Published on August 12th, 2020 | by Bibhuranjan0
What Strategies do Brands Use to Create Customer Loyalty?
Following the rise of digitalisation, the internet has become increasingly populated with businesses seeking to promote their products and services. As a result of this, however, it has led to heightened competition across a whole host of different sectors. Because of this, forward-thinking companies have had to adopt innovative methods to create and sustain consumer loyalty within the digital era. So, let’s take a look at some of the most-used strategies relating to customer retention.
Incentivize Repeat Custom
According to Statista, there are over 4.5 billion active Internet users as of July 2020. Moreover, as per HostingTribunal, approximately 400 million websites are in operation this year alone. In turn, and although all of these platforms won’t be consumer-oriented, this showcases the vast selection of online businesses that are available to digital shoppers. Crucially, it’s as a result of this that companies have sought to create customer loyalty through implementing an incentivised approach.
Interestingly, there are many different ways in which businesses can incentivise their consumers. One of the main approaches concerns the use of loyalty programs. Fundamentally, this targets a company’s most-frequent customers by encouraging loyalty and long-term business by offering various rewards, including free products, for example.
Although this isn’t plausible across every consumer-focused sector, it’s become central to numerous markets. Along with Costa, who offers a point-scoring loyalty program, many online casino operators have explored the potentials of this particular strategy. This is evident from Royal Panda, as they have implemented a points-based system that allows loyal players to claim gifts and free spins.
Offering Bonuses and Promotions
In addition to loyalty programs, businesses have also turned to offers and promotions to engage audiences. To demonstrate this, in the fashion industry, consumers often register their emails with retailers. In return, there’s an expectation that they’ll be notified of any exclusive future deals. Crucially, this approach enables retailers to take their promotions directly to potential consumers. In turn, they’re able to get the latest styles into the minds and inboxes of online shoppers. Moreover, within this sector, a communicative approach also allows companies to send through discount codes as a way of encouraging repeat custom.
Much like point-scoring systems, bonuses and promotions have long been at the heart of consumer-retention strategies within the online casino industry. In addition to providing sign-up offers to new players, operators have promotions including Royal Panda’s casino bonus, such as their Summer Bonanza Promotion. Furthermore, their Pragmatic Daily Drops and Wins promotion could see players win a share of a lucrative prize pool. Importantly, the reason behind continually introducing new bonuses surrounds a need to repeatedly captivate their audience with innovative concepts.
Sustained Social Interactions
As well as the above strategies, companies are also encouraging sustained custom through building relationships by being approachable. Because of the popularity and free sign-up nature of popular social media platforms, such as Facebook, Instagram, and Twitter, businesses are now able to conveniently engage with their consumers. As well as using digital feedback to tailor brand improvements, interacting with customers can make them feel both appreciated and valued.
“Social Media Mix 3D Icons – Mix #1” (CC BY 2.0) by Visual Content
Aside from text-based interactions, social media can also be used as a platform to celebrate customer loyalty. Fundamentally, competitions and giveaways, for example, can help to achieve this. In addition to incentivising shopping habits, social media-orientated consumer interactions can also act as positive marketing, helping to engage both new and existing clients with a specific brand on the Internet.
Appreciation is Key
Ultimately, while many strategies can help to ensure repeat custom, the above approaches are undoubtedly some of the most-used for loyalty purposes. Despite their differences, each revolves around making consumers feel valued and appreciated. In turn, through developing a deeper bond with customers, loyalty is likely to follow.