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2 min read

What is a loyalty program?

In most stores and businesses, it is much more expensive (up to 5 times more expensive) to get new customers than to sell to customers who already know and have bought from the brand. However, it does not stop there, as it benefits by increasing the closing rate of sales and customer readiness to significantly high levels. Due to these reasons, as time zone and availability is at the center of focus revolving around the client being formed, a loyalty approach within our strategy is of utmost importance and can have a great impact on our finances. 

What is it? 

Going into concepts, if we want to define loyalty strategies, something highly successful is to understand well the client's pain points and relief, to always be on the lookout for rewards. Loyalty marketing is a strategy built around the growth and retention of existing customers through incentives such as gifts, discounts, and / or exclusive access. Loyalty marketing efforts are designed to build brand trust, rewarding customers for their continued commitment and loyalty to the business. 

 Customer loyalty also fosters a strong sense of trust between your brand and customers. When customers decide to return to your company frequently, the value they get from the relationship outweighs the potential benefits they would get from one of your competitors. By obtaining value that increasingly surpasses competitors, our client will feel more confident purchase after purchase, eliminating other brands in the industry or niche from their "top of mind". 

>> How, why, and when to implement a loyalty plan! <<


 Now, how can you establish that loyalty program? Is giving a frequent customer card enough? There are multiple ways to execute a loyalty strategy. However, like everything in business, it is impossible to say which is the best loyalty strategy without knowing your company, its size, the type of processes it uses, but, above all, it is impossible to recommend a specific strategy if it is not known. the customer we want to retain (Buyer Persona) and what is their purchasing process (Customer Journey). It is always necessary to start there, once that is clear, you can begin to draw the strategy. 


As this is a more introductory blog, we're not going to get into the topic here, but a strategy-driven ecommerce loyalty program can build a dedicated community around your brand, helping you stand out in the following ways: 

  • Increase information in customer profiling to generate richer data and drive other marketing activities, such as personalization. 
  • A redefined checkout process, to make online shopping feel smooth and easy to follow. 
  • Experiential rewards and VIP benefits, to increase the customer's Customer Lifetime Value. 


It is no secret to anyone that customer retention becomes more difficult day by day. Customers are not only two clicks away to enter a competitor's site, but they also last less than 10 seconds in the change process, so it is not easy to try to retain them, so the prospect of mobilizing And activating your loyal customers to recruit new ones, simply evangelizing a brand, should excite salespeople and managers to pay more attention to the issue. 

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