Our Marketing Director shares actionable ways online retailers can
drive customer loyalty and brand advocacy
Miruna Sfat
Marketing Director
We’ve seen more online retailers invest in digital marketing activities to drive more customer engagement and loyalty in recent years (including some big brands bringing back loyalty schemes), not just to strengthen their retention strategy, but also to bolster their acquisition by turning loyal customers into brand advocates.
This has become increasingly important as consumers have had to contend with tougher economic conditions, and brands have seen stiffer competition overall, meaning loyalty can be a key way of delivering added value for customers and therefore, a key factor behind purchase decisions.
But how can online retailers increase customer loyalty? An obvious way is by implementing a loyalty scheme, with brands who consider not just monetary incentives, but other ways of delivering value for their customers seeing good results. This can be done, for example, by providing early access to new products for VIP customers or having loyalty-specific promotions including discounts, free delivery, gifts for special occasions, as well as the ability to purchase certain products using points.
"Implementing a solution which has good functionality and relevant features can help not just launch a loyalty and referral scheme, but effectively turn it into a powerful marketing tool on an ongoing basis."
Miruna Sfat, Marketing Director at Williams Commerce
Having a referral element within the loyalty programme is important too as this will help with acquiring new customers, and rewarding existing ones who recommend your brand.
Implementing a solution which has good functionality and relevant features can help not just launch a loyalty and referral scheme, but effectively turn it into a powerful marketing tool on an ongoing basis. This includes the ability to integrate it with email marketing activity, have loyalty-specific promotions such as earning more points for a limited time on certain product ranges or earning points by engaging in different activities beyond purchases, such as leaving reviews or engaging with a brand on social media.
One thing online retailers should be mindful of though when it comes to loyalty is that whilst it can be a very effective marketing tool, it’s important to have a strategic approach which tailors the way customers can engage with it, to drive the most value for both the brand and the users. Once a loyalty programme is out in the open, it can be hard to make significant changes and removing it may have a negative impact, so having a well-thought out strategy before launch is the key to success.