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From Feedback to Rewards: How to Build a Loyalty Program that Resonates with Your Audience

Learn how to build a loyalty program that puts your audience first. We also discuss strategies for creating a customer experience that secures repeat...

Francesca Nicasio

Content Strategy Manager

Fact: Loyal customers are some of your most reliable income sources during uncertain times. 

We can see this in action in some of the top brands in the market.

Starbucks, for example, was one of the companies that quickly recovered after the Great Recession. Despite the economic downturn, Starbucks continued to invest in its loyalty program, enhancing its value proposition by offering free refills, free Wi-Fi, and special offers.

Or consider Sephora, which launched its rewards program, Beauty Insider, in 2007, and has since expanded and diversified the program to include personalized offers, exclusive events, and early access to new products. Today, the majority of Sephora’s sales come from Beauty Insider members

All this to say that rewards and loyalty programs can unlock lasting customer retention and revenue.

But there’s a catch: you’ll only achieve these benefits if your loyalty program stands out in an increasingly competitive landscape. 

In today’s crowded market, consumers are bombarded with them left and right. That’s why we’re big believers in customization—tailoring your program to meet your target audience’s preferences and needs.

In this article, you’ll learn how to build a loyalty program that puts your audience first. We also discuss strategies for creating a rewarding customer experience that secures repeat business.

 


 

Importance of customer insights in developing notable loyalty programs


Guesswork often influences strategies when developing loyalty programs. So before proceeding to launching or overhauling your loyalty program, make it a point to challenge your views.

Start with a hypothesis. Let’s say you assume your customers are motivated by discounts. Consider the variables that made you think this way. Is it based on sales performance? 

Next, look at your data and analyze your sales trends. What impact do discounts really have on your sales?

Maybe you discover that discounts do work, but not as much as they used to. Poring over customer insights may show you that many of your customers favor tangible freebies, such as complimentary samples.

In this instance, you may need to discard your original hypothesis. Markets adapt, and customer preferences shift. Use your assumptions as a framework, but refer to actual insights as you tailor your loyalty program accordingly.


Loyalty expert Rory Moss talks about getting data & survey results to customize your loyalty program and appeal to higher value customers.

 

Benefits of insight-driven customer loyalty programs

 

Learning to fine-tune your customer loyalty programs directly translates to concrete benefits for your business. These include.

  • Higher customer engagement. By basing loyalty programs on real insights, you can design initiatives that resonate with your customer base. They’ll feel a deeper connection with the tailored rewards and incentives. The more relevant you are, the better your customer relationships will be.
  • Better resource allocation. Insight-driven loyalty programs help your marketing team manage resources. You’ll avoid spending on generic incentives that may not align with customer expectations. Instead, you can direct the resources toward more enticing initiatives, maximizing the loyalty program’s long-term impact.

Customer insights ensure program success with strategic implementation. Here’s how to leverage this data to build customer loyalty programs that stand out and connect with your target demographic.

 

6 steps to develop a successful customer loyalty program

 

From getting customers on board to measuring performance, launching and managing loyalty programs take work. Follow these 6 steps below to start and gradually increase signups and engagement levels.

1. Conduct customer interviews

 

Shoppers stay loyal to brands that understand them. To get to know your customer base, conduct direct surveys and interviews. Talk to a sample of 10 to 20 customers in person or on the phone, varying between regulars and one time/new customers.

Regulars are the most engaged audience with repeat purchases. Use the interview to identify what they want from a loyalty program. 

One-time/new customers are not as engaged–at least not yet. Take the interview as an opportunity to learn their preferred incentives, offers, or experiences to keep them coming back

Keep the questions consistent across both groups to get a well-rounded perspective. Here’s a set of potential questions you can ask these individuals. 

  • How often do you purchase from our store?
  • On a scale of 1 to 10, how likely are you to participate in our loyalty program?
  • What types of rewards or perks would motivate you to join the program? (e.g., discounts, freebies, cashback promos, special offers, exclusive event access, early access to sales)
  • How important is it for you to feel valued and rewarded for your loyalty to us?
  • Do you prefer tiered membership systems or ​​points-based loyalty programs? (i.e., point-based voucher amount vs. bronze, silver, and gold tiers with more valuable rewards as you progress)
  • How likely will you recommend us to others if we offer reward/referral programs?
  • Are there any specific products or categories you’d like to see in the loyalty program rewards?
  • What communication channels do you prefer to receive loyalty program updates and offers? (e.g., email, SMS, social media, in-store notifications)
  • How do you typically redeem loyalty rewards or benefits? (e.g., online, in-store, mobile app)
  • Would you be more likely to participate if the program offered early access to new product releases or exclusive benefits?
  • Do you have any concerns or reservations about joining a loyalty membership program?
  • How likely will you continue shopping at our store with vs. without a loyalty program?
  • What additional features or benefits do you want to see in our loyalty program?

Regular and one-time shoppers have distinct preferences, motivations, and expectations. Engage with both ends of the spectrum to know what drives each group from a 360-degree standpoint. 

Pro-tip: Gather contact details, such as email addresses and phone numbers, should you require a follow-up.

2. Collate survey and feedback responses

 

You can also use surveys to get more quantitative data on your customers. The goal here is to organize and analyze customer feedback to identify recurring patterns. 

You can do it in a formal, informal, or a hybrid approach.

Formal surveys are recommended for large-scale operations. Here are the approaches to implementing this method for a more thorough understanding of survey responses.

  • Use advanced software to categorize feedback systematically. For instance, you can implement customer feedback management platforms that tag and sort responses based on common themes.
  • Statistical analysis. If you have the resources, consider applying statistical methods to identify patterns quantitatively. It involves frequency calculation of particular keywords or sentiments expressed by customers.

Informal surveys are best for small businesses with limited resources. They’re more qualitative in nature and require first-hand assessment to understand your customers. 

  • Manual review. Evaluate customer comments, emails, or survey responses. The goal is to absorb the qualitative aspects that may be overlooked in strictly quantitative analysis.
  • Key learnings. As you review feedback, jot down a few bullet points that summarize key learnings. These could be recurring themes, noteworthy suggestions, or significant areas of concern raised by customers.

You can also combine formal and informal approaches (hybrid) to maximize both methods’ strengths. Doing so balances qualitative findings with objective insights in a more accessible yet scalable manner.

3. Review and act on the data

 

Knowing what appeals to new and existing customers helps ensure your loyalty program aligns with your overall brand identity. It helps craft your Unique Value Proposition (UVP), which you can use to reinforce your brand message and create a cohesive experience across all touchpoints.

Review the preferences and needs you’ve discovered from feedback responses. Then be sure to offer customers enticing rewards to meet those needs. 

Take Amazon Prime’s paid loyalty program, for example. Industry data shows that 71.8% of its loyalty program members find the $99 annual pricing worth it for all the shipping, shopping, streaming, and reading perks. 

How does Amazon know this? Simple. The company actively creates, distributes, and collects online survey responses.

amazon prime example

Not many businesses have the same resources as Amazon. But it doesn’t mean you don’t have enough data to analyze in your hands. 

Sports retailer TennisGear actively observes their database to understand customer behavior. They grow and keep it accurate through complete visibility across their sales channels and prompts that reminds staff to update or add customer information.

Maintaining a continuous feedback loop with your customers is key to creating a loyalty program that resonates. Send out regular surveys or perform ongoing database analysis to stay current with changing preferences and market trends.

Additional tip: Look at review sites and Google Reviews to draw information about what customers might appreciate seeing more in your programs.

4. Design and optimize the program based on feedback

 

Now that you know your rewards and incentives, optimize your program’s structure and mechanics to incentivize customers to spend more. 

Choose between non-tiered and tiered programs. Non-tiered appeals to a broad audience, whereas a tiered point system suits a diverse customer base with varying spending levels.

Balance the program’s exclusivity and inclusivity if you opt for the latter. Introduce exclusive high-value perks for top-tier loyalty cardholders (e.g., premium rewards, VIP events) and accessible rewards for those in lower tiers (e.g., birthday discounts).

Lastly, decide if your customers prefer simple or gamified types of loyalty programs. Gamification adds interactive elements but often requires more resources in terms of design, development, and ongoing management. 

In Sephora’s Beauty Insider Challenges, for instance, members must first complete a series of tasks to earn rewards. Some tasks don’t involve a purchase but require active engagement. The first challenges include checking out online, picking up orders in-store, signing up for text alerts, and trying Sephora’s in-store shade-matching tool.

If you’re still testing the waters, a straightforward loyalty program can be equally lucrative. 

Melbourne-based fashion label ALPHA60 exemplifies this with a simple earn-and-redeem model: spend a thousand dollars, earn a thousand points, and receive a $50 voucher.

ALPHA60’s Brand Strategist, Kelvin, explained that ALPHA60 customers prefer simplicity. Just by understanding this tendency led to the brand enjoying a high repeat purchase rate.

Alpha60 earn options


Find what works best for your audience, and consistently seek feedback for future adjustments if needed.

 

5. Make communication personalized wherever possible

 

Before you roll out the loyalty program, establish customer-centric communication channels. Identify where they prefer to receive updates and redeem rewards. Do they prefer traditional in-store redemption like punch cards or through handy technology like an app or a digital card?

If customers raise concerns or suggestions, acknowledge and address these in your response. Show that you value their input and actively strive to improve their experience.

A one-size-fits-all approach in communication may alienate customers who seek tailored interactions. Don’t lose your regulars to more attentive competitors. Pay attention to customer behavior when launching or announcing loyalty program updates.

 

6. Choose technology to run the loyalty program

 

Invest in user-friendly technology to simplify the implementation process. It’ll help your staff to adjust fast, minimizing the learning curve and likelihood of errors.

Loyalty program software like Marsello features seamless integration with ecommerce and POS systems (e.g., Shopify, WooCommerce, Bigcommerce, and Lightspeed) to leverage data analytics.

Syncing in-store and online transactions generates insights to help you deliver consistent loyalty experiences. It’s a hands-off process you can leverage to offer custom-tailored promotions, point earning, and reward redemption across all platforms.

With the right tools, tracking your loyalty program’s performance becomes easy. Take note of the key metrics and indicators to measure in the next section.

How to Measure Your Program’s Success

 

Define key performance indicators (KPIs) that align with your goals to gauge initial success. Some KPIs to consider are customer retention, referral rates, average order values (including credit card transactions), and customer lifetime value. These metrics measure the program’s overall contribution to your revenue stream.

Tracking KPIs is more efficient with Marsello’s dashboards and automated reporting. These tools feature real-time updates with charts, graphs, and other visual elements to interpret complex data patterns. You can also set up predefined schedules to receive detailed reports.

scottys-makeup-and-beauty-insights-dashboard

Invest in technology to keep your efforts on track. Let your staff focus on refining your marketing strategy rather than spending significant hours on data gathering and reporting.

 

Streamlining Loyalty Programs with Marsello

 

The best customer loyalty program prioritizes the customer experience. So, rather than rushing to launch your rewards or loyalty program, take time to solicit shopper insights, analyze data, design a responsive program, personalize communication, and use technology wisely.

Loyalty programs shouldn’t remain static. Keep ongoing customer engagement by regularly evaluating and updating your program.

If you’re ready to reward customers on their next purchase, start with Marsello’s free trial. Build your loyalty program today while synchronizing your omnichannel strategy.

 


 

Join a community of 5,000+ retailers building sales with Marsello's customer loyalty software

 

Start free trial

 


 

Read more: 7 Steps To Building A Profitable Loyalty & Rewards Program

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    Recent Articles

    From Feedback to Rewards: How to Build a Loyalty Program that Resonates with Your Audience

    ClockIcon  READ
    Learn how to build a loyalty program that puts your audience first. We also discuss strategies for creating a customer experience that secures repeat...

    Fact: Loyal customers are some of your most reliable income sources during uncertain times. 

    We can see this in action in some of the top brands in the market.

    Starbucks, for example, was one of the companies that quickly recovered after the Great Recession. Despite the economic downturn, Starbucks continued to invest in its loyalty program, enhancing its value proposition by offering free refills, free Wi-Fi, and special offers.

    Or consider Sephora, which launched its rewards program, Beauty Insider, in 2007, and has since expanded and diversified the program to include personalized offers, exclusive events, and early access to new products. Today, the majority of Sephora’s sales come from Beauty Insider members

    All this to say that rewards and loyalty programs can unlock lasting customer retention and revenue.

    But there’s a catch: you’ll only achieve these benefits if your loyalty program stands out in an increasingly competitive landscape. 

    In today’s crowded market, consumers are bombarded with them left and right. That’s why we’re big believers in customization—tailoring your program to meet your target audience’s preferences and needs.

    In this article, you’ll learn how to build a loyalty program that puts your audience first. We also discuss strategies for creating a rewarding customer experience that secures repeat business.

     


     

    Importance of customer insights in developing notable loyalty programs


    Guesswork often influences strategies when developing loyalty programs. So before proceeding to launching or overhauling your loyalty program, make it a point to challenge your views.

    Start with a hypothesis. Let’s say you assume your customers are motivated by discounts. Consider the variables that made you think this way. Is it based on sales performance? 

    Next, look at your data and analyze your sales trends. What impact do discounts really have on your sales?

    Maybe you discover that discounts do work, but not as much as they used to. Poring over customer insights may show you that many of your customers favor tangible freebies, such as complimentary samples.

    In this instance, you may need to discard your original hypothesis. Markets adapt, and customer preferences shift. Use your assumptions as a framework, but refer to actual insights as you tailor your loyalty program accordingly.


