ambassadors. When a model on TV says this cereal is great, you take it with a grain of salt because you know they are paid actors. They have no choice but to say this is the best. However, if a trusted friend who also has a picky eater suggests it, you will tend to believe them more. You know they aren’t paid to say this. Since your loyal clientele can help you get more customers, always try to give them some special treatment. It will pay off with happier existing customers — and lots of new ones too.