Going the Distance: Four Ways to Build a Better Customer Loyalty Program for Your Brand

It’s easy enough for a customer to join your loyalty program, especially when you’re offering an incentive such as discounts. All your customer has to do is give out some basic information, and voila! They’re in the fold, a brand new loyalty member with your company. From there, it’s happily ever after. You offer the perks; they stand solidly by you, bringing you their continued business. Simple. Or is it? In reality, just how many of those customers are act ively participating in your loyalty program? Do you know? Sure, loyalty program memberships are on the rise according to market research company eMarketer, having jumped 25 percent in the space of just two years. However, that figure may be a bit misleading. The truth is that, while loyalty program sign-ups may be more numerous, active participation in such programs is actually in decline. At the time of the study, the average US household had memberships in 29 loyalty programs; yet consumers were only active in 12 of those. That’s just 41 percent. And even that meager figure represents a drop of 2 percentage points per year over each of the preceding four years, according to a study by loyalty-marketing research company COLLOQUY.

When discounts just aren’t enough

So what’s a brand to do? How can you make your loyalty program worth your customer’s while—as well as your own? After all, gaining a new loyalty member doesn’t mean much if your customer isn’t actively participating in your program. Consider this: Does your customer loyalty program offer members anything different from what your competitors are offering? Chances are your program includes discounts. That’s a given. And what customer doesn’t appreciate a good discount? But when every other company out there is providing this staple benefit in comparable amounts, it becomes less and less likely that customers will remain loyal to any one particular brand. Frankly, it’s all too easy for customers to get lost in a sea of loyalty member discounts. They’re everywhere. In fact, just under half of internet users perceive that all rewards programs are alike, according to a 2015 eMarketer survey. The key to success, then, is to differentiate your business from the crowd. If you can offer your customers something unique and valuable beyond the usual discount, chances are they’ll be more likely to stick with your brand. Here’s some inspiration from companies who get it.

Virgin: Reward more purchases with more benefits.

That’s not to say you need to get rid of discounts entirely. In fact, nothing could be further from the truth. Customers still love a good discount. The goal is to be creative in terms of the loyalty perks you offer. Take the Virgin Atlantic Flying Club, for example. As part of its loyalty program, the airline allows members to earn miles and tier points. Members are inducted at the Club Red tier, from which they can move up to Club Silver and then Club Gold. Here, it’s not just a discount. It’s status. And people respond to feeling important, elite. Still, even where the rewards themselves are concerned, Virgin is motivating loyalty customers with some pretty attractive offers. At the Club Red tier, members earn flight miles and receive discounts on rental cars, airport parking, hotels and holiday flights. But as members rise in tiers, they get even more. At the Club Silver tier, members earn 50 percent more points on flights, access to expedited check-in, and priority standby seating. And once they reach the top, Club Gold members receive double miles, priority boarding and access to exclusive clubhouses where they can get a drink or a massage before their flight. Now that’s some serious incentive to keep coming back for more. Discounts are still part of the equation – but they are designed with innovation and personal value in mind, elevating them to more than just savings.

Amazon Prime: Pay upfront and become a VIP.

What if your customers only had to pay a one-time upfront fee to get a year’s worth of substantial benefits? It may not sound like the smartest business idea at first glance. But take a closer look. Amazon Prime users pay a nominal $99 a year to gain free, two-day shipping on millions of products with no minimum purchase. And that’s just one benefit of going Prime. It’s true that Amazon loses $1-2 billion a year on Prime. This comes as no surprise given the incredible value the program offers. But get this: Amazon makes up for its losses in markedly higher transaction frequency. Specifically, Prime members spend an average of $1,500 a year on Amazon.com, compared with $625 spent by non-Prime users, a ccording to a 2015 report from Consumer Intelligence Research Partners.

Patagonia: Cater to customer values.