    Loyalty expert Rory Moss talks about getting data & survey results to customize your loyalty program and appeal to higher value customers.

     

    Benefits of insight-driven customer loyalty programs

     

    Learning to fine-tune your customer loyalty programs directly translates to concrete benefits for your business. These include.

    • Higher customer engagement. By basing loyalty programs on real insights, you can design initiatives that resonate with your customer base. They’ll feel a deeper connection with the tailored rewards and incentives. The more relevant you are, the better your customer relationships will be.
    • Better resource allocation. Insight-driven loyalty programs help your marketing team manage resources. You’ll avoid spending on generic incentives that may not align with customer expectations. Instead, you can direct the resources toward more enticing initiatives, maximizing the loyalty program’s long-term impact.

    Customer insights ensure program success with strategic implementation. Here’s how to leverage this data to build customer loyalty programs that stand out and connect with your target demographic.

     

    6 steps to develop a successful customer loyalty program

     

    From getting customers on board to measuring performance, launching and managing loyalty programs take work. Follow these 6 steps below to start and gradually increase signups and engagement levels.

    1. Conduct customer interviews

     

    Shoppers stay loyal to brands that understand them. To get to know your customer base, conduct direct surveys and interviews. Talk to a sample of 10 to 20 customers in person or on the phone, varying between regulars and one time/new customers.

    Regulars are the most engaged audience with repeat purchases. Use the interview to identify what they want from a loyalty program. 

    One-time/new customers are not as engaged–at least not yet. Take the interview as an opportunity to learn their preferred incentives, offers, or experiences to keep them coming back

    Keep the questions consistent across both groups to get a well-rounded perspective. Here’s a set of potential questions you can ask these individuals. 

    • How often do you purchase from our store?
    • On a scale of 1 to 10, how likely are you to participate in our loyalty program?
    • What types of rewards or perks would motivate you to join the program? (e.g., discounts, freebies, cashback promos, special offers, exclusive event access, early access to sales)
    • How important is it for you to feel valued and rewarded for your loyalty to us?
    • Do you prefer tiered membership systems or ​​points-based loyalty programs? (i.e., point-based voucher amount vs. bronze, silver, and gold tiers with more valuable rewards as you progress)
    • How likely will you recommend us to others if we offer reward/referral programs?
    • Are there any specific products or categories you’d like to see in the loyalty program rewards?
    • What communication channels do you prefer to receive loyalty program updates and offers? (e.g., email, SMS, social media, in-store notifications)
    • How do you typically redeem loyalty rewards or benefits? (e.g., online, in-store, mobile app)
    • Would you be more likely to participate if the program offered early access to new product releases or exclusive benefits?
    • Do you have any concerns or reservations about joining a loyalty membership program?
    • How likely will you continue shopping at our store with vs. without a loyalty program?
    • What additional features or benefits do you want to see in our loyalty program?

    Regular and one-time shoppers have distinct preferences, motivations, and expectations. Engage with both ends of the spectrum to know what drives each group from a 360-degree standpoint. 

    Pro-tip: Gather contact details, such as email addresses and phone numbers, should you require a follow-up.

    2. Collate survey and feedback responses

     

    You can also use surveys to get more quantitative data on your customers. The goal here is to organize and analyze customer feedback to identify recurring patterns. 

    You can do it in a formal, informal, or a hybrid approach.

    Formal surveys are recommended for large-scale operations. Here are the approaches to implementing this method for a more thorough understanding of survey responses.

    • Use advanced software to categorize feedback systematically. For instance, you can implement customer feedback management platforms that tag and sort responses based on common themes.
    • Statistical analysis. If you have the resources, consider applying statistical methods to identify patterns quantitatively. It involves frequency calculation of particular keywords or sentiments expressed by customers.

    Informal surveys are best for small businesses with limited resources. They’re more qualitative in nature and require first-hand assessment to understand your customers. 

    • Manual review. Evaluate customer comments, emails, or survey responses. The goal is to absorb the qualitative aspects that may be overlooked in strictly quantitative analysis.
    • Key learnings. As you review feedback, jot down a few bullet points that summarize key learnings. These could be recurring themes, noteworthy suggestions, or significant areas of concern raised by customers.

    You can also combine formal and informal approaches (hybrid) to maximize both methods’ strengths. Doing so balances qualitative findings with objective insights in a more accessible yet scalable manner.

    3. Review and act on the data

     

    Knowing what appeals to new and existing customers helps ensure your loyalty program aligns with your overall brand identity. It helps craft your Unique Value Proposition (UVP), which you can use to reinforce your brand message and create a cohesive experience across all touchpoints.

    Review the preferences and needs you’ve discovered from feedback responses. Then be sure to offer customers enticing rewards to meet those needs. 

    Take Amazon Prime’s paid loyalty program, for example. Industry data shows that 71.8% of its loyalty program members find the $99 annual pricing worth it for all the shipping, shopping, streaming, and reading perks. 

    How does Amazon know this? Simple. The company actively creates, distributes, and collects online survey responses.

    amazon prime example

    Not many businesses have the same resources as Amazon. But it doesn’t mean you don’t have enough data to analyze in your hands. 

    Sports retailer TennisGear actively observes their database to understand customer behavior. They grow and keep it accurate through complete visibility across their sales channels and prompts that reminds staff to update or add customer information.

    Maintaining a continuous feedback loop with your customers is key to creating a loyalty program that resonates. Send out regular surveys or perform ongoing database analysis to stay current with changing preferences and market trends.

    Additional tip: Look at review sites and Google Reviews to draw information about what customers might appreciate seeing more in your programs.

    4. Design and optimize the program based on feedback

     

    Now that you know your rewards and incentives, optimize your program’s structure and mechanics to incentivize customers to spend more. 

    Choose between non-tiered and tiered programs. Non-tiered appeals to a broad audience, whereas a tiered point system suits a diverse customer base with varying spending levels.

    Balance the program’s exclusivity and inclusivity if you opt for the latter. Introduce exclusive high-value perks for top-tier loyalty cardholders (e.g., premium rewards, VIP events) and accessible rewards for those in lower tiers (e.g., birthday discounts).

    Lastly, decide if your customers prefer simple or gamified types of loyalty programs. Gamification adds interactive elements but often requires more resources in terms of design, development, and ongoing management. 

    In Sephora’s Beauty Insider Challenges, for instance, members must first complete a series of tasks to earn rewards. Some tasks don’t involve a purchase but require active engagement. The first challenges include checking out online, picking up orders in-store, signing up for text alerts, and trying Sephora’s in-store shade-matching tool.

    If you’re still testing the waters, a straightforward loyalty program can be equally lucrative. 

    Melbourne-based fashion label ALPHA60 exemplifies this with a simple earn-and-redeem model: spend a thousand dollars, earn a thousand points, and receive a $50 voucher.

    ALPHA60’s Brand Strategist, Kelvin, explained that ALPHA60 customers prefer simplicity. Just by understanding this tendency led to the brand enjoying a high repeat purchase rate.

    Alpha60 earn options


    Find what works best for your audience, and consistently seek feedback for future adjustments if needed.

     

    5. Make communication personalized wherever possible

     

    Before you roll out the loyalty program, establish customer-centric communication channels. Identify where they prefer to receive updates and redeem rewards. Do they prefer traditional in-store redemption like punch cards or through handy technology like an app or a digital card?

    If customers raise concerns or suggestions, acknowledge and address these in your response. Show that you value their input and actively strive to improve their experience.

    A one-size-fits-all approach in communication may alienate customers who seek tailored interactions. Don’t lose your regulars to more attentive competitors. Pay attention to customer behavior when launching or announcing loyalty program updates.

     

    6. Choose technology to run the loyalty program

     

    Invest in user-friendly technology to simplify the implementation process. It’ll help your staff to adjust fast, minimizing the learning curve and likelihood of errors.

    Loyalty program software like Marsello features seamless integration with ecommerce and POS systems (e.g., Shopify, WooCommerce, Bigcommerce, and Lightspeed) to leverage data analytics.

    Syncing in-store and online transactions generates insights to help you deliver consistent loyalty experiences. It’s a hands-off process you can leverage to offer custom-tailored promotions, point earning, and reward redemption across all platforms.

    With the right tools, tracking your loyalty program’s performance becomes easy. Take note of the key metrics and indicators to measure in the next section.

    How to Measure Your Program’s Success

     

    Define key performance indicators (KPIs) that align with your goals to gauge initial success. Some KPIs to consider are customer retention, referral rates, average order values (including credit card transactions), and customer lifetime value. These metrics measure the program’s overall contribution to your revenue stream.

    Tracking KPIs is more efficient with Marsello’s dashboards and automated reporting. These tools feature real-time updates with charts, graphs, and other visual elements to interpret complex data patterns. You can also set up predefined schedules to receive detailed reports.

    scottys-makeup-and-beauty-insights-dashboard

    Invest in technology to keep your efforts on track. Let your staff focus on refining your marketing strategy rather than spending significant hours on data gathering and reporting.

     

    Streamlining Loyalty Programs with Marsello

     

    The best customer loyalty program prioritizes the customer experience. So, rather than rushing to launch your rewards or loyalty program, take time to solicit shopper insights, analyze data, design a responsive program, personalize communication, and use technology wisely.

    Loyalty programs shouldn’t remain static. Keep ongoing customer engagement by regularly evaluating and updating your program.

    If you’re ready to reward customers on their next purchase, start with Marsello’s free trial. Build your loyalty program today while synchronizing your omnichannel strategy.

     


     

    Join a community of 5,000+ retailers building sales with Marsello's customer loyalty software

     

    Start free trial

     


     

    Read more: 7 Steps To Building A Profitable Loyalty & Rewards Program

    How to Create a Loyalty Program in 2024

    ClockIcon  READ
    Loyalty programs are essential for driving repeat sales and building brand loyalty. Here's how to create a loyalty program in 2024 (with examples).

    A well-designed loyalty program is the most powerful tool a retailer can have in their marketing arsenal. They offer you a way of engaging your audience, growing revenue, and ensuring your customers stick around for the long term.

    But, how do you create a great loyalty program? In this blog, we’ll dive into a few simple steps that can help you design and launch an effective loyalty program for your brand.

     

    What is a loyalty program, and why is it important?

    A loyalty program is a system that encourages customers to return by rewarding them with points and incentives for each purchase or interaction they have with your brand.

    A well-designed loyalty program goes beyond superficial benefits and genuinely enhances the customer experience. It gives your customers a reason to spend more and shop with you more frequently. The best part is that it can be automated to reward them for activity that grows your brand, like making a purchase, referring a friend, or sharing your profile on social media.

    These incentives not only keep your customers engaged but also help your business thrive, driving repeat purchases, winning new business, and cultivating long-term relationships with your brand. 

    loyalty-program-design

    How to Create a Loyalty Program in 2024

     

    Decide what you want to achieve with your loyalty program

    For most retailers, the ultimate goal of a loyalty program is to increase repeat business and promote activity that grows your customer base and brand, however, it's crucial to tailor your loyalty program to your specific needs.

    Here are some specific goals you might want to achieve with your loyalty program. Keep in mind that every business is different so it’s worth reflecting on what your overall business goals are.

    1. Increase customer retention: Perhaps your repeat purchases rate is low, and you don’t often see the same customers coming back.
    2. Build your customer database: Gather more valuable customer data to inform your marketing strategy and increase brand engagement.
    3. Generate more sales: Increase repeat purchases and provide customers with incentives to spend more per transaction with your brand.
    4. Word-of-mouth marketing: Encourage your customers to spread the word by offering incentives for referrals, growing your database, and increasing your brand awareness.
    5. Reduced marketing costs: 80% of all sales come from 20% of your customers, and it’s much cheaper to target your existing customers than to attract new ones.
    6. Competitive advantage: Stand out from your competition by adding value to your customer experience. Give customers a reason to choose your brand first.

    Remember, specific objectives will vary based on your business needs and market situation. It’s essential to define clear goals for your loyalty program so you can measure performance and know what works.

     

    Determine the type of loyalty program you want to launch

    There are many types of loyalty programs available to you, each with its benefits and tailored to different business models. Here are some common types:

    1. Points system for rewards: Customers earn points for every dollar they spend with your business, or for specific actions. These points can be redeemed for free products or other rewards.
    2. Tiered loyalty programs: Customers can progress through various tiers based on their level of engagement. The higher the tier, the more significant or exclusive the reward.
    3. Punch cards: Customers can receive punches or stamps for each purchase they make with you, with an exclusive reward or free product available after a certain amount.
    4. Community-based incentives: Customers can earn points of rewards for activities that grow your brand, like sharing your profile on social media, liking you on Facebook, or successfully referring their friends to your store.

    In 2024, we’ll see brands adopting a ‘hybrid’ loyalty program model combining various loyalty program types. The best loyalty software providers offer a range of customization options, helping you craft unique loyalty rewards that align with your business model and customers’ shopping habits.

    Design your loyalty program with Marsello
    Customize rewards, points, and VIP tiers to your liking and launch in seconds.

    Start free trial

     


     

    Creating your loyalty program

    Now that you’ve decided on what type of loyalty program you’ll launch, it’s time to dive into the creation process.

    In this example, we’re going to focus on a comprehensive loyalty program setup.

    But before you jump in, here are some key metrics you’ll need handy before you configure your reward settings.

    Know your margins!

    ... And how much you're willing to give away. Here are some helpful metrics to have on hand 👉

    Average purchase value

    First, identify how much your average customer spends when they purchase at your store. This metric is crucial as it serves as the foundation for determining the number of loyalty points you should offer to your customers.

