IMPORTANCE OF CUSTOMER LOYALTY PROGRAMS

1. IMPORTANCE OF CUSTOMER LOYALTY PROGRAMS Customer loyalty programs are proven methods to enhance the overall growth of the companies of any domain. Cost-cutting is a

2. common strategic response, but retailers should focus on customer loyalty. Customer loyalty programs in India are for the growing and sustaining market share. A loyal customer gives a lot of benefits to the customer. If a customer finds the company’s services lucrative, then s/he would recommend the brand to his or her friends. If anyone of the friends feel overwhelmed by the services or the customer loyalty program, then that person would recommend to his or her friend circle. This way a never-ending chain will form. Thus, customer loyalty programs in India, gives a lot to its customers and the brand, of course. These programs are designed after the complete analysis of the requirement, and the relevant audience gets targeted through the program. Most of the company’s people usually feel confusion about designing a loyalty program. There are so many questions about the loyalty program and how to design it for the best result. Below are a few steps that should be followed to design the best customer loyalty programs in India.

3. Start with The Customer Experience: A good loyalty program will multiply the impact of good customer experience, but it won’t compensate for a bad one. Thus, the company need an accurate way of measuring the customer experience, that should be the initial point of any loyalty program. Use the Data Appropriately: The most important thing that makes the loyalty program stands unique is the importance it gives to the customer data. Further, the companies use the entire data for their various business operations. This way, the loyalty program become multipurpose and provide benefits. Keep Rewards Fresh: A loyalty program should be consistent, and the consumer also likes novelty. After using the appropriate approach of testing and personalization, a loyalty program can introduce frequently, and excite the customer at a reasonable cost. Also, adequate analysis will recognize the company’s benefits that are not popular or profitable. Design a Business Model:

4. There are so many brands that get identified through the customer loyalty program. If the program is successful, it receives appropriate attention. That will allow more creativity in coming up with funding and loyalty benefits. Understanding what your customers find valuable is key, and it's not always what will save them the most money.