[Webinar] The Secret to Winning Lifetime Customer
The Secret to Winning Lifetime Customer
According to a survey, 65% of a company’s profits come from previous customers & businesses miss out on $1.6 trillion from losing customers to a competitor.
Loyal customers are like precious jewels for businesses. They can’t afford to lose them. With new brands coming up, businesses need to think differently to retain their loyal customers and make them fall in love with the brand. Winning a lifetime customer is not easy but possible for every business.
Today, we are in conversation with the Customer loyalty expert Anusha Thummala, heading Customer Loyalty and Analytics at Lifestyle International Pvt Ltd. She has 13+ years of expertise in Customer Lifecycle Management, Customer Acquisition, Customer Retention, and Data Analytics. Anusha specializes in designing and driving critical customer engagement strategies based on data insights that help business units deliver better revenue outcomes.
Let’s discuss more on the winning customer loyalty and the innovative Lifestyle Edge program:
A bit about lifestyle brand
Lifestyle is one of the leading retail companies in India. Established in 1999, the brand follows an ideology for customers- evoking an emotional connection. This ideology is based on the concept that each individual has an identity based on their choices, experiences, and background. This evaluation of consumer behavior has helped the brand offering unique experiences to its customers all these years. The brand has created a unique identity among its customers, competitors, and associated brands. Customers love to shop with a lifestyle brand.
Think Forward and Simplify the journey
As Anusha points out, customers want convenience. Customers won’t be interested in buying again if they had a bad purchasing experience.
Understanding customers’ need for convenience, Lifestyle introduced Lifestyle edge. A rewards program offering benefits like priority billing, an additional 10% discount coupon on enrollment, parking refund, 20% discount on Birthday purchases once a year, and many more benefits. The basic idea is to offer convenience to the consumers, wherever they are shopping, whether a physical store or an online platform. The experience must be comfortable for customers, not full of barriers. For example, if a customer wants to pay by credit card for a purchase but there is no such option available at the store or online platform, customers feel irritated in such scenarios, they might not buy the product. To improve CX, make the experience convenient for customers. They will come again.
Lifestyle is also known for its unique in-store customer experiences. If a loyal member comes to the store, he or she can scan their talker that helps staff identify the customers and offer better perks and discounts. They will be delighted to visit the store, and there is a good chance they will buy again. Anusha points out that the Lifestyle brand was a baby. We nurtured it and made it a brand where customers feel special and enjoy shopping.
Identify that Extra Special
Businesses need to identify and offer that extra special to their customers. What is that extra special? This extra special is the small things that make a big difference in delighting customers. The best example is priority billing under the Lifestyle edge program. Customers can make a purchase faster and get done with the billing in no time. With this benefit, customers don’t need to wait in line – A delightful experience, saving time and offering comfort. Do that extra special for your customers in the form of service, greeting messages, or creating the best loyalty programs. All this contributes to customer loyalty and builds lifestyle loyalty.
Customer data in the loyalty program
Data plays a crucial role in making loyalty programs successful. A lot of brands have done it before, but they were not successful. When using data in a loyalty program, brands must stay relevant. Expecting instant gratification won’t work. It takes time to build a successful loyalty program. Instead, brands must focus on improving CX using data-driven loyalty programs. With data, businesses can make better predictions about the next purchase and offer better recommendations. It is easier to predict customer behavior with customer data anal. Hence, having a data integration program is the best way to wow customers.
Be clear about your objectives
Be clear about your objectives if you want to make sense out of data for your loyalty program. Ask, why are you creating a loyalty program? What is it that you want to offer through your loyalty program? Clarity is very crucial if you want to win customers by using the data in the loyalty program. Set an objective then start the loyalty journey.
How to make sense out of data?
There is so much data out there. To avoid confusion and blunders, focus on collecting minimal data and pick the right communication channel to use the data. You are making a big mistake if you don’t know how to use data. Whatever little you collect as little as the contact number, use it to reach out to your customers. There is no gain in extracting a ton of data without a goal. Blunders happen all the time during data collection, you should be able to correct them at the right time. For example, if a customer receives a message addressing some other person. It creates a bad experience. Hence, collect minimal data and use it to the fullest.
The big change in data usage in the past decade
The field of data collection and management has evolved over the years. Luckily, there are better platforms and tools for businesses to manage data. Businesses can use these out-of-box solutions to analyze data. It is simpler than ever. They can make better predictions related to customer behavior using various data management tools.
Automation is also a very demanding tech in the present times. It allows businesses to understand customers and offer them personalized experiences.
Choose the right communication Channel
The right communication channel is a must if you want to make most of the collected data. Study your customers to know what would be the best platform for them. It could be an online or offline platform, depending on the customer segment and preferences. Anusha points out that they tried to build such a communication channel at lifestyle stores where staff talk to customers in real-time and solve their queries. Isn’t it a great customer experience? Customers feel delighted with such an experience. Hence, making sense out of data and pitching the right customers is important.
Changing customer behavior
Customers are volatile. A customer who can’t afford a luxury watch now may afford it in the future. Preferences changes, brands need to understand such volatile behavior for planning better customer retention strategies. A high churn rate is indeed the result of a lack of understanding of customer behavior. Customers always show signs when they are not happy. They will let you know in the form of a bad review or zero purchase. Brands need to identify these signs and pitch to the customers at the right time. Make nice milestones like limited offers or specialized offers to know if a customer is still interested in the brand or not. Wait for a response. Once you have the information, you can communicate better and persuade customers to stay loyal with various tactics like loyalty programs.
Omnichannel loyalty program – Be there where your customer needs you
Omnichannel means your customers can easily access your loyalty program on whichever platform they are using – app, website, or store. Make sure you are there where your customer needs you. These days customers are using different channels, be there for them. They should not face any barriers while joining a loyalty program or purchasing products. For example, if they are not able to join the program due to payment issues, they will not try again. Thus, Omnichannel platforms are important for every business’s desire for customer loyalty. And make it as simple as possible for customers.
Three tactics to consider for creating a winning loyalty program
There is no hard and fast rule for creating a successful loyalty program. Just make it convenient, valuable, and relevant for your customers.
Besides, business leaders need to know why they need a loyalty program, what is the purpose? Are you doing it for customer engagement or for driving business? Businesses must be clear about the objective of having a loyalty program in the first place. It is advised that the businesses must not expect instant gratification from loyalty programs. Give at least 2-3 years. Study your customers, make changes in your program based on responses.
After you launch the program, evaluate your program monthly. You can send messages or emails to know if customers are interested or not. It takes time to make an established program. So keep experimenting and modify according to the response. A good tactic for small businesses.
Customer loyalty is gaining momentum around the world. It is because businesses now understand the value of loyal customers. Winning lifestyle customers has become a norm for many businesses. A data-driven program can contribute to this goal and help businesses earn customer loyalty.
That’s it for the webinar.
If you have any questions regarding customer loyalty, and experience you can talk to one of our experts at Froogal today or write to us at [email protected]
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