     
    Average purchase frequency

    Knowing how often customers purchase from your store is a critical part of configuring your loyalty program.

    Say you decide to offer 1 point for every $1.00 spent and your first reward (in this case, 20% off) requires 250 points to unlock. That means a customer will need to spend $250 at your store before they can unlock this reward.

    While it might initially seem like a substantial amount, consider this: if your average purchase frequency is once a week, and your average purchase value is around $125, your typical customer will gain access to this reward within 2 weeks. If this is the case, your rewards system is probably too generous and may be eating away at your margins.

     
    Product margins

    When you’re configuring your rewards, it’s important to know your product margins. Platforms like Marsello allow you to choose between percentage and fixed discounts (i.e. $20 off), giving you more flexibility to reward your customers the way you want.

    Typically, we recommend using percentage-based rewards as they scale alongside your order total. Here’s why: If you opt for a fixed discount like $20 off, customers might find ways to abuse it, potentially impacting your profitability. Additionally, if your average purchase value is low, then customers may be forced to add to their cart to redeem the discount.

    Percentage-based rewards scale naturally with the order total, creating a fair balance between your customer’s expectations and your company’s wallet.

     

    Set up your points system

    Designing your points system is the first step toward a successful loyalty program. Loyalty points encourage customers to engage with your brand by rewarding them with loyalty program points for purchases and other activities. Customers’ points can then be redeemed for discounts, free products, or other rewards of your choosing.

    ways-to-earn-points

    Though there are countless ways for customers to earn loyalty points, here are some of the basic options:

    • Making a purchase: Customers earn points for every purchase they make at your store.

    💡 We recommend offering 1 point for every $1.00 spent to keep things simple.

    • Creating an account: Encourage customers to kick-start their earnings with points when they create a new account. This is a great way of increasing your customer database.
    • Completing their profile: Reward customers points for providing their personal details, like birthday, gender, and mobile number. This helps you build an information-rich database.
    • Say Happy Birthday: Personalize your loyalty experience by enabling the Happy Birthday points option. Surprise your customers on their special day.
    • Product reviews: Encourage customers to review your products.
    • Acting sustainably: Reward customers for acting sustainably. I.e. bringing a reusable shopping bag when they shop with you.
    • Liking on social media: Grow your social media following by gifting points to customers who engage with your brand online (Facebook, Instagram, and Twitter).
    • Sharing on social media: Incentivize customers to spread the word about your store.
    • Refer a friend: Kick-start your referral program by rewarding customers when their referred friend makes their first purchase.

    Alpha60 earn options

    Beauty in simplicity - How ALPHA60 keeps their loyalty
    program as simple as possible.

    "We try not to complicate it too much and add different things in, and that really works for us. I think it’s because it’s simple for people. It’s easy for customers to understand.”

    Kelvin, Brand Manager

    Read their story

     


    Configure your rewards and VIP tiers

    Now that your customers have the means to earn points, it’s time to map out your rewards ladder and VIP tier structure.

    When editing your rewards, it’s essential to strike a balance. If your rewards are too easy to unlock, customers may unlock them too quickly, leaving them with nothing to work towards. On the other hand, if you set the bar too high, customers might lose interest.

    The key is to establish a logical and well-structured progression that ensures customers feel like they’re advancing towards greater rewards with each interaction. This keeps them motivated and engaged throughout their journey with your brand.

    Rewards

    To illustrate, let’s take a look at a hypothetical brand, Opal Essence.

    At Opal Essence, members earn 1 point for every $1 spent at their store.

      • Average purchase value: $100.00
      • Average purchase frequency: 3 months

    The key to your rewards ladder is to make them realistic and attainable, without giving too much value away. For example:

      • 10% off - 200 points to redeem
      • 15% off - 400 points to redeem
      • 20% off - 600 points to redeem

    In this case, with customers spending an average of $100 per purchase, they would need to make two purchases to unlock their first reward. And so on… four purchases for the 15% discount, and six to unlock the 20% discount.

    This rewards setup creates a logical sense of progression for customers, making them feel like they’re working towards substantial perks with each visit to your store. Not only does it drive repeat sales, but it also fosters brand loyalty and increases customer lifetime value.

    While percentage-based discounts are the easiest to implement, there are various other reward options to choose from. Here are 5 common types of rewards:

    • Percentage (%) off rewards: storewide, on a specific item, or on specific collections
    • Fixed value ($) off rewards: storewide, on a specific item, or on specific collections
    • Free shipping
    • Free product(s)
    • Spend threshold rewards: Requires a minimum purchase value to redeem

    Learn more


     

    VIP Tiers

    A VIP program elevates your loyalty strategy by making your best customers feel special. With VIP tiers, you can offer additional benefits to those who reach higher tiers, such as exclusive rewards, free shipping, early access to sales, VIP events, and faster points earning.

    vip-tier-with-points-earning

    Consider how the VIP tiers align with your overall business strategy. For example, if you sell high-end fashion products and are launching a new collection, granting VIPs early access to new product lines creates an aura of exclusivity. This makes them feel like valued insiders.

    Here are some VIP perks ideas you could implement:

    • Faster points-earning: Silver Tier customers earn 2 points for every $1 spent, and Gold Tier customers earn 3 points for every $1 spent.
    • Exclusive rewards: Offer unique rewards to your VIP customers, making them feel valued and understood.
    • Blanket discounts: VIP tier customers enjoy ongoing discounts for every purchase they make from your store, such as 10% off.
    • Free shipping: Ship products out to your VIPs free of charge to thank them for their ongoing support. This makes them feel appreciated and encourages them to stick around.

    VIP tiers not only boost customer loyalty but also create loyal advocates who will spread the word about your brand.

    💡 Pro-tip: Utilizing VIP tiers and customer lists enables you to craft highly personalized email and SMS campaigns. Perhaps you’re hosting a VIP-only event, or want to offer exclusive styling services, VIP tiers, and segmentation lists can help you tailor your marketing to cater to your most loyal customers.

    Build your VIP program with Marsello
    Easily set up a tiered loyalty program, run points campaigns, and more.

    Start free trial

     

    Promote your loyalty program

    Before you enable your loyalty program, take a moment to review your settings and ensure that your points, rewards, and VIP tiers are configured correctly. This is the perfect time to revisit your business goals and check that your program aligns with your business strategy and overall direction.

    With your loyalty program ready to go live, it’s time to spread the word. Send a captivating loyalty program announcement email to share the exciting news with your customers. This announcement can serve as your invitation to customers, encouraging them to shop again and engage with your new loyalty program.

    💡 Pro-tip: To build excitement for your loyalty program, consider sending an email a few weeks before the official launch, teasing the upcoming loyalty perks and getting customers excited about what’s to come.

    loyalty-program-email-announcement-campaign-opal-essence

    Final words

    Loyalty programs aren’t just about giving away discounts; they’re a highly strategic tool that helps you drive repeat sales and build long-term relationships with your customers. Done right, a loyalty program fosters a community of loyal advocates, expanding your brand’s reach and ultimately increasing your bottom line.

    If you’re looking to create a loyalty program for your business, Marsello makes it easy to set up, launch, and promote your loyalty program with ease.

    Create your loyalty program with Marsello

    Book a demo


     

    Bonus tips

    Embrace an omnichannel approach

    Building a successful loyalty program begins with understanding your customers’ needs. An omnichannel loyalty program is one of the best ways to engage and reward your customers, no matter how they shop with you. Customer loyalty platforms like Marsello enable you to run your loyalty program seamlessly across both in-store and online channels, ensuring customers can access the benefits of your program, regardless of their shopping preferences.

    Learn more

    Measure your performance and optimize

    Remember, the job’s not finished once your loyalty program is live. By monitoring your loyalty reporting and customer activity, you can uncover insights to inform your future marketing and loyalty program optimization. Regular optimization will ensure that your loyalty program continues to evolve, providing the best experience for your customers.

    Have fun with it

    Creating a loyalty program can be an exciting journey that helps you understand and connect with your customers on a deeper level. It’s a chance to get creative and celebrate your brand’s unique selling points. So, while you’re planning your loyalty program, don’t forget to have fun with it.

    Good luck with your loyalty program creation!

    Next read:  How to create a points system for rewards

    Winning Black Friday 2023: Building Customer Loyalty that Lasts

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    You win a lot of new business over Black Friday, but do they stick around? Learn how to keep new customers coming back after the sales season.

    You win a lot of new business over Black Friday, but do they stick around? Black Friday isn't just about sales; it's a unique opportunity to build long-lasting customer relationships and strengthen brand loyalty.

    While the typical approach emphasizes short-term gains in the form of sales and revenue, this strategy falls short in fostering lasting loyalty beyond the holiday season. So, how can you transform Black Friday into a platform for building customer loyalty that endures?

     




    Quick links:

     


     

    Prioritizing Relationship-Building Over Discounting


    Black Friday presents an opportunity to engage customers on a deeper level. While many shoppers chase discounts, true brand loyalty goes beyond price reductions. Consider your own shopping habits – you likely have loyalty to brands that resonate with your values and engage with you through various channels. Brands that prioritize customer experience, for example, tend to have more committed customers.

    Building authentic relationships with your customers creates a defense against competition and discount-driven strategies, enabling your brand to thrive even in a volatile market.

    The 3 Types Of Black Friday Shoppers


    There are three types of customer who jump on a Black Friday sale. Some customers you’ll want to avoid entirely, while others will be left with a lasting, positive impression of your brand (and come back for more).

    1. Bargain Hunters


    These Black Friday shoppers are notorious for scoping out the best deals and discounts, rather than building long-lasting relationships with brands. They’ll look for the store with the best price on the products they’re looking for, and will happily choose Amazon over you.

    2. Loyal Regulars


    Your most loyal customers love keeping tabs on your sales so they can enjoy the odd discount. They’re shopping with you at most times of the year anyway, but sometimes there’s that item they couldn’t quite justify at full price and they’re elated to pick it up at 10% off. This segment will also typically purchase more items from you over sale periods than other segments.

    3. Brand Newcomers


    This is your ideal segment of new customers. These customers are first-time shoppers who discovered your brand because they spotted a sale, and were overjoyed by the product and brand experience. They loved what they found, and they are more than happy to sign up to your loyalty program or email list to hear from you more. Let’s take a closer look at the second two segments, and how you can maximize sales from each of them during (and after) Black Friday.

     

    Maximize Black Friday Sales To Your Regulars


    Black Friday is the perfect time to show your loyal customers some extra love. This shopping season, you can boost your sales by following a few key strategies. Let's dive into these tactics to make this Black Friday a memorable one for your loyal customer base.

    Black Friday email campaign

    Send more campaigns


    Send more emails and SMS messages—the normal marketing rules don’t apply. If you run a loyalty program, make sure you’re using your customer purchase data to send targeted discounts and offers where possible.

    Prepare your loyalty program


    There’s a lot you can do to add value over Black Friday beyond discounting. You can award more points per dollar spent, introduce exclusive seasonal rewards, or offer limited-time access to a higher loyalty tier.

    Give them special treatment


    Make your existing customers feel even more loved by giving them VIP or early-bird access to your sales. Alternatively, you can offer a kickstarter voucher as a bonus—an initial $10 off to stack onto their Black Friday discounts.

    Encourage them to share your sales


    Encourage your customers to let their friends know about your sales. Offer incentives for referrals. You can sweeten the deal by offering extra loyalty points or rewards for sharing over the Black Friday campaign period.

    Remind them of the value they earned


    Send frequent points balance emails to remind these customers of their rewards, reinforcing the value you delivered over the sales period. (This has the bonus effect of encouraging them to return and redeem their rewards!)

     

    Attract Newcomers Who Will Stick Around


    Over Black Friday, you’ll welcome newcomers into your customer base who have potential to become loyal supporters in the long run. Let’s explore some strategies to keep newcomers engaged beyond the sales season.

    Prepare your loyalty program


    Will Brand Newcomers get anything extra in your loyalty program if they sign up over Black Friday? Double or triple points for a Black Friday purchase perhaps? A 10% voucher on their next purchase? Make sure your offers are all set up, ready for your campaigns.

    Capture their details!


    Make sure you effectively communicate the benefits of joining your loyalty program to increase your customer attachment rate during the holiday season. This will grow your marketable database and help you retain them beyond Black Friday.

    Customer attachment rate: The percentage of your total sales that are linked to a customer profile. A higher customer attachment rate signifies superior data quality and enhances your ability to effectively market to your database.

    Encourage them to share their experience


    Promote active participation in your loyalty program and create opportunities for these customers to share their positive experiences with friends and family. Encourage them to refer new customers and reward them for doing so. This not only helps you acquire new customers but also solidifies the bond with your newly discovered audience.

    Ask for their feedback


    Asking for private customer feedback can reinforce positive interactions and help iron out any hard feelings. Customers who reciprocate by leaving feedback (good or bad) indicates a promising level of engagement, and can mitigate bad reviews.

     

    How Marsello Helps Merchants Sell More Over & After Black Friday


    Marsello merchants went over and above in Black Friday in 2022—running extra loyalty program incentives, rewarding customers for referring friends, and sending countless email and SMS campaigns. Over the Black Friday / Cyber Monday sales period, more than 2.6 million orders were placed by their loyal customers.


    Black Friday points campaign

    How do Marsello merchants set up for success?


    • A beauty retailer in the US sent a whopping 2-7 emails per day over the sales period, and made more than $350k in revenue Black Friday sales, with one email making over $26,000.
    • A food retailer in the US sends around 1 email per day over the BFCM period. Their points earned by customers triple in November and December each year compared to other months.

