Cally Loyalty Marketing Blog

How to use and benefit from the data created from a digital loyalty program

September 18, 2015

Life is so much easier when we know as much as possible about our customers. So being able to collect high quality and useful data is one of the biggest advantages that digital loyalty programs have over traditional paper based loyalty programs. Customers also respond very positively when data is used in a non-intrusive way to give them a helpful and relevant experience. Many businesses have used data poorly and sent customer’s unnecessary or irrelevant information, and have only succeeded in losing customers as a result. Here are a few tips about how you can successfully use your data.

 

Cally tells you who your best customers are in terms of both frequency of visit and average spend. Knowing who your best customers are will give you a really good idea about which groups engage the most with your loyalty program and therefore who the program, and subsequently your business in general, should target. By communicating with your best customers you can also find out what they want from a loyalty program which will allow you to create a loyalty program that is relevant to your customers. Not only will you have a loyalty program that your most valuable customers will want to engage with, but consulting your best customers and taking their ideas on board will make them feel special and important to your business, encouraging loyalty further.

 

Get to know the people who don’t come back very often as well. These guys are obviously interested in your business so have the potential to be just as valuable as your most loyal customers. Your problem could be that you aren’t offering enough incentives to keep these people coming back. Experiment with your rewards program to see if you can get these customers back. You can then collect data, from Cally’s loyalty log for example, to see if these customers are being enticed back by your new rewards.

 

Cally gives you data about new, returning and absent loyalty customers and this will give a really good idea about the general health of your loyalty program. For example if you only have twenty customers on your loyalty program but nineteen of those are returning customers, then you know that people do engage with the program, but you may need to focus on promoting it to get more people involved. However if you have one hundred loyalty customers but only five are returning customers, then you know that your loyalty program is failing to engage people after they have joined up, so you probably need to edit your rewards program.

 

By experimenting with new rewards and promotions and seeing if there is an effect on new and returning customers, you can find out the types of rewards your customers want and will engage with. It can also give you an idea about which rewards your customers aren’t interested in so you can avoid clogging up your loyalty program with unwanted rewards.

 

Your data will also tell you about the times your customers come to your shop so you can get a good idea of when you’ll be busy and when you won’t. This can be used to great effect with products that don’t sell too well. Setting up a promotion for this product when you know people will be in the shop anyway can give it great exposure and improve its sales.

 

No one likes slow periods, they’re not very profitable and worst of all, they’re extremely boring. Knowing when your slow periods are going to be will help you be proactive and you should create enticing promotions which are only valid at set times to draw people into your business. Promotions, which can be sent out directly to your customers phones, offer an incentive to come and keep you busy instead of watching the clock.

 

Overall, the wealth of data that is available from digital loyalty programs is absolutely fantastic and will help your business no end if it’s used properly. Digital loyalty programs, like Cally, can tell you who your customers are, what they like, and when they like to shop.The main thing to keep in your mind is that you should use the data to create a better experience for your customers. All customers feel more loyal to a business that works to make life easier for them, but will equally be put off a business that is too invasive and takes advantage of the data it’s been given. 

 

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