Sometimes, the draw for consumers isn’t saving money or getting a great deal. The eco-friendly outdoor clothing company Patagonia figured this out back in 2011, when it partnered with eBay to launch its Common Threads Initiative: a program that allows customers to resell their used Patagonia clothing via the company’s website. Why is this program important to customers? And how does it benefit Patagonia? The company’s brand embraces environmental and social responsibility, so it was only fitting that they create a platform for essentially recycling old clothing rather than merely throwing it away. The Common Threads Initiative helps Patagonia build a memorable brand and fierce loyalty by offering its customers a cause that aligns with deep personal values. OK, so their customers get to make a little money, too. Everybody wins.

American Airlines: Gamify your loyalty program.

If you’re going to offer your customers a loyalty program, why not make it f un? After all, engagement is key to building a strong relationship with your customer. And what better way to achieve that goal than making a game of it. American Airlines had this very thing in mind when it created its AAdvantage Passport Challenge following its merger with USAirways. The goal: find a new way to engage customers as big changes were underway. Using a custom Facebook application, American Airlines created a virtual passport to increase brand awareness while offering members a chance to earn bonus points. Customers earned these rewards through a variety of game-like activities, from answering trivia questions to tracking travel through a personalized dashboard. In the end, participants earned more than 70 percent more stamps than expected – and the airline saw a ROI of more than 500 percent. The takeaway: people like games.

Stand out from the crowd.

Your approach to your customer loyalty program should align with your overall marketing approach. Effective branding is about standing out, not blending it. Being memorable is key. To this end, keep in mind that loyalty programs are no longer a novelty. That means that yesterday’s strategies won’t work moving forward, so look for ways to rise above the noise, setting yourself apart from the cloying drone of countless other cookie-cutter programs.

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The Good, the Bad and How You Can Do It Better: An Analysis of 8 Great (And Not So Great) Landing Pages

In the world of business promotion and growth, landing pages have a singular purpose: to compel visitors to take a specific action that will further their engagement with your company.

Whether that action is registering for something (an event, an account, a newsletter, etc.), downloading something (a white paper, perhaps) or purchasing something, the goal is to persuade the visitor to complete that action and that action alone – not to tell them everything they could ever want to know about your company, its history and all it has to offer.

A good landing page makes it easy for visitors to understand what you want them to do and why they should do it while simultaneously keeping the process of taking that action streamlined and free of distractions and hassles.

A strong landing page is a critical component of any marketing campaign, whether offline or online. You've convinced someone to take their time to visit the page, so now you need to seal the deal by motivating them to take the next step. While this is no easy task, there are many ways to improve your odds of success.

One of the best ways to understand the dos and don’ts of landing page design is to see them in practice. Here we’ll examine eight very different landing pages and offer our analysis of what they’ve done right, what they’ve done wrong and how you can do it better.

UserTesting.com

The Good: The heading presents a direct, relevant sales message, and the subhead provides excellent support. The copy is clear and to-the-point while the video offer the opportunity for users to learn more without leaving the page.

The "Pricing and Signup" button is very prominent, so visitors know where they need to go next, while the mention of the one-year money-back guarantee provides an important trust-building element to motivate them to take that step.

The Bad: On this site, the landing page is the home page, which is a mistake because there are a number of distractions present that can draw visitors away from the path to conversion.

The navigation elements are too prominent, and the top search bar is completely unnecessary, only providing yet another element of disruption. The display image for the video is a bit cluttered as well.

How You Can Do it Better: When you have a very specific marketing or sales objective to achieve (again, think signing up for your newsletter, downloading free content, launching a new product, etc.), use a landing page.

Your home page needs to serve a diverse array of functions and users. A landing page allows you to provide a completely customized experience focused on helping a more targeted group of users reach one specific conversion point.

Team Treehouse

The Good: This landing page is clean, simple, focused and presents a clear pricing plan right off the bat. The navigation elements aren't so prominent that they distract, but they are definitely easy to find if a user wants to do more research. You know you're getting training videos, but the question remains...

The Bad: What kind of training videos? This landing page took simplicity so far to the extreme that it forgot to tell visitors what they're getting, even if they read all the text on the page. It’s impossible to understand what the offer is without leaving the page, which is a glaring oversight.

How You Can Do it Better: Minimalism is good but only when used within reason.