    Top tactics to retain and grow Black Friday customers

     

    • Points campaigns: To award more points per dollar spent over a particular time period or in a specified store
    • Tiered loyalty: To incentivize shoppers to unlock more valuable rewards and spend-to-points ratios
    • Prompts for staff at POS: Add reminders at point-of-sale so staff remember to add customers to each sale. Lightspeed users can do this with the Advanced Marketing add-on, powered by Marsello.
    • QR codes & digital membership cards: Help to increase customer attachment rates by making it easy for them to identify themselves at point-of-sale.
    • Referral programs: Make the most of the sales frenzy by offering referral incentives. Drive word-of-mouth and brand awareness from regulars, and let new shoppers know about the program too.

     


     

    Final Words

     

    Black Friday is undoubtedly a powerful tool for businesses to boost sales and revenue. However, its true potential goes beyond the short-lived excitement of discounts and one-time transactions.

    To truly harness the value of Black Friday, companies should shift their focus towards prioritizing relationship-building over discounting.

    While Bargain Hunters may provide a quick spike in sales during the holiday season, their loyalty tends to be fleeting. Instead, businesses should concentrate on cultivating relationships with Loyal Regulars and Brand Newcomers.

    Loyal Regulars, who already have a connection with your brand, can be nurtured further through personalized marketing efforts, VIP access, and special offers during Black Friday.

    On the other hand, Brand Newcomers, attracted by the sale, present an opportunity to convert them into long-term customers through effective communication, loyalty programs, and referral incentives.

     


     

    Read more: 7 Steps To Building A Profitable Loyalty & Rewards Program

    The Marsello & Klaviyo Integration: How Does it Work?

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    Marsello's integration with Klaviyo harnesses your in-store loyalty and order data to help you run more effective, personalized campaigns. Here's how it...

    Marsello has integrated with Klaviyo to create the ultimate customer marketing platform.

    In the fast-paced world of retail and eCommerce, one constant remains: your customers. However, in today’s highly competitive retail environment, customers are inundated with irrelevant promotional emails, making it harder than ever to cut through the clutter and get them shopping.

    By connecting Marsello to Klaviyo, you can harness your in-store loyalty and order data to create detailed segments and run more effective campaigns in Klaviyo.

    Let’s explore the integration in more detail.


     

    What is Klaviyo?

    Klaviyo is a unified customer marketing platform designed to help engage customers and drive sales with email campaigns, SMS, and more. It’s one of the few email marketing services designed specifically for eCommerce, and with an impressive database of over 110,000 paying customers, it’s no wonder brands choose Klaviyo to manage their campaigns.

    Here are a few benefits Klaviyo has to offer:

    • Segment your database using historical data and real-time behaviors for targeting
    • Build coupon codes for automated flows and campaigns
    • Use built-in templates and automated emails for simple workflow management
    • Accurate reporting and attribution for each campaign and channel

    Not using Klaviyo? Discover more about its features and benefits here

     


     

    What is the Klaviyo loyalty integration?

     

    The Marsello and Klaviyo integration combines Klaviyo's advanced email marketing features with Marsello's omnichannel loyalty software to create the ultimate marketing platform.

    Marsello’s point of sale data is the key factor here, syncing in-store loyalty and order data to Klaviyo customer profiles in real-time, empowering your team to personalize your marketing with the latest insights from both your eCommerce and POS channels.

    See Marsello and Klaviyo in action with your business
    Book a call with an expert to try Klaviyo and Marsello together.

    Book a demo

     


     

    Why connect Klaviyo to your Marsello account?

    Because Klaviyo does not integrate directly with POS systems, you’re only using a fraction of the customer data that’s available to you.

    When you integrate Marsello with Klaviyo, you can bridge the gap between your POS and eCommerce data, providing you with valuable insights into customer purchase history, spending behavior, and preferences. This connection enables you to centralize your customer data and create a more seamless omnichannel shopping experience.

    “We have many customers that shop with us in both channels and expect a seamless loyalty and marketing experience.”

    Hayley Greenstein, Managing Director at LEGO® Certified Stores

     


     

    How do Marsello and Klaviyo work together?

    Marsello's customer loyalty and order data gets synced to Klaviyo in real-time. This enriches Klaviyo customer profiles with omnichannel insights, enabling better segmentation for more effective, tailored marketing campaigns.

    Here’s what you can do with Marsello and Klaviyo connected:

    • Push customer properties to Klaviyo profiles: Sync customer properties into Klaviyo, enriching customer profiles with relevant data.
    • Sync customer events to your Klaviyo account: Use events to automate timely and targeted emails based on your customer shopping behavior, loyalty engagement, or feedback responses. These events are dynamic and sent to Klaviyo in as close to real-time as possible. Sync events like POS and eCommerce orders, loyalty activities, and feedback responses.
    • Sync your loyalty and order data into Klaviyo: Seamlessly transfer POS and eCommerce loyalty and order data to Klaviyo customer profiles in real time for a complete view of customer spending behaviors. Understand who your customers are, and how they like to shop.
    • Create omnichannel offers and coupon codes to use in Klaviyo campaigns: Generate omnichannel discount codes for your campaigns and automatically load them against specific customer profiles. Give customers the flexibility to redeem their coupons in-store or online.
    • Create more detailed customer segments for campaigns in Klaviyo: Utilize your in-store and online data to create targeted customer segments and workflows in Klaviyo. Harness your segments to run more personalized campaigns that go way beyond your VIP database.

     

     

     

    Diving deeper into event sets

    Best integrations for klaviyo - retail

    When you connect Marsello and Klaviyo, you unlock a treasure trove of valuable loyalty and order data such as purchase site, order total, product selections, and more.

    Let’s learn more about the specific data sets that get synced to your Klaviyo profiles.

    POS and eCommerce orders

    By syncing your POS and eCommerce order events into Klaviyo, you can create a 360-degree view of your customers’ spending behavior with your business. With this data, you can create targeted segments and automations based on in-store and online orders, enabling further personalization of your email marketing efforts.

    Loyalty activities

    Using Marsello’s loyalty program, you can encourage customers to return by rewarding them with loyalty points for each purchase they make. Sync loyalty events into Klaviyo to create custom segments and automations based on loyalty program engagement, then use customers’ loyalty profile information to further personalized your marketing efforts. For example, when a customer claims a coupon but hasn’t redeemed it, you could send a follow-up email that recommends products and encourages them to shop.

    Feedback responses

    Finally, using Marsello’s customer feedback features enable you to measure customer satisfaction with their shopping experience, helping you keep track of what you’re doing well and how you can improve. Sync feedback responses to Klaviyo to help measure customer sentiment. Create segments and automate follow-up emails to help nurture customer relationships with your brand.

    Learn how to use Marsello properties and events in Klaviyo

     


     

    How to connect Klaviyo to your Marsello account

    Now that you know how Marsello’s loyalty and order data can empower your email marketing campaigns, here's how to enable the Klaviyo integration within Marsello.

    In your Klaviyo account, you will need to generate a new API key with Full Access to Profiles. 

    To create an API in Klaviyo

    1. Navigate to API keys under your profile settings
    2. Enter “Marsello” as your Private API Key Name

    1. Under Select Access Level, select Full Access Key
    2. Click Create. This will generate your new API key.
    3. Copy this key and keep it ready to paste into your Marsello add-on settings.

    If you haven’t already created a Klaviyo account, you can do so here.

    How to enable the Klaviyo integration in Marsello

    1. First, log in to your Marsello account
    2. In your Marsello admin, navigate to Integrations > Add-ons
    3. Find Klaviyo in the list of add-ons and click Connect

    1. Under ‘Klaviyo API Key’ paste your Marsello API key, or follow these instructions to create one.

    1. Click Save. Your Marsello & Klaviyo accounts will now be connected.

     


     

    Final words

    Integrating Marsello and Klaviyo creates a more cohesive customer marketing experience, unlocking new levels of customer engagement, satisfaction, and loyalty.

    This powerful integration brings together the best of both platforms, combining Marsello’s in-store POS data with Klaviyo's advanced customer marketing tools to help you understand your customers and increase engagement with highly-personalized marketing campaigns.

    Now that you know how Marsello’s POS data can enrich your Klaviyo campaigns, it’s time to try it for yourself!

    See Marsello and Klaviyo in action with your business
    Book a call with an expert to try Klaviyo and Marsello together.

    Book a demo

     

    Next read: 5 Klaviyo Integrations Every Retailer Should Be Using

    How Mecca Built One Of The World’s Best Loyalty Programs

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    Do you ever look at loyalty programs like Mecca's Beauty Loop and think: how could I do that for my business? The good news is... you can! Here's how.

    Quick links:

     


     

    Want to build a loyalty program like Mecca’s Beauty Loop, but don’t have the money or time for custom solutions?

    Before building brand loyalty, you need to build a brand. And building a brand? That journey starts with the very first business plan, that spark, that idea on a napkin, that leads you to register a company and step into the wild, wicked, unruly world of retail.

    So let’s forget loyalty points programs for the time being.

    Look inward for a minute, and ask: Why did I start this business?

    For a lot of retailers, their business started out of frustration. Frustration that you couldn’t find what you wanted at other stores, frustration about the lack of selection or curation, frustration about the customer service, concern that salespeople only wanted to sell you what they were getting the most commission for (rather than what suited your needs best).

    Mecca Founder Jo Horgan shared why Mecca came to be back in 1997 in an interview for the Australian Financial Review.

    “I loved cosmetics – I thought there was a real space for them that should be fun and entertaining. And yet when I went to a department store I found it exhausting, going from one counter to another,” Horgan says.

    So she started to think: “Imagine the best product offer, a beautiful environment and my best beauty friend next to me taking me from zero to expert in one session…” 

    “That’s how I wanted to experience cosmetics myself,” she says.

    The first time I went to Mecca, I admitted I used $3 foundation and substituted in cheap eyeshadow with a 10-year-old makeup brush for eyebrow pencil. The response? “Oh darling, sometimes that’s all you need to do the trick!”

    He told me he often does the same… and still managed to sell me $150 worth of foundation and an eyebrow pencil. Now that’s some serious sales game.

    I tried to unpack this later. The feeling I got was: He’s on my side. He knows where I’m coming from. And I can trust him.

    Lesson 1: Hold on to that “why” and don’t lose sight of it. It’s your greatest brand asset.

    It’s highly likely the reason you started your business is why your customer is here. 

    I was surprised to learn that Mecca founder Jo Horgan felt frustrated by the department store experience, just like I did. But in the same vein, it makes sense, based on how shopping at Mecca makes me feel.

    Lesson 2: Points programs do not magically create brand loyalty.

    A points program is one tool you can use to keep customers coming back. But the truth is, if you’re not doing anything else to support it—it’s not going to have the Mecca effect.

    So, let’s take your “why” and I’m going to show you how you can build an extraordinary loyalty program with ordinary, off-the-shelf loyalty software.

     

    How to Build An Extraordinary Loyalty Program With Ordinary, Off-The-Shelf Software


    Everything here can be done using Marsello, when integrated with your eCommerce and POS software.

     


     

    Step 1. Design your tiered loyalty program

     

    Most loyalty software has the functionality to build a tiered loyalty program off the shelf. But before you jump the gun and turn it on, think about what the tiers should look like. Revisit your brand’s vision and mission, and come up with a strategy.

     

     

    How many tiers are there?

    Three is a good place to start. Mecca recently added a fourth tier to give those extra high spenders a more tailored experience, but we’d recommend only adding more than three tiers when you see a clear need for it.

     

     

    How are the tiers structured?

    Are the tiers based on spend, or number of loyalty points? And is it lifetime spend or annual spend? Generally, most retailers want their customers to maintain a minimum spend or number of points per year to keep their status. This requires the ability to expire tiers (you can do this in Marsello).

     

     

    What are the rewards?

    This Level 4 Beauty Looper (below) worked out that her free sample box had a retail value of $80. With 4 of these per year, plus an extra birthday box, that’s $400 for a year of free gifts. However, this person had to spend $3,500 to reach this tier. That’s an 11.4% discount, or about the same as giving away every 10th coffee for free.

    The beauty (ha) of giving away free boxes, is that you mitigate price perception. Receiving a free box in the mail is a serious dopamine hit, and Mecca knows this. Customers perceive the value of the loyalty reward to be much higher than it really is. They will happily spend more to receive the reward than “risk” missing out on retaining their status by shopping somewhere else.


    Mecca-Facebook-Post-1

     

    What will you call the tiers?

    Don’t rush this part, take your time to really find the right fit for your brand. “Bronze, Silver, Gold” isn’t very creative. Mecca chooses names that really connect to its brand mission, product, and the relationship they have with its customers.

     

     

    Mecca Beauty Loop

     

     

    L1: Beauty Discoverer

    $300-$599.99 spend per year

      • 1 x Birthday gift
      • 4 x Beauty Loop Boxes per year; a lovingly edited sample box for you to experience

     

    L2: Beauty Devotee

    $600-$1199.99 spend per year

      • 1 x Birthday gift
      • 3 x Beauty Loop Bonuses per year
      • 4 x Beauty Loop Boxes per year; a lovingly edited sample box for you to experience
      • Priority invitations to in-store international brand events

     

    L3: Beauty Aficionado

    $1200 - $3499.99 spend per year

      • 1 x Birthday gift
      • 3 x Beauty Loop Bonuses per year
      • 1 x Complimentary MECCA Natural Makeup Application
      • 4 x Beauty Loop Boxes per year; a lovingly edited sample box for you to experience
      • Exclusive insider access to purchase new products and limited-edition collections prior to their release
      • Complimentary events by invitation
      • Priority invitations to in-store international brand events

     

    L4: Beauty Connoisseur

    $3500+ spend per year

      • 1 x Birthday gift
      • 5 x Beauty Loop Bonuses per year
      • 1 x Complimentary MECCA Natural Makeup Application
      • 4 x Deluxe Beauty Loop Boxes per year; a lovingly edited sample box for you to experience
      • Exclusive insider access to purchase new products and limited-edition collections prior to their release
      • Complimentary events by invitation
      • Priority invitations to in-store international brand events

     


     

    Step 2. Get everything ready on your website and in-store

     

    Now that you’ve got your loyalty program designed, you need to make sure it’s all set up properly.

