Cally Loyalty Marketing Blog

The Brand New Generation of Loyalty Schemes

July 03, 2015

Mobile loyalty schemes

We all know that loyalty schemes are extremely important to businesses. Did you know that even though loyal customers on average only make up 20% of a business’s custom, they account for 70% of sales? Added to this, researchers have found that it is 6-8 times more expensive to gain a new customer than it is to retain one. So we all understand that loyalty schemes are needed, but how do you go about setting one up?

Traditionally businesses have made up a simple reward scheme, printed loads of cards then given them out to customers, and this has worked fine.  However this method is starting to give way to new technologies and mobile based loyalty schemes are on their way to becoming the future of the loyalty market. As a business owner you need to get involved in a mobile loyalty scheme now before you find yourself playing catch up with your competitors!


We’re moving into the technological age…

It’s not difficult to see why mobile based schemes are starting to gain a foothold in the loyalty market. Even as you look around you now technology is entering all aspects of our lives and it’s making everything quicker and more convenient. Added to this, over 70% of the UK population now own a smartphone and this number is set to increase to over 43 million smartphone users by 2017. So it’s no surprise that technology in the loyalty market is advancing with society. As a business it’s important to show your customers that you are a modern enterprise and having a mobile based loyalty scheme is a perfect way to provide your customers with an exciting new method to interact with you and this will boost sales and revenue. 


No one wants to carry a mountain a cards around with them…

A mobile based loyalty scheme is also much more convenient for your customers. It is a common site among shoppers to see a wallet or a purse overflowing with bits of paper from all the loyalty schemes they are members of. There is also that drawer most people have in their homes full of cards which are now collecting dust rather than points! Mobile based loyalty schemes are the perfect remedy for this, as well as other issues with general forgetfulness. By having all their loyalty schemes on an app such as Cally, customers don’t need to worry about remembering to pick up all their cards before they go out the door and then having to carry them in their wallet all day.


They’re cheap, and easier for everyone…

Mobile based loyalty schemes are also a cheap and easy method to run a loyalty scheme for both you, as a business owner, and your customers. Compared to traditional card based schemes which can be quite expensive when you factor in the costs of printing out thousands of paper or plastic cards. These costs can subsequently become quite large for many SME businesses. Mobile based loyalty schemes are in fact quite cheap, for example Cally is available to businesses for less than £1 per day, and these schemes are easy for businesses to run as they can be operated at point-of-sales. Added to this, all the customers have to do is download a free app and check in when they arrive at your business. This means that the rewards of your loyalty schemes are not the only incentive for your customers, but also its convenience.


Have a rewards scheme that works for you…

Your business can also have access to a far greater wealth of data and statistics when you are using a mobile based loyalty scheme. Traditional card based schemes do not have the means to give you information about your customers e.g. frequency/ time/ length of visit, it is therefore very difficult to use them to understand your customers habits. Mobile based schemes can do this though, and they can tell you the times when you are busiest or when you are quiet so you can use your reward scheme to push sales of your less popular products at your busy periods or increase your visits when you are historically quiet. A mobile based scheme also gives you information on who your best customers are so you can offer them relevant bonuses and reward their loyalty with your own loyalty. And every customer loves to feel special.


Give your customers rewards they want…

As a business you will also have much greater flexibility when it comes to the rewards you feel are best for your customers. A loyalty scheme is good, but a loyalty scheme that is relevant to your customers is much better! Researchers found that 30% of customers said that they found relevant and personal rewards were the biggest factor in encouraging them to spend more. But what would you do if suddenly you realised that the rewards your card based scheme offered were no longer relevant to your customers? Would you throw all your cards away and start again from scratch, or would you feel you had to soldier on with it? Neither is a very good option. However, mobile based loyalty schemes allow you to edit, or completely change your reward scheme, allowing it to always stay attractive to your customers at no extra cost.


Keep in touch with your customers..

Perhaps most important of all, mobile loyalty schemes can stop loyalty programme fatigue by allowing you to stay in contact with your customers no matter where they are in the world! Over time customers can quite easily forget about your loyalty card and therefore about your business. However through push notifications you can make sure that your customers know when you have a brand new product that’s just right for them or if they only need to buy one more sandwich to get a free lunch. This feature makes sure that your business stays in the minds of your customers which make them that much more likely to come back and work towards gaining those rewards.

In conclusion, it’s great having a traditional loyalty scheme in place for your business and this will help improve sales and revenue. However mobile based loyalty schemes can help you maximise your customer loyalty by giving you the power to target your best customers with the unique rewards that are going to stop them going anywhere else.

If you would like to hear more about mobile based loyalty schemes such as Cally, please don’t hesitate to email us at  You can also call us on 020 8997 4700.