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Retaining existing customers and making them come back is critical in driving business growth. That’s where loyalty programs come into play. These ingenious initiatives reward customers for their continued support and create a strong bond between businesses and their clientele.
In this article, we will unveil 13 brilliant customer loyalty programs that can give your business the boost it needs. From exclusive discounts and personalized offers to VIP treatment and experiential rewards, these programs have been carefully crafted to engage customers and foster brand loyalty.
So, let’s dive in and discover how you can create loyal customers who will keep returning for more.
Here are 13 brilliant customer loyalty programs and strategies that you can consider as an inspiration for your business:
1. Amazon Prime
When it comes to brilliant customer loyalty programs, one name stands out prominently: Amazon Prime. Renowned for its innovative customer loyalty approach, Amazon has created an all-inclusive membership program that keeps customers returning for more.
For a flat annual fee, Prime members enjoy a host of benefits, starting with unlimited free two-day shipping. But Amazon didn’t stop there. They’ve added enticing perks like their streaming service and exclusive Prime Day sales, making Prime membership an irresistible proposition.
The strategic move by Amazon is particularly significant given the fierce competition they face from rivals like Walmart. In a market where similar products are available through various retailers, Amazon has found a way to persuade customers to choose its platform exclusively.
2. The North Face
When it comes to fostering customer loyalty, The North Face has set the bar high with its brilliant customer loyalty program. A renowned apparel and outdoor gear retailer, it knows that loyal customers deserve rewards tailored to match their unique lifestyles. They’ve nailed it with their VIPeak program.
With VIPeak, customers traditionally earn points—on every purchase. But The North Face takes it a step further by offering additional avenues for point accumulation. These include attending their events, checking in at specific locations, and downloading The North Face app. The flexibility allows customers to accumulate points faster and in more exciting ways.
3. TOMS One for One
With their One for One program, TOMS has harnessed the power of customer loyalty to create a meaningful global impact. Unlike typical loyalty programs, TOMS doesn’t rely on loyalty cards or offer rewards for every purchase. Instead, they tap into their customers’ values and sense of worth through their brilliant customer loyalty program.
Customers earn a non-monetary incentive with each purchase—the opportunity to create change. TOMS accomplishes this through initiatives like their One for One Shoe donation program and profit-sharing with causes like the Wildlife Conservation Society. TOMS’ loyalty program defies expectations with its profound effectiveness.
4. Plenti Rewards
American Express introduced Plenti Rewards to streamline customer loyalty and deliver added value. The brilliant customer loyalty program aims to simplify the loyalty experience while expanding the opportunities for earning and redeeming points.
Plenti Rewards leverages partnerships with diverse brands across industries, including gas stations and grocery stores. Customers can earn rewards from various partner brands with just one loyalty card. What sets Plenti apart is that these loyalty points are pooled together. It allows customers to redeem their points at any participating partner, regardless of where they earned them.
5. REI Co-op
In a world where marketing initiatives often aim to persuade us to spend more money, the most brilliant customer loyalty programs take a different approach. They prioritize creating genuine value for customers. REI Co-op exemplifies this philosophy by grounding its loyalty program as a customer-owned cooperative in the company’s roots.
For a mere $20, customers can become lifetime Co-op members at REI. The membership unlocks many benefits, including 10% back on all purchases and exclusive discounts on adventure classes and experiences. REI’s loyalty program brings the focus back to the customer. It acknowledges their importance and rewards them accordingly.
6. Tarte <3 Rewards
When it comes to the beauty industry, Tarte Cosmetics knows that customer engagement goes beyond just making purchases. That’s why they turned to their brilliant customer loyalty program as a powerful tool to boost social media engagement and user-generated content.
Recognizing the growing influence of user-generated content in the beauty industry, Tarte capitalizes on this trend by incentivizing customers to become brand advocates. Their loyalty program rewards customers for posting selfies with Tarte products, writing online reviews, and creating video tutorials. By doing so, Tarte transforms their customers into active participants in building brand awareness and authority.
7. Starbucks Rewards
When Starbucks introduced My Starbucks Rewards through its mobile app, it revolutionized how retailers approached loyalty programs. Running their program through the app allowed Starbucks to make it incredibly convenient for customers. There were no more worries about forgetting or losing punch cards and no sign-in hassles.