     

    Do you have an online store and physical shops?

    If so, make sure your loyalty software is integrated with your POS and eCommerce platforms. This will ensure that points can be earned and redeemed easily across all your sales channels. Marsello integrates with a range of POS and eCommerce apps off-the-shelf, no expensive customization required.

     

    How will customers find out about it?

    In-store: Train staff on your loyalty program, and make sure they’re asking customers to sign up point-of-sale. Focus on the benefit to the customer—if you’ve really taken the time to build a considered loyalty program, customers won’t be able to resist.

     

    On your website: Make sure it’s impossible to miss! Set up a loyalty widget on your online store to show visitors how they can earn and redeem rewards, and show the available tiers. Best practice is to create a website page dedicated to your loyalty program that goes into even more detail. See Mecca’s Beauty Loop page:

     

    mecca2

     


     

    Step 3. Promote your program

     

    How do I launch it?

    Once you’ve designed your program, prepare a launch campaign. Whether it’s a ‘soft’ launch or a full-scale event—make sure your customers know about it. Marsello has all the marketing tools you need to communicate with your customers: email, SMS, automations, website pop-up forms, and more. Use these to craft your promotional campaigns.

    • Teaser campaign: Pre-launch, let people know something’s coming. Get people curious and excited for the launch date. For example, you could run contests or giveaways to generate hype.
    • Soft launch: It’s okay to do a soft launch to start off, just to test everything is working. But once you’re confident, prepare a launch campaign.
    • In-store promotion: Let your customers know about it in-store. Make sure staff are trained on your loyalty app and can answer basic questions about how to get set up, the tier structure, and what the benefits are for the customer.

    • Full marketing launch: add a pop-up to your website, send out email campaigns to your database, and promote the program on social media. You can even run a limited-time launch offer—for example, 200 extra points for signing up in the first week.

     

    How do I keep customers engaged?

     

    The promotion doesn’t stop after you launch the campaign! There are lots of light-touch, low-maintenance campaigns you can run to keep your loyalty program interesting. Plus, you can talk about all the cool campaigns you’re running to non-loyalty subscribers to get that FOMO going.

    Here are some ideas to get you started:

    • Run points campaigns: For example, you could have a double points week. These are great to run in slower sales seasons, as they incentivize loyal customers to accelerate their points growth.
    • Hype the program on social media: Use social media to promote the loyalty program and engage with customers through interactive content and contests. See Mecca’s Beauty Loop hype in the Instagram post above!
    • Run limited-time offers: Offer special rewards for a short period of time to incentivize customers to participate in the loyalty program.
    • Build up a community: Foster a sense of community among loyalty program members through events, forums, or social media groups.
    • Collaborate with partners: Partner with other brands to offer joint rewards and increase the value of the loyalty program.
    • Build your mobile experience: Encourage customers to save your loyalty portal to their mobile home screen, so they can access their points balance and engage with your brand on the go.


     

    Step 4. Set up important notifications as SMS messages

    Loyalty-Rewards-points-SMS-notification

    Your customers get so many emails, they’re missing important updates. An SMS will cut through the noise by going direct to their mobile. While you don’t want to overdo SMS marketing, automated texts triggered for important loyalty updates and reminders will be much appreciated.

     

    Notify customers when they have a reward coming!

    Whether it’s a discount in their inbox ready to redeem, or a gift coming to their physical address, let them know it’s on the way and when they can expect it. 

     

    Let customers know when their tier is about to expire

    Like Mecca, you probably want customers to keep up a minimum annual spend. Expiring tiers is a fantastic way to keep customers spending to retain their status… but it won’t have much impact unless they know how they’re progressing! Send customers an automated text message to let them know they’ve got a bit more shopping to do to keep up their tier.

     

    Let customers know when they hit a milestone

    Your loyal customers will want to know when they’ve unlocked a new reward, or hit a big points milestone (for example, they’ve entered a new tier). Don’t leave them guessing, automatically deliver the good news right to their mobile.

     


     

    Step 5. Keep optimizing!

     

    The final step is that… there is no final step. Running a loyalty program is an ongoing, ever-evolving journey that you’re on with your customers. So it’s important to have fun and keep innovating as you go. Loyalty is a regular and ongoing business activity, just like marketing and sales. There will always be improvements and new ideas you can implement, so have a regular reminder set up to check in and evaluate how it’s going.

     

    What are the top loyalty metrics I should be tracking?

    Marsello’s dashboard keeps track of all your important loyalty metrics. Top things to track are repeat purchase rate and rewards redemption rate. These will show you that your loyalty program is moving the needle on sales and revenue, and getting good engagement from customers.

     

    How do I know if my brand is doing better over time?

    While Marsello doesn’t track brand impact, there are some incredible new tools you can use to measure your brand health. Take a look at Tracksuit, as one example.

     


     

    Final Words

     

    Building a successful loyalty program like Mecca's Beauty Loop starts with understanding your brand's "why." A loyalty program is just one tool to keep customers coming back, and it should be built with a clear strategy based on your brand's vision and mission.

    Mecca's founder Jo Horgan was frustrated with the department store experience and wanted to create a fun and entertaining shopping experience, which is exactly what Mecca and the Beauty Loop experience provides.

    Using ordinary, off-the-shelf loyalty software like Marsello, you can create a tiered loyalty program with rewards that offer value to customers and keep them engaged. However, it's important to remember that a loyalty program is only effective if you're doing other things to support it and build a strong brand relationship with your customers.

     


     

    Read more: 7 Steps To Building A Profitable Loyalty & Rewards Program

    New Integration: Advanced Loyalty Plugin For WooCommerce Retailers

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    Marsello is fully integrated with WooCommerce. WooCommerce retailers can now run a powerful loyalty program in-store and online.

    WooCommerce retailers now have access to seamless in-store and online loyalty. 

    We are thrilled to announce our latest integration with WooCommerce, an open-source eCommerce platform built for WordPress.

    “WooCommerce is one of the most requested integrations we've ever had,” says CEO Brent Spicer. “Retailers want to be able to create a seamless experience for their consumers both in-store and on their WooCommerce online store through Marsello. This is game-changing for many of our current, and future, retailers.”

    Ready to get set up? Watch the video.

    With Marsello for WooCommerce, you can connect your online sales data with a range of POS providers.

    To really know your customer, you need all the data—no matter where they’re shopping. But it's notoriously difficult to track customer behavior seamlessly across in-store and online channels. Until now.

    The Marsello plugin for WooCommerce means you can…

    • Create a better shopping experience. It's easy for customers to earn and redeem points no matter how they shop.
    • Know your customers better than ever before. With all the data you need to send personalized, targeted campaigns.
    • Keep customers coming back. Loyalty, email, SMS and automation features are all designed to increase average order size and incentivize repeat sales.

    Step-by-step: How to connect Marsello and WooCommerce.

    Ready to integrate WooCommerce and Marsello?
    Run a seamless loyalty program in-store and online with Marsello and WooCommerce. Capture important customer insights, send targeted campaigns, and do smarter marketing.

    Start free trial

     

    How it works

    Marsello is an advanced loyalty and marketing platform that is powered by your eCommerce and point-of-sale integrations. Using offers, sign-up forms and a customizable loyalty program, WooCommerce merchants can now collect invaluable first-party customer data in-store and online. This data syncs to unique customer profiles so you can know your customer and their preferences better than ever before.

    As well as loyalty and list-building, Marsello also gives you tools to keep growing those customer relationships (and sales). Emails, SMS campaigns, automations, reviews and more. It’s all possible for WooCommerce and Marsello users.

    "We've created a seamless redemption process with Marsello because we’re committed to prioritizing the customer’s experience,” says Product Manager, Kat Williams. “But staff will love it too—there’s much less confusion from customers about how and where they can redeem and earn points. It all just works, whether transactions are in-store or online.”

    Senior Software Engineer, Rukshan Dangalla, agrees. "I'm so excited to see this integration launched. The end result will provide a seamless experience for our merchants, and it's a significant milestone for our company. I'm proud to have contributed to its success!"

    Your fully integrated tech stack

    With Marsello, WooCommerce sales tracking is seamless in-store and online. Marsello has direct integrations with all major POS platforms including Lightspeed Retail, Cin7, Heartland and Shopify POS.

    Getting set up

    Setting up the integration is a breeze. You can connect Marsello with just a few clicks and start using the platform to create your marketing campaigns. The integration also ensures that your data is synced between your WooCommerce store and Marsello, so you can track your progress and make informed decisions about your marketing campaigns.

     

    Ready to integrate WooCommerce and Marsello?
    Do all your loyalty and marketing in one place, and track the results in a single dashboard. See what drives sales through both your POS and WooCommerce, and do more of the marketing that counts.

    Start free trial

    Loretta

    Marsello: Seamless in-store and online loyalty.

    • Drive repeat sales with a loyalty and rewards program
    • Send email and SMS campaigns to customers
    • Create set-and-forget marketing automations
    • Track the direct impact of all your marketing on revenue
    • Build a customer database

    Start free trial

                                                                                                                           

    Marsello Now Integrates With Lightspeed Retail (R-Series)

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    Marsello is now fully integrated with Lightspeed Retail (R-Series). R-Series retailers can now run their loyalty program seamlessly in-store and online.

    Marsello is now fully integrated with Lightspeed Retail (R-Series). 

    R-Series retailers can now run their loyalty program seamlessly in-store and online. Marsello helps R-Series users provide an enhanced customer experience, personalized rewards, and targeted marketing campaigns.

    "Lightspeed is a leader in the retail industry and we're proud to integrate with their R-Series platform," said Brent Spicer, CEO of Marsello. "Our partnership will empower more retailers to grow their business and foster strong relationships with their customers through personalized loyalty marketing."

     

    Why connect R-Series + Marsello?

    R-Series retailers can glean valuable customer insights with Marsello. This empowers them to make data-driven decisions with ease.

    🗣️ Attn: R-Series users! You can now…

    • Sync your POS and eCommerce sales data all into one customer marketing platform
    • Attach customers to a sale on the POS sale screen to attribute purchases to a unique customer profile in Marsello
    • View a customer’s loyalty profile right from within your R-Series sales screen
    • See how your loyalty and marketing activities impact sales in-store and online
    • Get a 360-degree view of customer behavior and purchasing habits

    Try Marsello for Lightspeed R-Series.
    Run a seamless loyalty program in-store and online with Marsello and R-Series. Capture important customer insights, send targeted campaigns, and do smarter marketing.

    Start free trial

     

    Your fully integrated tech stack

    With Marsello, R-Series sales tracking is seamless in-store and online. Marsello has direct integrations with all major eCommerce platforms including Shopify, BigCommerce, Ecwid, and WooCommerce (coming soon).

    Getting set up

    Marsello users can now add R-Series in their Integrations tab in the left navigation menu in Marsello. Staff can also access customers’ loyalty and marketing profiles directly from the R-Series sales screen.

    About Lightspeed Retail (R-Series)

    Lightspeed R-Series is a point-of-sale (POS) system developed by Lightspeed, a leading provider of cloud-based commerce solutions. R-Series is a Lightspeed Retail product, designed to help retailers manage their brick-and-mortar operations, including sales processing, inventory management, customer management, and reporting.).

    Seamless loyalty for R-Series, in-store and online.
    Do all your loyalty and marketing in one place, and track the results in a single dashboard. See what drives sales through both your POS and eCommerce channels, and do more of the marketing that counts.

    Start free trial

     


     

    Loretta

    Marsello: All your marketing, in one place.

    • Drive repeat sales with a loyalty and rewards program
    • Send email and SMS campaigns to customers
    • Create set-and-forget marketing automations
    • Track the direct impact of all your marketing on revenue
    • Build a customer database

    Start free trial

                                                                                                                           

    7 Steps To A Profitable Loyalty & Rewards Program

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    As a retailer, a loyalty program can be one of your most important marketing tools. Here's how to build a profitable loyalty and rewards program.

    In an analysis of over 60 million purchases, Marsello found that 25% of orders come from the top 2% of customers (2022).

    While it can be tempting to focus on getting new customers, marketing to your database can be much more profitable. We call this customer marketing or loyalty marketing because it focuses on bringing back customers who already know you.

    💡 Did you know? According to the Pareto Principle, 80% of your profits come from the top 20% of your customer base.

    Loyalty programs are one of the most popular customer marketing tactics for several reasons.

    • They only reward high-value customers. Unlike discounting, loyalty programs only offer discounts and rewards to your best customers.
    • They give you valuable data and insights. Loyalty programs build a profile of your customer’s shopping behavior, in-store and online. To earn points on a purchase, customers have to identify themselves. That means you can track each sale against their unique loyalty identifier. This then adds to their profile in your database and helps you engage them with marketing.

    Done correctly, a loyalty program can be one of your most important marketing tools.

    Build loyalty. Drive sales.
    Marsello gives you all the loyalty functionality you need to keep customers coming back. Easily set up a loyalty program, capture important customer insights, and do smarter marketing.

