10 Loyalty Marketing Ideas That Can Work Like Magic For Your Business

10 Loyalty Marketing Ideas That Can Work Like Magic For Your Business

Loyalty marketing ideas can transform your business by bringing in more sales, revenue, and ardent customers that vouch for your brand.


You just need to grab the idea, turn it into a customer loyalty program, and launch it to engage your existing customers.

However, if you haven’t implemented any till now or don’t know how to go about it, this post will help you out. Here, we discuss ten loyalty marketing ideas that can transform the way you provide value to your customers.

But before that, let’s discover what customer loyalty is all about and why it’s important for your business.

What Is Customer Loyalty?

Customer loyalty is when a person gives preference to a particular brand and engages with it frequently for various purposes, such as repeat purchases and delightful customer experiences.

It’s not only a factor that influences sales and revenue but also helps you in growing your business over the long-term. 

Why Is Customer Loyalty Important?

Since the introduction of the Starbucks Rewards program in 2009, around 16 million active members have reaped the benefits at Starbucks outlets, as of December 2018. Not only did this program bring in more sales, but it also delivered an enthralling user experience to loyal customers.

As evident by the example, customer loyalty is important for various reasons. The most crucial ones are:

  • Builds trust between brand and customers, resulting in more interactions and repeated transactions.
  • Increases customer lifetime value (CTV), which has a direct impact on sales and revenue.
  • Aids in brand advocacy wherein a customer speaks in favor of your brand, helping you with word-of-mouth (WOM) marketing.
  • Reduces costs associated with marketing, sales, and services as you’re engaging with existing customers, about whom you already know.


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10 Proven Loyal Marketing Ideas That You Should Consider For Your Business

When you know customer loyalty can prove significant for your business growth, you must put in efforts to engage and delight your existing customers by introducing a customer loyalty program.

These loyal marketing ideas will help you in creating a program that provides maximum benefits to your customers and generates a recurring revenue stream.

1. Start With Giveaways

The strategy works great if you are launching a new product or service or promoting any of your products to a different audience.

You can get in touch with your existing customers, as they happen to be your loyal clients. Contact them via email and social media and encourage them to avail of free giveaways for a limited time.

For example, Amazon India is offering a 90-day free trial to Prime members – contrary to its regular 30-day trial – if they sign up for Audible, an online audiobook offering from Amazon.

The members who sign up for the trial are likely to convert into paid customers. It’s a classic case of cross-selling to existing customers, solely based on customer loyalty.

2. Offer Free Extensions

Rewarding your existing customers by offering free add-ons is one of the most successful loyalty marketing ideas.

You can appreciate the relationship by either renewing their membership at a discount or extending their service period for a couple of months if they pay the annual subscription fee.

In terms of products, you can give them an additional unit of what they purchase or offer another product (maybe a new launch) to appreciate their loyalty.

For example, if you’re using GeneratePress Premium, a WordPress theme, and wish to renew it, you’ll get a 40 percent discount on the renewal fee. You can replicate this excellent strategy to retain your customers and enhance user experience.

3. Give Access To Premium Membership

The loyal customers who frequent your store are eligible for entry to the premium member club. In addition to feeling privileged, the new members of the club may gladly flaunt their latest accolade in their social circle.

This, in turn, will bring in more customers and sales for your business. The premium membership could offer additional discounts, personalized gifts, etc.

For example, Macy’s Star Rewards program offers extra discounts, free shipping, and other benefits to Macy’s credit card holders, categorized into different groups.

4. Launch Exclusive Offers

End-of-season and festival sales are great attractions for all types of buyers – whether new or existing. You can go a step further by introducing exclusive offers for loyal customers.

There’s a high probability that they’ll come to your store during these sales. When you offer additional value to them, they’ll purchase more and may also bring in hot prospects to your business.

For example, in addition to offering a flat 50 percent discount during summer sale, you can provide an extra 10 percent discount to existing customers or clients who’ve signed up for premium membership.

5. Provide Incentives In Exchange For Information

This strategy is one of the most-effective loyalty marketing ideas because it creates an impression in the customers’ minds that you value their opinion.

Moreover, gathering information from your customers in the form of feedback may provide valuable insights that can help you in various ways. The data can be about products or services used by your clients.

For example, it can be about problems that they are facing or any add-ons they’d like to see in the next product update. In exchange for information, you can offer an incentive, such as a discount coupon on their next purchase or a free one-month subscription.


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6. Give Free Access To Product Updates

If you are in the service business, mainly software and IT, you can offer free product upgrades to your existing customers. Since you’ll be updating your products regularly, you cannot ask your customers to pay time and again.

It hampers user experience and increases customer churn rate. Instead, whenever you release updates, offer them at no cost to your clients.

For example, most of the software businesses offer free updates as well as access to future product releases to privileged customers who’ve either opted for a premium membership or make frequent purchases.

The clients remain happy and satisfied because they’re using the latest, secure version of the product.

7. Send Personalized Gifts

Did you know the world celebrates 18th April as National Customer Appreciation Day? Indeed, it’s an important day, but you can reciprocate anytime by appreciating customers’ trust in you.

You can start delighting your clients by sending personalized gifts. It’s an excellent way to build customer loyalty since you make them feel special by connecting with them on special occasions.

For example, you can send personalized gifts to customers on their birthday anniversaries. It can be anything, from a birthday cake to a gift card to your brand’s merchandise.

You can also plan a networking event or an informal party wherein you can invite your customers. It’ll give you an opportunity to connect with them on a personal level.

8. Create A Partner Program

A partnership with another business is an innovative way to provide extra value to your customers at reasonable costs.

It’s a win-win situation for both the businesses because they get exposure to different sets of audiences and may even acquire potential high-paying customers.

While searching for partners, look out for the ones who operate in related niches. Their deliverables should complement your offerings.

For example, WeWork has partnered with various business and lifestyle service providers, mostly in hospitality and retail, to provide products and services at discounted prices.

9. Launch A Referral Program

Referral marketing, also known as word-of-mouth (WOM) marketing, is one of the most successful loyalty marketing ideas.

It works on the principle of peer-to-peer recommendations wherein a person shares a referral link with their friends, family, and colleagues. You can launch a referral program and ask your customers to share an invite link in exchange for incentives.

Have a look at the Airbnb invite program, for example. As a referrer, you’ll share a personal invite link via email or social network. When a referral makes an Airbnb purchase using your link, they’ll get discounts. You’ll also receive incentives in the form of credits for qualifying purchases.

10. Gamify Customer Experience

Everyone loves to play games because it’s engaging, challenging, addictive, and fun. If you can gamify the shopping experience for customers, you can expect an increase in engagement and conversions.

This does not have to be confined to shopping. You can also gamify the complete user interaction with your brand by integrating gaming elements into your services.

For example, Khan Academy distributes numerous types of badges to learners who have mastered a certain number of skills or completed specific tasks. Earning badges instills motivation in learners to keep marching forward and acquire new skills.

Similarly, you can also consider gamifying your business process to render an immersive user experience to customers.

In Conclusion

The paradigm of customer experience has changed drastically over the years. It’s no longer just about stellar after-sales service and support. You must come up with effective loyalty marketing ideas that will not only enhance customer experience but will also create new business opportunities for you.

Launch a customer loyalty program and watch sales and conversions soar higher than expectations.

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