You must present enough information about your offer on the landing page itself for the user to feel confident in taking the next step. This requires good balance of content and design. It may also necessitate getting a bit creative in how you present your message. Often, a brief demonstration video can take the place of 1,000 words in providing more information about your product or service.

Windows Azure

The Good: Here's a fairly solid landing page. The design is minimalist, the call to action is easy to find and who doesn't like getting something for free?

The heading and description are clear and easy to understand. The superframework (where the logo and log-in links live) is sufficiently muted and out of the way. Overall, the layout is clean and makes it easy for the eye to navigate the page.

The Bad: The main navigation is messy and overly complex. There are two tiers with various buttons highlighted in light blue, which introduces and element of confusion and distraction in an otherwise very clean and streamlined design.

How You Can Do it Better: Navigation is a make-or-break element of every website design, and landing pages are no exception.

When it comes to your landing page, remember that the goal is to persuade the user to take one specific action. Focus on providing them with only the information they need in order to take that action without leaving the page if possible.

If more information is needed than will be effectively served by a single page, keep the navigation streamlined and limited only to those options that serve the landing page’s core purpose.

RightBanners!

The Good: The layout of the page is simple and easy to follow, and the navigation bar is tucked out of the way. The clear pricing structure gives users the critical information they need to know. Plus, the colors are engaging and exciting.

The Bad: The "Submit Your Order Now" heading reads like a button, but it isn't a button at all. Instead, the user must scroll down to create an order – a process that's quite confusing.

There are also too many different sizes of text on the page, which is a direct result of trying cram too much information into the banner area.

This page would work much more effectively if it were broken into a two-step process: a streamlined landing page leading the user to a second page where they could complete their order.

How You Can Do it Better: When it comes to user interface design, the devil is in the details. You must always consider the cues and conventions that users expect when interacting with a page and use those to your best advantage.

For example, navigational buttons are so commonplace that we tend to take them for granted, but they play an important role in your landing page.

Pairing call-to-action statements like “Submit Your Order Now” with a button that performs that specified action is a simple but effective way to provide a familiar interface cue that helps users understand the process that they’re engaging in.

When these things don’t work as expected – as in the example above – it creates confusion and uncertainty that can inhibit the user from taking the action you desire.

PSD2HTML

The Good: This is an excellent landing page. The call to action is clear, and the message is concise. Overall, it's easy to tell what you're getting and where to go next.

The Bad: The page is a bit cluttered, which leads the eye away from the primary point of focus.

How You Can Do it Better: As always, whitespace is your friend.

If the design is cramped, the page will seem visually intimidating to your user. By contrast, allowing the elements on the page room to breathe makes it easier for the user to draw distinctions between different types of information.

DealFuel.com

The Good: Deal Fuel pulls off the home page/landing page combo successfully because it's designed first and foremost to be a landing page.

The design is clever, and the value proposition is prominent. Navigation elements have been scaled way back to allow the header section where the call to action lives to take center stage. Pricing information is easy to find, and the layout of the page helps guide the visitor through the information presented in a logical order.

The Bad: The description paragraph is too long; it's just too much information to include in a call to action area.

Also, the color of the "Buy Now!" button should also be different than the brown used in the gas pump because it fades into the background.

How You Can Do it Better: Never underestimate the importance of color in website design. Color and contrast play a very important role in directing the user’s attention to key elements and establishing a hierarchy of information.

For example, on the DealFuel.com page, simply swapping the colors on the "Today's price" banner and the "Buy Now!" button would create better cohesiveness within the design and make the call to action button more prominent.

AppSumo

The Good: This is a unique landing page that offers a the user a chance to win a prize in exchange for giving the company their contact information.

The call to action button is impossible to miss, and the process draws you in because it's so easy to answer the (very obvious) question and fill out the form.

The Bad: The design is cluttered and the message is difficult to find right away. The heading says "Win the Top 40 Books...", but you don't know why or how immediately. The description that follows is difficult to read because there’s not enough contrast between the color of the text and the background.

Also, putting the books on the left side of the page (where the eye naturally goes first) is distracting. These should be positioned either to the right or below the call to action in this example.