    Start free trial

     

     

    7 steps to make your loyalty program profitable.

     

    While most loyalty apps work out of the box (with some setup time), the reality is the best results come with a bit more effort.

    To ensure you’re getting the most out of your loyalty program, follow these simple steps. Trust us, a small amount of planning and reporting each month or quarter will go a long way.

    1. Know your customer.

    Before setting up your loyalty program, look through the data and customer records you already have. What do you know about your customers? What resonates with them? Do they have any common preferences, qualities or identifiers?

    Putting in a bit of work upfront to understand your customer will help you design and structure a loyalty program that resonates with them. After all, you want the program to be enticing and engaging, and ultimately, to incentivize repeat purchases.

    Things you could consider:

    • What age bracket are your customers in? What are their interests?
    • Are they in-person shoppers, or more likely to buy online?
    • What emails worked best with your database? Did any particular imagery or copy work well?
    • What sales or offers generated the most sales? Can any of these past campaigns provide insights into what rewards might be most enticing?

    2. Make it easy to use.

    Make sure your loyalty program is user-friendly and easy to navigate so that customers will be motivated to participate. Barriers like long load times, delays in points balance updates, or a poor mobile experience will deter customers.

    We know, as consumers ourselves, that if something isn’t easy, we won’t bother!

    Before you invest in any particular software, do a bit of research. Read reviews, sign up for a few free trials, shop around. Make sure the app you go for has all the integrations you need as well (if you’re omnichannel, integrations with both your POS and eCommerce software is a must)!

    3. Promote the program.


    promote your loyalty program with a campaign

    Once you’ve designed your program, prepare a launch campaign. Whether it’s a ‘soft’ launch or a full-scale event—make sure your customers know about it.

    • Teaser campaign: Pre-launch, let people know something’s coming. Get people curious and excited for the launch date. For example, you could run contests or giveaways to generate hype.
    • Soft launch: It’s okay to do a soft launch to start off, just to test everything is working. But once you’re confident, prepare a launch campaign.
    • In-store promotion: Let your customers know about it in-store. Make sure staff are trained on your loyalty app and can answer basic questions about how to get set up, the tier structure, and what the benefits are for the customer.
    • Full marketing launch: add a pop-up to your website, send out email campaigns to your database, and promote the program on social media. You can even run a limited-time launch offer—for example, 200 extra points for signing up in the first week.

    Remember, promotion doesn’t end after launch week. Encourage new loyalty signups in-store and online on an ongoing basis (see Step 6 below).

    Marsello. Smart loyalty and marketing.
    Do all your loyalty and marketing in one place, and track the results in a single dashboard. See what drives sales, and do more of the marketing that counts.

    Start free trial

     

    4. Personalize the program.

    <First name> merge fields in a blast email campaign are old news. Now we’re all about unique customer journeys—using triggers, automations, and even AI for targeted messaging.

    To offer more tailored experiences and increase customer engagement, add some automated workflows to your loyalty program setup checklist. Birthdays, loyalty points updates, and sign-up anniversaries are all super simple to create and give a personal touch to the customer’s experience.

    5. Offer exclusive rewards.

    Provide exclusive rewards for higher-tier members to incentivize them to remain loyal and engage more frequently with your brand.

    Be clear about your tiers and what they mean, and let people know how far away they are from advancing up the ranks.

    You can also send surprise awards to delight your most loyal customers and make them feel valued.

    6. Keep it fresh.

    The promotion doesn’t stop after you launch the campaign! There are lots of light-touch, low-maintenance campaigns you can run to keep your loyalty program interesting.

    Plus, you can talk about all the cool campaigns you’re running to non-loyalty subscribers to get that FOMO going.

    run double points campaigns loyalty program

    The bCode launched this ‘double points’ campaign. This email had a 20% open rate and saw a 94% increase in customer’s average loyalty points spent.

    Need inspiration? Here are some ideas to get you started:

    • Run points campaigns: For example, you could have a double points week. These are great to run in slower sales seasons, as they incentivize loyal customers to accelerate their points growth.
    • Hype the program on social media: Use social media to promote the loyalty program and engage with customers through interactive content and contests.
    • Run limited-time offers: Offer special rewards for a short period of time to incentivize customers to participate in the loyalty program.
    • Build up a community: Foster a sense of community among loyalty program members through events, forums, or social media groups.
    • Collaborate with partners: Partner with other brands to offer joint rewards and increase the value of the loyalty program.
    • Build your mobile experience: Encourage customers to save your loyalty portal to their mobile home screen, so they can access their points balance and engage with your brand on the go.

    Build loyalty. Drive sales.
    Marsello gives you all the loyalty functionality you need to keep customers coming back. Easily set up a tiered loyalty program, run points campaigns, and more.

    Start free trial

     

    7. Track success metrics.

    Remember, the purpose of loyalty programs is to increase repeat sales, average basket size, and the average value of a customer to your business.

    So, what should you be tracking? Here are a few metrics you can use to see how well your loyalty program is performing over time:

    If you’re using a loyalty program app that integrates with your sales channels, you can also directly attribute sales to your loyalty program activities.

    Marsello made the most sense as it offers a single loyalty program that extends to customers online and in-store.
    - Hayley Greenstein, LEGO® certified stores

    Marsello’s dashboard also allows you to see how your loyalty program is performing compared to all your other marketing efforts.

    Don’t be afraid to make adjustments as needed, but make sure you test how these impact your results.

    Are loyalty programs worth it?


    Yes! Loyalty programs can boost important metrics in your business. For example, the average amount customers spend per order, the total amount they spend over time, and how often they make purchases.

    But that's not all! When done right and in line with your brand, loyalty programs can also give your customers a better experience and make them feel valued.

    To make sure the benefits of the program outweigh any costs, connect your loyalty program to both your physical and online stores. This way, you can see the direct impact your loyalty program has on revenue. 

    Read next: A complete guide to creating effective tiered loyalty programs

    Loretta

    Marsello: All your marketing, in one place.

    • Drive repeat sales with a loyalty and rewards program
    • Send email and SMS campaigns to customers
    • Create set-and-forget marketing automations
    • Track the direct impact of all your marketing on revenue
    • Build a customer database

    Start free trial

                                                                                                                           

    How Marsello empowers Lightspeed Restaurant merchants to increase revenue

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    Loyalty and customer marketing now work seamlessly within Lightspeed Restaurant POS, so merchants have all their sales and marketing in one place.

    Loyalty and customer marketing now work seamlessly within Lightspeed Restaurant POS, so merchants have all their sales and marketing in one place.

     

    What does it feel like to be a loyal customer?

    We are business owners, venue managers, marketers - sure. But we’re also consumers ourselves. We know what it feels like to be loyal to a brand. When you boil it down, we like to feel favored. We like to have a buddy who’ll slide us a free beer at the bar, or a friend to keep those shoes on hold for us a liiiitttle bit longer than protocol would usually permit.

    We like to feel like someone has bent the rules, just a little bit, just for us.

    At its essence, this is what a loyalty program delivers. Although rather than being a quick favor under the table, it’s a calculated & measured marketing tactic - implemented to increase ROI, not hinder it.

    Our regular customers are our friends, and the VIP deals we give them incentivize their repeat business - so they come back to us, not to a merchant down the road. The more valuable the customer, the more points they earn, and the better or more frequent the deals.


     


    Quick Links:



     

    Are loyalty programs worth it for hospitality businesses?

     

    Like any industry, the hospitality sector has nuances and unique needs that business owners must consider before committing to a loyalty program service or app.

    Hospitality staff will know the pain of waiting for a customer to sign up to their database while other hungry and un-caffeinated customers are waiting impatiently in line. In many cases, the effort just won’t feel worthwhile.

    Loyalty software built for hospitality will be designed with these pain points in mind - for example, you’ll be able to have a QR code at the counter to allow customers to scan a code and enter their details within seconds. Moreover, your software will let you know the value of each and every person who signs up - making it easy to show staff why it’s important for customers to join your database.

     

    Success Story: Pinjarra Bakery

    Increase regulars with rewards. Pinjarra Bakery encourages regulars with a rewards program that has 58% of customers visit at least twice and avg. visits of 5 per month. Their reward program has generated over 5000 redemptions and over 40K in revenue.

     

    There’s also a suitability test: ‘what kind of loyalty program is best for my business?’

    For a cafe with no online store, a simple coffee card might be more effective and easy to manage than loyalty program software. However, for a multi-site cafe that also sells beans, filter apparatus, and branded coffee mugs from an online store, that loyalty software starts to make much more sense. Taking a step further, a large global chain might even invest in a custom loyalty program app - an expensive option generally not worthwhile for SMEs.

     

    How do I know a loyalty program will work for my hospitality business?

     

    Before you commit to a loyalty program, you probably want to know:

    • Can I be sure it will work?
    • How will I know when it’s working?
    • How do I measure the success of a loyalty program?

    One of the biggest challenges for business owners and marketers is calculating the ROI of marketing efforts. If you’ve ever used Google Analytics or other tools to try to attribute revenue to campaigns, you’ll know how frustrating it can be to pinpoint what’s actually bringing in revenue. While a digital ad might be easy to track, anything more nebulous, like “brand equity” or “customer loyalty”, is much more difficult.

    So, how can you know your loyalty program is delivering a return on your investment? That is, how can you know when your customers are spending more because of your loyalty program?

    For this, you need closed-loop attribution. Closed-loop attribution means that you ‘close the loop’ between marketing and sales - everything is tracked and measured centrally through seamlessly integrated sales and marketing tech.

    In a closed-loop system, your customer takes center stage. Rather than piecemeal data spread across different systems and spreadsheets, every activity is tracked and recorded to a neatly organized customer profile. (For you, that means less clutter, less admin, and no more importing and exporting of customer lists.)

                                                    

    Loyalty is just one part of your broader marketing strategy

     

    When you operate a loyalty program within a closed-loop system, you get total visibility over what specific combinations of loyalty tactics and marketing campaigns work best and who your most valuable customers are. That is, you get a broader understanding of how your loyalty program operates in conjunction with the rest of your marketing efforts.

    If this is sounding a bit technical, here’s the crux of it:

    Every SMS message delivered, email opened, discount code redeemed, purchase made… it’s all there. This is extremely powerful. Using this data, you can segment your customers into groups such as most valuable, most likely to convert from an email, top brand ambassadors… and so much more. 

    Using these segments, you can deliver targeted, personalized and highly effective marketing campaigns that drive repeat sales and increase revenue.

    We don’t want to make false promises but we will say this: customer loyalty is a tried and tested marketing tactic. If your business is the right fit, it will work.


    Close the loop with Lightspeed Marketing & Loyalty, powered by Marsello.


     

    You talked, we listened. We heard that you needed a faster, simpler way to sign customers up at POS. Now, staff members can simply capture the customers’ mobile number, and they'll receive an SMS to complete their account - reducing time at POS and keeping this as quick as possible. Alternatively, you can display a QR code to help customers sign up themselves from the venue or an event. Customers can also save their points card to their phone, making it easier for them to scan upon each visit.

    We also heard that merchants are tired of having so many different platforms to manage - often requiring regular manual imports and exports of customer lists. So in our latest release, Lightspeed Restaurant merchants can now close the loop between sales and marketing. Lightspeed Marketing & Loyalty, powered by Marsello, is designed to help hospitality merchants increase revenue through repeat business and customer loyalty.

    What this means? Lightspeed Restaurant (O-Series) merchants can now use one single platform for all of their POS data, email & SMS campaigns, marketing automations, Facebook ad tracking (using Facebook sync), loyalty program activities, Google Review management and more. 

    In one single place, merchants will have access to customer data from end-to-end. From a customer’s first coffee to their repeat business and ongoing referrals. Merchants can easily see the return on all their marketing efforts, check their average customer lifetime value, and so, so much more. 

    Now that’s closing the loop. 

    Learn More


     
     

    Ways to Incentivize your Customers for Referring Your Brand

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    Learn how to increase revenue and reward your loyalty program customers with referral program designed to encourage engagement and attract new customers.

    Looking for a way to increase revenue and reward your loyalty program customers? Referral program incentives are the answer! 

    A referral program, also known as an affiliate program, encourages existing customers to share your brand with their friends in exchange for loyalty points or rewards. They work because people are as much as 4x more likely to make a purchase when referred by a friend. 

    Keep reading to find out how a referral program works, why they are so effective, and the steps you need to take to successfully run a referral program in your own business.




    Quick Links:

    •  
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    How does a referral program work


    Retail referral programs reward existing loyal customers for bringing new customers to your brand. 

    They work by incentivizing existing customers to tell their friends about your business by offering them points, discounts, or other rewards in return. Referral rewards programs also make the ‘KnowLike Trust’ (KLT) factor easier because loyal customers reduce barriers on your behalf and their positive relationships with your store and subsequent promotion of it help their referred friends to feel confident and inclined to shop.

    If you set it up correctly, it is a win-win-win strategy for growing your business.

    Firstly, your existing loyal customers see instant benefits because when they refer new customers, those referred shoppers use a unique customer code tied to your original customer. In return for each successful referral (tracked by their unique customer code) they receive tangible rewards. 

    Secondly, the new customers reap the rewards. They receive rewards or discounts for their purchase, as well as a good retail recommendation from someone they know and trust. 

    Lastly, your business sees huge growth in revenue and in customer loyalty. Did you know that referred customers are actually much more likely to stick around too? Let’s dive into why referral marketing is an important addition to your marketing strategy.