Customers need to pay using their app to earn loyalty points, or “stars,” as Starbucks calls them. The centralized approach to customer transactions provides Starbucks with a treasure trove of customer preferences and behavior data.
Shepherding customers towards their app allows Starbucks to gain valuable insights into go-to drink orders and customer lifetime value. With this wealth of information, Starbucks can offer more relevant perks and tailored communications to its customers.
8. Sephora Beauty Insider
Sephora’s Beauty Insider rewards program has garnered immense popularity. The program operates on a traditional point system, where customers earn rewards with each purchase. However, what sets Beauty Insider apart is its innovative approach. It allows members to choose how they want to use their reward points.
Price can often be a barrier for many Sephora customers, as their products are not known for being inexpensive. To address this, Beauty Insider members can redeem their reward points for options like gift cards and discounts. The flexibility helps offset purchase prices without compromising the value of the products. Moreover, loyalty members can redeem points for limited-edition products or in-store beauty tutorials.
9. DSW
Designer Shoe Warehouse (DSW) has established a brilliant customer loyalty program. It rewards customers for each purchase. The program offers various tiers of rewards that unlock as customers spend more. However, what sets their program apart is its seamless integration. Gone are the days of punch cards and manual tracking. DSW’s online system effortlessly recognizes customers by their names and phone numbers.
DSW’s approach demonstrates the importance of ongoing engagement and communication in loyalty programs. Even with a seamless system in place, it is crucial to consistently remind customers of the benefits they can attain by being loyal to your brand. So, if you’re implementing a loyalty program, create a strategy for customer engagement and stay proactive in reminding them of the rewards they can enjoy.
10. Barnes & Noble
While many brilliant customer loyalty programs on this list are free, Barnes & Noble takes a different approach with their loyalty program. It’s a paid program. Customers pay an annual fee of $25 to become a VIP member and join this exclusive program. The success of a program like this heavily relies on effective marketing to the existing customer base.
If your brand doesn’t have widespread recognition, it’s crucial to focus on engaging your current customers. Concentrate your efforts on showcasing the value and benefits they can enjoy as VIP members. The approach ensures that your loyal customer base feels incentivized to invest in the program.
11. The Body Shop
The Body Shop showcases how brilliant customer loyalty programs don’t have to revolve solely around discounts. Their loyalty program stands out by intertwining a cause close to their customers’ hearts—animal welfare.
Incorporating animal welfare as a core element of their program allows The Body Shop to successfully foster stronger relationships with their customers. The unique approach provides mutual value. It enables customers to support a cause they believe in while enjoying the benefits of a loyalty program.
12. E.l.f
E.l.f, the cosmetic brand, has implemented a brilliant customer loyalty program. The tiered loyalty system revolves around levels of customer loyalty. The approach ensures that the more loyal customers are, the greater their rewards become based on their purchasing behavior.
Introducing tiers in your loyalty program can effectively keep customers engaged and maintain your brand at the forefront of their minds. By incorporating gamification elements, such as advancing to higher levels, customers are motivated to continue “playing” or making purchases. It unlocks additional benefits and rewards for them along the way.
13. Marriott
Marriott’s brilliant customer loyalty program goes beyond traditional rewards by offering members many enticing perks. It includes everything from redeeming points for complimentary hotel nights and dining experiences to earning points through car rentals and flights. The program ensures members enjoy a host of exclusive privileges.
Marriott’s ability to analyze customer behavior and leverage that data to enhance the guest experience sets it apart. Understanding each customer’s preferences allows Marriott to create personalized rewards and tailor their offerings. The customized approach ensures guests feel valued and receive a memorable stay.
At Giift, we understand the importance of customer retention and offer proven corporate loyalty program solutions that can help you achieve your business goals. Our expertise is helping you retain your existing customers, reduce acquisition costs, and boost customer lifetime value.
Implementing a tailored loyalty program will help you give your customers incentives that keep them engaged and loyal to your brand. It will strengthen their connection with your business and encourage them to choose you over competitors.
Our loyalty experts are ready to assist you in designing a loyalty program that resonates with your target audience. Contact our loyalty experts today to discuss your loyalty program needs and unlock the full potential of customer retention.
