Best practices for customer loyalty
December 28, 2012
Loyalty and gift card programs are essential drivers of positive and consistent customer experiences, and new technology has allowed companies to develop more engaging strategies than ever before. With the rising popularity of smartphones and tablets among consumers, integrated payment systems and mobile-oriented loyalty programs can strengthen customer opinions of the company.

Many experts believe that loyalty programs are especially important at the end of the year, during the peak holiday shopping season weeks, as heavier customer traffic gives merchants a better chance to reach more sales. Engaging loyalty programs can help businesses sustain higher profits throughout the coming year.

Importance of loyalty
Forbes recently published a blog that purported loyalty programs will be one of the defining components of merchant activity in the coming year. According to the news provider, while loyalty programs have been around for decades, the ability to cultivate engaging programs that can reach new demographics with proficiency and speed is very new.

Forbes stressed the importance of integration of payment platforms with loyalty programs, as well as cohesion among all strategies in action. With interactive programs that are intuitive and interesting, merchants can expect to boost repeat sales.

Research highlights setbacks
The Edgell Knowledge Network recently released the results of its State of the Industry Research Series: Customer Loyalty in Retail report. The study revealed that loyalty programs that are not aligned with other strategies, such as customer service and product availability, often fail to make a difference in loyalty.

Merchants need to focus on cultivating the most coordinated and engaging loyalty programs to see strong returns on investment. Integrating the loyalty programs with payment processing platforms adds the convenience necessary for the best possible customer experience.
Nexus: G-WEBCD6