     

    Why is it important to choose referral incentives


    Customer referral programs are one of the best forms of marketing you can run. The numbers speak for themselves:

        • Customers acquired through referral programs have a 37% higher retention rate.
        • In general, referred customers increase profits by about 16%.
        • Referral programs mean that loyal customers are marketing your brand for you – 83% of customers trust recommendations from people they know. 
        • 65% of a company’s revenue comes from existing customers, so incentivizing loyal customers will always be beneficial to your bottom line. 

    Not only this, but a referral program also encourages new customers to sign up. This means that instead of losing potential sales, you can target your marketing and follow up on abandoned carts to increase conversions. 

    Creating a rewards program is worth the investment!

     

    3 steps to choosing your rewards incentives

     

    No matter what referral incentives you choose, there is one question to keep in mind: “are we giving our customers the best possible experience?”

    Yes, you benefit greatly from referred customers (they have a lifetime value of about 25% more than other customers). However, your referral incentives should always have the customer experience at the center.  

    Whether your incentive structure rewards existing customers, new customers, or both, this step-by-step guide will show you which structure is best for your brand.  

        • Step 1: Choose the right incentive structure 
        • Step 2: Choose the type of reward you want to give 
        • Step 3: Set the terms and conditions of your referral program. 

    Step 1: Choose the right incentive structure

    Your incentive structure will depend on your business and customer experience goals. 

    Integrated loyalty programs are one of the easiest ways to set up referral incentives. This allows for several different referral programs: 

        1. Incentives for your existing customers (one-sided incentive)
        2. Incentives for the new customer when they sign up (one-sided incentive)
        3. Incentives for both existing and new customers (two-sided incentives)

    Let's explore these in a little more detail:

    1. One-sided incentives for existing customers

    The first incentive structure is rewarding the customer that refers people to you. 

    Rewarding your existing loyal customers is always a successful marketing strategy. With a loyalty points program, you can easily award customers points when they refer friends to your brand. 

    For example, Bulo Shoes’ loyalty program lets customers earn points even when they’re not making a purchase. Customers are encouraged to share Bulo’s channels on social media, complete their profile and follow Bulo on social media so they can earn points that they can spend in-store.

    Bulo Shoe's eCommerce loyalty widget earn options

    2. One-sided incentives for the new customer

    You could also set up a one-sided incentive that rewards the new customer. 

    This could look like:

        • A discount for their first purchase
        • Automatically earning points when they sign up to your loyalty club 
        • A free shipping discount for first purchases only 

    As a referral program, this might look like giving loyal customers discount codes to share with their friends. For example, you could let people share a code for free shipping on their first purchase with you.

    One-sided incentives might work for extremely loyal customers, however, it will always work best when you reward existing customers for their efforts. This particular structure works better with influencers who are already receiving incentives in other ways (e.g. Use Code AMANDA10 for 10% off).

    3. Two-sided referral incentives: rewarding both customers


    Rewarding both customers is the best option for optimum referral program results. This is the standard program for Marsello referral programs

    In this setup, you reward your existing customers for bringing in referrals, as well as making a great first impression on your new customers. This strategy is win-win-win.

    Step 2: Choose the type of reward you want to give


    Now that you know who you are rewarding, you need to choose what you are going to offer them. 

    The best referral incentives both encourage existing customers to rave about your brand as well as boost your sales and brand image. 

    1. Discounts

    When an existing customer refers a new person, sweeten the deal by offering a referral discount off their first purchase. This gives them a positive first experience and lets them try out your brand without committing at full price. 

    An example of a referral discount is the successful jewelry and women’s wear brand, Katie Waltman. They have a two-sided incentive structure. 

    The team at Katie Waltman has not only boosted customer retention with their generous loyalty program, but they've also added a referral program for their customers. The referred friend is incentivized with 10% off their first order and the existing customer earns 200 points when their referred friend makes their first purchase. 

    Katie Waltman's eCommerce loyalty widget showing earn options of loyalty members

    As a result of their creative loyalty program marketing, Katie Waltman has seen 100% customer engagement rate with their omnichannel loyalty program, and a 75% reward redemption rate!

    2. Cash / Cash-back

    Another referral award is a cash-back program. This more closely resembles an affiliate or commission program than a loyalty rewards program. 

    In this setup, customers get a cash reward or percentage of the new customer’s purchase. For example, customers could get $5 every time someone uses their unique code for a purchase of $30 or more. 

    For an effective cash-back program, you need to make sure that the minimum purchase amount is more than the cash-back reward. 

    Take another look at Katie Waltman’s loyalty program!

    The KW loyalty offering includes a “5% back on all purchases for creating an account.” With an offer like this, Katie Waltman not only incentivizes customers to join their loyalty program, they really make it worth the customer’s journey from window shopper to a loyal customer. 

    3. Store credit

    Earning store credit or loyalty points is a great way to reward customer referrals. That way loyal customers can enjoy your brand even more, and money keeps coming back into your business. 

    NZ streetwear brand, Federation +, is a great example of using customer referrals to earn store points. 

    With a customer referral program in place, Federation + encourages their current customers to refer friends and earn loyalty points as they do so. This way, the brand grows their customer database, while also improving customer loyalty. 

    Federation's online store loyalty widget pop-up

    4. Gift cards

    Gift card rewards are similar to store credit incentives. 

    A study from First Data shows that on average, U.S. consumers spend around $59 more than the value of a gift card. You could give gift cards to either the new customer,  your existing customer (as a referral reward), or both!  

    Combined with a loyalty program, automatic upselling, and investment in customer experience, gift card rewards can be an effective way to boost your average cart value (as well as rewarding referrals). 

    6. Free subscription period

    Offering a free or reduced subscription lets new customers “try before they buy”. This is most effective for businesses that have a long-lifetime or recurring product. Crealunch is a good example, where customers would be buying meals on an ongoing basis. 

    Once they have crossed the threshold, your automatic email marketing can step in and keep them convinced! 

    Step 3: Set the conditions for your referral program


    The last step for effectively incentivizing referrals is to establish parameters. You don’t want to accidentally encourage referral program abuse or suddenly be out of pocket! 

    Posting referral program terms and conditions clearly will mean you get the sales benefits without the headaches. 

    Here are some questions to ask yourself when setting conditions.

    When will the referral reward be given? 

    Decide on a timeframe for giving out rewards. This might look different depending on what reward type you choose. 

    Here are a few things to consider: 

        • Do new customers automatically get a discount or only after they sign up? 
        • For cashback, do they get it immediately after the purchase has been made or each month? 
        • Do existing customers only get rewards when friends actually make a purchase?
        • Is there a time limit on the discount code once new customers sign up? 

    Thinking about these conditions early on will mean you make money from referrals rather than lose it. 

    Should you use a tiered reward structure? 

    A tiered reward program is a customer incentive strategy that rewards people the more they spend. 

    Consumers who engage with high-performing loyalty programs are 78% more likely to spend a premium. So the more you reward people, the more loyal they will be!

    A referral program rewards your most loyal customers for advocating on your behalf. If you use a tiered reward structure, your referrals could increase as customers move up the levels. A tiered system gives more rewards to people higher up to encourage loyalty and higher spending.

    Let's look again at modern streetwear brand Federation +. Their loyalty program features three loyalty tiers: silver, gold, and platinum. With an 88% reward redemption rate and 20% repeat purchase rate, it’s no wonder that they have seen almost a 10% revenue boost from loyalty marketing alone.

    Marsello-_Federation-Tiers-Widget


    Creating demand for your referral program 


    You don’t need to reinvent the wheel to have a successful reward program. Marsello customers see the best results when they keep it simple! However, there are a few things you can do to make your referral program incentives more desirable or effective.

        • Create scarcity: Add a limited timeframe for coupons. This creates scarcity and encourages people to spend now
        • Reward loyal customers: If you are a new brand you might consider offering a slightly bigger reward for your existing customers to increase loyalty. For example, if sign-ups receive 20 points, you could make referrals 25 points
        • Run a seasonal campaign: To give your referral program a boost you could give double points for a limited time 
        • Create multiple referrals: instead of giving out store points, you could give people free gifts after a certain number of referrals
        • Make an ambassador program: This is like a loyalty program except exclusively for referrals. This lets your most loyal customers feel like they are “in the club” and are rewarded with raving about you 

     

    Examples of successful referral programs from existing brands


    Still not convinced that a referral rewards program is the way to boost sales and build customer loyalty on autopilot? Take a look at these examples of successful referral programs and how simple they can be! 

    Merrell NZs online stores loyalty widget pop-up showing how customers earn points

    Merrell NZ

    Merrell NZ is a footwear brand that helps people get into the great outdoors. Their loyalty program has a 15% repeat purchase rate and an average purchase frequency of 3.5x, showing that Merrell NZ’s customers are already proven loyal regulars. Customers can earn 100 points to spend in-store when they refer a friend.

    Smack bang's earn and rewards options from their eCommerce store's loyalty widget

    Smack Bang 

    Smack Bang is a New Zealand-based merchant that specializes in locally-made pet accessories, gifts, and treats. The gorgeous pet boutique also has a lovely loyalty program that’s paying dividends; these loyalty initiatives have generated a 100% loyalty engagement rate, and a reward redemption rate of 38%. Using their adorable, branded widget, customers can earn 10 points when they refer a friend which they can see immediately on their dashboard. 

    Carolina Liyestyle's eCommerce loyalty widget showcasing loyalty member earn options

    Carolina Lifestyle 

    Carolina Lifestyle also rewards customers who successfully refer their friends. Members get 100 points (equivalent to $10) for every successful referral – and those customers immediately get $20 simply by joining!

    All these initiatives, combined with Carolina Lifestyle’s exquisite and unique products, help to ensure that shoppers keep coming back. And it works – the company’s average customer lifetime value (CLV) is $716.94, and about a third of Carolina Lifestyle's customers return to shop again within two months.

    The eCommerce loyalty widget on Crosby by Mollie Birch's ecommerce site.

    CROSBY by Mollie Burch 

    CROSBY by Mollie Burch is an eclectic, modern fashion brand. Their loyalty program, The Crosby Collectors, lets customers earn Pink Points. Their referral program is a good example of setting conditions for rewards. For example, customers receive points for referring a friend which can then be spent in store on orders over a certain amount.

     

    Final words

    Offering your new and loyal customers referral program incentives is a win-win-win sales strategy. Whether you are offering limited-time discounts, points to spend in-store, or other fun freebies, a referral program is sure to keep your customers (and bank accounts) happy.

    Customer advocacy starts by creating a rewarding and engaging experience no matter how your customers choose to shop. Marsello makes it easy to launch a bespoke loyalty and referral program that is proven to increase customer lifetime value and maximize ROI.


     

    How to Increase Repeat Business and Revenue with a Loyalty Program

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    In this Cin7 Masterclass, Marsello CRO Rory Moss dives into how successful loyalty marketing drives repeat business and increases revenue.

    Watch the Loyalty Marketing Masterclass

     

    In this Cin7 Masterclass, Marsello CRO Rory Moss dives into the how-to of successful loyalty marketing.

     

     


    Quick Links:



     

    What is customer loyalty?

     

    Are you part of a loyalty program? Your answer is probably “yes”. But does it make you more loyal to that brand? According to CRO Rory Moss, it actually doesn’t.

    Customer loyalty is all about customer relationships with your business. The positive interactions you have with customers every day and the relationships those interactions build create measurable value that you can continue to grow.

    And customer loyalty is not necessarily transactional; it’s about the experience your customer has when they walk into your store, shop online, read an email, or have any other interaction with your brand.

     

    For a loyalty program to work...

     
        • Your product/offering must be consistent.

        • Your product/offering must be valuable.

    You don’t need a loyalty program to differentiate and compete.

    You do need a deeper understanding of your customer base and a reason for your customers to keep coming back.

     

    Marsello infographic showing that customers are more likely to purchase when brands offer personalised experiences

                    

    Why deploy a loyalty or rewards program?

     

    There are lots of ways to give customers a good experience and keep them coming back - loyalty marketing is just one. Before you make the call, make sure a loyalty program is right for you and your business objectives.

    So, why would you choose to deploy a loyalty program?

        • Gain a deeper understanding of your customer base to augment your marketing mix. The data you collect will empower your marketing team to deliver more personalized, targeted customer experiences.
        • Mitigate price perception and influence perceived value. Smaller brands can’t compete with more prominent enterprise brands on price alone. Loyalty programs are one way to attract customers from your larger competitors.
        • Formation of customer ‘clubs’ which reflect your brand values. Your loyalty program is an extension of your brand. You can tailor your rewards to your customer and personalize automations to augment your brand experience.
        • Steal market share from existing programs. For example, fuel retailers use loyalty marketing to attract customers from competitors. Fuel retailers don’t make their money on fuel, but they do make money on people walking in and buying products in-store.
        • Enhance the customer experience with personalization. Birthday messages, post-purchase automations, data-driven product recommendations, merge tags within campaigns – adding personalization to your marketing will improve your customer’s experience with your brand and help you build long-lasting relationships.
        • Surprise and ‘delight’ with personalized moments. Keep your rewards program up-to-date. Don’t do one big launch then set and forget it – plan campaigns, add new rewards or run competitions. Give your customers new things to engage with (see more ideas in the checklist below).

    Ultimately, data is all about retention. But smaller retailers can’t shell out for expensive coalitions or big agency-led research projects. Loyalty programs make it much cheaper and easier to get that data yourself.

     

    Why focus on repeat customers?


    Marsello infographic showing how customer loyalty leads to a disproportionate increase in revenue
     

    Did you know 61% of retailers cite customer retention as their biggest obstacle, and a 5% increase in customer loyalty can increase the average profit per customer by 25% – 100%? (Source: Invespcro.com)

    Developing customer loyalty is critical to long-term customer retention and loyalty programs can be a great marketing tool to really strengthen those feelings of brand loyalty.

     

    Checklist: How to develop a successful loyalty program

     

    So what questions do you need to be asking and what steps do you need to take to help you develop a loyalty program that your customers love and that sees long-term success?

     

    Ask: do I need a loyalty program?

     
    • Analyze your NPS or CSAT scoring. Are customers satisfied with your offering? 
    • Would deploying a rewards program diminish your brand or enhance the experience and value proposition? 
    • Understand your customer’s needs, their values and ask them about their rewards preferences. 

    Any brand can deploy a rewards system, but it needs to complement your offering to be successful. Make sure you know your problem and make sure loyalty marketing is the right solution. Sometimes, it might be a marketing problem; other times it could be a problem with product-market fit. Deploying loyalty marketing is not always the right solution.

     

    Study your competitors

     

    Look towards your competition, and distinguish whether loyalty tactics would steal market share – a common tactic in Fuel Retail. 

    If all of your top competitors have implemented loyalty programs, this could be a good indication that they believe loyalty marketing will increase their market share. Of course, that does not necessarily mean it’s right for your brand! 

    Alternatively, if you can’t see any of your competitors doing it, maybe there’s a reason why. Again, this is not conclusive evidence – your brand could be ahead of the curve, which could be a very rewarding opportunity to increase your market share.

     

    Do your loyalty platform research

     

    Custom-built loyalty marketing tech can be costly. While some brands have implemented custom-built programs really well (for example, Mecca’s Beauty Loop), we recommend choosing a platform that integrates with both your POS and eCommerce platforms and enables easy set-up straight off the bat.

    Ensure your chosen platform works across your tech stack and don’t invest in programs that don’t scale with your customer database growth. Make sure you provide an omnichannel experience – customers expect to redeem online.

     

    Set up a pilot store

     

    Before any go-live, ensure you’ve set up a single site to test and measure your loyalty program success. Are customers responding to your program and the points values you’ve set?

     

    Keep it simple

     

    Too many earn rules result in a term called ‘loyalty confusion’, where your customers don’t understand what they get in return.

     

    Look at your data and adjust your program accordingly

     

    Once you’re transacting and issuing points, measure sign-up rates and ‘point breakage’ (the % of points earned and spent) monthly. Your point breakage rate will tell you pretty quickly whether or not the rewards program is working.

    If your customers aren’t spending their points, they’re not engaging in your program. Customer engagement is essential if you want to build long-term customer relationships that result in growth.

     

    Start small and introduce new campaigns quarterly

     

    Keep your program fresh by introducing new rewards, double points days, or VIP tiers. You want to ensure your marketing team has a constant stream of new things to shout about!

     

    How to measure the success of your loyalty program

     
    •  
        • Customer Feedback
          Are your customers engaging with your loyalty program?
        • Point Breakage
          Are customers spending their points? Track your Point Breakage rate monthly.
        • Loyalty program Return on Investment (ROI)
          Cost of the loyalty program vs. increased revenue since implementation.
        • Customer Lifetime Value (CLV)
          How much, on average, your customers are worth to your business throughout their relationship with your store.
        • Repurchase Rate
          The % of your customers who complete more than one purchase.
        • Average Purchase Frequency
          The average rate at which customers shop with your store.
       
    •  

    Segment and delight customers with RFM analysis

     
     

    Smart retailers use RFM analysis: Recency, Frequency, and Monetary value.

    Segment your customers into different buckets – a new customer has very different needs from a regular or loyal customer. Treat each customer’s needs differently, rather than applying a standard experience in one broad stroke. Incentivize each segment to come back and reward those who do.

    These days, people expect this kind of brand experience.

    Illustration showing Marsello's default customer segments

                    

    Success Story: Merrell NZ 

     

    Example of how Merrell NZ is using Marsello's Abandoned Cart automations to increase revenue

     

    When COVID hit, Merrell NZ knew they needed to grow their eCommerce presence and encourage customer engagement. To do this, they began testing automated campaigns, one-off emails, and a detailed loyalty program that was designed to attract their in-store customers to shop online.

    By ensuring their marketing changes were recognizable, appealing, and informed from customer data, they were able to grow their customer loyalty program and VIP memberships, improve conversion rates, and increase repeat purchase rates. So far, they’ve seen an ROI of 969x – for every $1 they’ve spent on their marketing initiatives, they’ve earned $969 back.

    “[…] the Merrell Rewards program means a lot to us – it gives us the opportunity to link customers from our retail and web stores, work around customer retention and automate email marketing flows in a really clever way.” - Merrell NZ

    Read the full story

     

    Key takeaways

     
        • Deploying a loyalty program won’t lead to loyal customers, but it will help you develop loyalty program tactics.
        • Loyalty programs mitigate price perception.
        • Use personalization and automation to delight customers.
        • Be consistent across your sales channels and marketing.
        • Prioritize memorable customer experiences.
        • Start small and build on your program.

    Get Marsello

     
     

    What’s new for Marsello x Shopify retailers in 2022?

    ClockIcon  READ
    From Shopify Theme Extensions and Google reviews to a new and improved user experience, we wrap up the biggest changes to Marsello for Shopify users.

    Retailers need to know the tech they invest in will meet their needs and help their businesses grow while also adapting to current trends. In response to changing customer shopping trends, 2021 saw more retailers than ever move into the eCommerce space, and the importance of creating a cohesive shopping experience across in-store and online locations was highlighted again and again. To master this, retailers have needed faster websites, smarter tools, and better connectivity between their different store types.

    To meet the growing needs of omnichannel retailers, Shopify released several exciting changes in the last 12 months – from Themes 2.0 to Shopify Flow. To build on these additions and create more and more marketing opportunities for Marsello x Shopify retailers, we released several complementary features that are helping retailers make the most of their retail toolkit.

    Let’s dive in and discover Marsello’s latest features and biggest updates for Shopify users.

    What features has Marsello released for Shopify users?

     

    The last year saw the development of several stand-out features, and many of these were designed specifically for Shopify powered-retailers looking to grow their business with smart marketing. 

    Introducing Marsello’s  biggest releases of 2021 and a sneak peek of what’s to come very soon:


    Shopify Theme Extension – Product Recommendations:

    The announcement of Themes 2.0 at the Shopify Unite 2021 conference was a cause for a flurry of excitement. With some sources calling it Shopify’s biggest investment in their platform to date, Themes 2.0 opened up a world of opportunities for retailers looking to create their perfect online store, edit and customize themes, and prioritize user experience. 

    To meet the needs of fast-growing retailers who need smart, data-driven marketing tools, we developed a product recommendations extension for Shopify Themes 2.0 users. With this tool, users can add personalized product recommendations to their eCommerce store to encourage bigger cart sizes, improve customers’ online purchase experience, and help customers find products they’ll love.

    Product recommendations built into eCommerce store themes makes it easy to create a seamless experience for customers


    Marsello’s product recommendations are powered by our purpose-built, data-driven product recommendations engine that recommends products based on buyer behavior and purchase history. And the potential doesn’t stop with data-driven recommendations either. Retailers can also select specific products to implant into the recommendations block and encourage sales of specific products. 

    Learn more about our Shopify Theme extension – Product recommendations.

     

    Marketing Extensions:

    Shopify’s extensions feature allows merchants to integrate tools and apps into their Shopify admin almost as if they were in-built. There are countless options to choose from merchandising to stock management; however, none would allow you to create loyalty points campaigns designed to multiply customers’ loyalty points on purchases automatically – this is where Marsello’s Marketing Extension for Shopify comes in.

    Shopify Marketing Extensions users can now create points campaigns in their Shopify admin with the Marsello marketing extension, reducing steps to creating and managing loyalty points campaigns that boost customer loyalty. For example, to increase customers’ motivation to make purchases, you can easily create campaigns where customers earn double loyalty points during a set promotional period directly from the Shopify admin. 

    It's easy to create Marsello-powered loyalty points promotional campaigns directly from within the Shopify admin


    Loyalty points promotion campaigns are a great tool to help promote and encourage engagement with your store's loyalty program.  You not only give customers an extra reason to shop and increase their cart size, but points campaigns are a great alternative to running a sale or discount and help your customers to feel appreciated and respected.


    Marsello’s Shopify Flow connector:

    2021 was a big year for marketing automation – in fact, one study found that 51% of companies were reportedly moved to or were already using marketing automation in some way by 2021. This increased demand for automated marketing capabilities saw the perfect opportunity for Shopify to release Shopify Flows for their Shopify Plus users - in our opinion, one of the most exciting features released in 2021. 

    To help Shopify Flow users tie their loyalty program to customer activities, we released a Shopify Flow connector designed to augment the potential for loyalty marketing. Customers can now earn loyalty points for actions like leaving Google or social media reviews, purchasing specific products, or even purchasing at a particular store location through carefully crafted flows and triggers. 

    Give points and tag a customer directly after an order is fulfilled with Marsello & Shopify Flow


    Learn more about Marsello’s Shopify Flows connector in our launch blog.


    Learn more


    Google Reviews:

    Do you request Google Business reviews from your customers? Do you manage and respond to the reviews left about your business? 

    Google Reviews are integral to helping business owners improve their Google ranking and appear higher in search results, which, in turn, plays a huge role in influencing customers’ purchasing decisions.

    To help you collect, manage and respond to reviews, we’ve developed a Marsello-powered Google Reviews marketing feature. A soon-to-be-released addition to the Marsello toolkit, consider this your sneak preview into our latest tool for retailers who want to increase their presence through local SEO and Google recommendations. 

    The Google Reviews feature from Marsello make managing and acquiring new Google Reviews easy

    Marsello’s Google Reviews feature will make it easy to automate the review process and create a consistent flow of quality reviews that increase online visibility and help to acquire new customers. 

    With email and SMS automations built into your Marsello admin, it’s easy to promote and generate Google reviews as soon as a customer makes a purchase (when their experience is fresh in their minds). You can then easily track, manage and respond to reviews directly from your Marsello admin. Subscribe to our blog and emails to stay up to date with each new release as it happens.

    Subscribe


    What’s changed for the Marsello platform?

    One of Marsello’s biggest updates within the last year has been to implement a new look and feel for our existing app. Since June 2021, we’ve been launching a variety of improvements to the Marsello admin to save you time and make your life easier. With a cleaner design and faster tech, new-look Marsello will now launch universally in April 2022, and we can’t wait to hear what you think.

    New Look Marsello provides a faster, more responsive user experience.

    Can't wait? Get access to new-look Marsello now. 

    Try New-look Marsello

     

    How can Shopify merchants make the most of their Marsello marketing?

     

    Hopefully, you're familiar with Marsello’s core features. If not, let’s recap quickly with just a few bullet points:

        • Customer loyalty marketing – use a branded loyalty program, automated notification emails, varied reward types, and achievable earn options to garner customer support and engagement. And you can build customer relationships that span a lifetime with VIP tiers that segment your loyal customers based on their purchase history. Learn more here.  

        • Marketing automationdelight customers by communicating with them how they’d prefer. With Marsello’s email & SMS campaigns, you can create one-off campaigns from scratch or choose from a library of professionally designed email campaigns developed to get results. And once you’ve sent your campaigns, it’s easy to monitor their success, create new campaigns, or even boost your original with a new subject line for those who didn’t open the first. Learn more here.  
        • Email & SMS campaigns – delight customers by communicating with them in the way they’d prefer. With Marsello’s email & SMS campaigns, you can create one-off campaigns from scratch, or you can choose from a library of professionally designed email campaigns developed to get results. And once you’ve sent your campaigns, it’s easy to monitor their success, create new campaigns, or even boost your original with a new subject line for those who didn’t open the first. Learn more here

        • Marketing listsUse forms, landing pages, and marketing opt-ins to grow your customer database and your return on investment. You create marketing opportunities with new customers by capturing customer information at your POS and eCommerce site. Marsello also automatically segments your customers based on their shopping history, making it easy for you to leverage your customer database and target specific customer groups through email, SMS, or even Facebook ad targeting. Learn more here.  

        • Feedback surveys – Gather customer feedback to understand their shopping experiences and create memorable shopping experiences that they adore. By adding feedback surveys to your communications (for example, a points-earned email that is sent when a customer has just made a purchase), you get confidential, real-time insight into what it’s like to shop at your store. Monitor your growth, see how your business improves, and celebrate your success by measuring customer satisfaction and feedback. Learn more here

    And Marsello has much more to offer our Shopify users too – just think of the combination of possibilities! What if you were to create a custom Shopify Flow that rewarded your customers with loyalty points when they leave a 4-5 star review? Or, if customers shopped during an annual secret sale, you could reward points to purchases over a set price! Get creative and start delighting your customers in all-new ways with all new experiences. 


    Get in touch with our team to learn about Marsello’s full product offering for Shopify.

    Get in contact

    Final words


    The last two years have seen tremendous growth for retail and eCommerce technologies – and that growth doesn't seem to be slowing down. That's why meeting the growing needs of retailers in the retail and eCommerce market is at the forefront of platform and tech providers like Shopify (and Marsello). 

    To help our Shopify-powered retailers achieve their goals, grow their business, and stay ahead of the competition, we needed to continue to innovate with Shopify's product offering in mind. And we don't plan on stopping in 2022. 

    From automated campaigns and complete customization to set-and-forget style flows and fully integrated customer loyalty programs, the future is looking bright for Marsello x Shopify retailers. Book a demo today to grow your business with Marsello.

    Book a demo

     

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