It's also a mistake to offer a reward at such a superficial level of engagement. Users can provide their contact information and enter the contest without knowing anything about AppSumo or what they offer. The brand would be much better served if the page included even a short, single-line description of AppSumo's value proposition.

How You Can Do it Better: Before you create a landing page, you must clearly define the business growth objective that you want it to serve, and then you must decide how best that objective can be achieved in a way that delivers value for both your brand and your customers.

In the AppSumo example, the engagement between the visitor and the brand is fleeting and shallow. While AppSumo does gain the benefit of the user’s information, there’s nothing to qualify this user as a potential customer and no motivation for the user not to simply unsubscribe when they start receiving communication from a company that they still know nothing about.

While capturing a user’s contact information is a legitimate and useful business growth goal, it would be better achieved by offering the user something of greater value in return than simply a one-in-many-thousands chance of winning a prize.

Instead, think of a way to structure the exchange that promotes greater long-term engagement between your brand and this user, whether it’s a providing free white paper that showcases your expertise or offering a free trial of your services.

TemplateSOLD

The Good: The design is modern, and the colors are interesting and engaging. The bold, concise heading makes the purpose of the page very clear. Prices are displayed upfront, so there are no surprises when the user moves to the next step.

The Bad: What is the next step, exactly? There's no one clear call to action. Instead, there are a LOT of calls to action here that muddy the design. The page wants you both to "Signup Now" and to "Download" the themes. There are also a number of different prices displayed on the page, each of which acts as a call to action in its own right.

Last but far from least, there's a major conflict in messaging. While the bold text claims to sell $40,866 worth of themes for just $59.95, the fine print cites a 50 theme limit. This type of marketing gimmick only serves to create confusion and make potential buyers wary of what they're really getting into.

How You Can Do it Better: Whatever you do, never, ever use any kind of gimmick or trickery in your presentation. No matter what action you want your users to take, they’re not going to do it if you don’t first establish a foundation of trust.

Instead, go above and beyond in your efforts to reduce the user’s perceived risk for taking action. When possible, offer a money-back guarantee or free trial period. Make sure you address potential sales objections, and provide social proof to reinforce believability and trust.

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Building a Thriving Community Ecosystem: The Five Essential Elements

What is an ecosystem?

In nature, an ecosystem is defined as “a system formed by the interaction of a community of organisms with their environment.” In today’s culture of the Web, an online ecosystem is essentially the same thing – the organic result of the interactions that occur between the members of a community and the environment that they live in. It cannot be defined in and of itself but only as the sum of its thousand moving parts. For brands that exist in today’s culture of the Web, there is no higher echelon of marketing than establishing your own community ecosystem. Why? Well, it’s one thing to interact with your customers and fans in an ecosystem that someone else has built (e.g., Facebook, Twitter, etc.). However, because you didn’t build the ecosystem, you’re limited to one-off interactions that are structured according to the framework defined by the architects of that community (140 characters, anyone?). On the other hand, however, when you’re the one that builds the sandbox, it’s your party. Your website becomes the place where members of your tribe choose to hang out, to debate, to share and to be inspired by their peers – who, incidentally, are other members of your tribe. Most importantly, their identity as a member of this community is inextricably linked to your brand. It’s a marketer’s wildest dream come true. The process of building a thriving ecosystem is no small feat. Here are the five essential elements that you must have if you want to create a real, organic online community that simultaneously exists for and is a product of your tribe:

Earth: The foundation

Before you can build an ecosystem, you have to lay the foundation. But where do you begin? In our series on understanding and marketing to tribes, we established that tribes form around a shared passion for a specific idea, lifestyle or movement. Therefore, for your ecosystem to thrive, there must be a common thread that draws people in and binds them to the community and its members so that they identify themselves as part of your tribe. Your goal is not to build the next Facebook. People don’t need just another broad-based social network where they can set up a profile and post their thoughts. That already exists in any number of places where they already do those things. What people are yearning for is to be among and connect with other people who share their passions. When you build a community around that passion, they’ll come there knowing it’s a place where they can satisfy that need to belong, where they’ll be among others who speak the same language and where they’re free to obsess over something with like-minded people who won’t mind if they talk ad nauseum about that one particular thing that really stokes their fire. So how do you find that common thread? Think about your customers. What do they love? What excites them? What challenges do they face day in and day out? What do they worry about? How can you tap into those things? The answer to those questions is the foundation for your ecosystem. By identifying the common passion that unites your tribe, you can begin to build a community where great interactions will thrive. Even if your brand only ever lives at the periphery of those interactions, that’s okay. Remember, too, that among those who populate your ecosystem there will be individuals who are already your customer, might someday be your customer or may never be your customer, and that’s okay, too. The fact that you exist at the root of all of it will yield greater rewards than you could ever imagine.

Air: Sharing

The ability to interact with other members in meaningful ways is as critical to the life of an ecosystem as the air we breathe; in its absence, the community suffocates. An ecosystem is not a blog with comments. While commenters may well respond to one another on occasion, these interactions are limited in scope to the content to which they are attached. There’s nowhere else for these commenters to go to keep the conversation going or to talk about a different subject entirely. An ecosystem is not a message board where people come to get help or resolve a problem. Once that problem is solved, they move on and never come back; they don’t identify themselves with or feel any lasting ties to the community. An ecosystem is a place where people can share the things matter to them in ways that are meaningful to them. It starts with being able to establish a profile – one that’s more than simply a name and a photo. You need to give people the ability to define who they are in the context of that community and its foundation. Then they need outlets to share their own ideas, photos and videos and to interact with others around that shared content. It’s this level of highly personalized sharing that forges deep, persistent bonds among members of a community. NASCAR driver Ryan Newman’s Fan Club site is built around keeping its members engaged and active by giving them many different ways to share and interact. They can post their own videos, build photo albums, join the conversation on community message boards and even chat with other members in real time. Again, keep in mind that all the sharing that takes place in your ecosystem may have very little to do with your products or services. And that’s exactly what you want because a community that will thrive over the long haul is one that exists to serve its members, not your brand and your business. As long as you’re the one providing the arena where these exchanges are taking place, you’ll benefit immeasurably from constant exposure and engagement.

Water: Leadership

Good tribe leadership is the water that helps a fledgling ecosystem grow and keeps an established ecosystem strong and thriving. The task of providing good leadership is actually more challenging than it may at first seem. In the traditional world of marketing, everything was centered around presenting a carefully cultivated message and never allowing the customer to see any cracks in the perfectly polished veneer of a brand’s image. But that approach doesn’t work in the world of the online ecosystem. You must be comfortable walking among the members of your community and interacting with them on a human level. You must be willing to drop the corporate mask and be authentic. Think of your role as the leader of your community as being the host of a party. It’s not your job to dominate every conversation or to restrict what your friends are and are not allowed to talk about. It is your job to provide good fodder for discussion, to fill in the gaps when you sense a lull in the conversation and to help everyone feel at home and included.

Fire: Rewards

The members of your ecosystem that make the wittiest comments, spark the healthiest debates or share the most interesting content are the ones that keep the community vibrant. So how do you motivate them to keep doing what they do best? In today’s fame-obsessed culture, everyone wants their 15 minutes of notoriety, and everyone wants to feel like a celebrity in their own circles. People are driven by the opportunity to be elevated to a position of higher esteem among their peers. Therefore, if you want to stoke the fires of participation in your ecosystem, recognition is the name of the game. Give the members of your community ways to participate that are all about them, and then reward them for that participation. Distinctions such as “photo of the day” or “most viewed video” reward the creator by putting him or her in the spotlight. Call them out from the crowd, and you'll feed their craving for more recognition. The key to establishing an effective reward system is knowing what motivates the members of your community. For example, because racing fans thrive on competition, the Ryan Newman Fan Club community is built around a points system. Members who start discussions or who post photos and videos can earn points – or votes – from other members that put them in the running for a spot on the fan club’s leaderboard. Points are tallied throughout the racing season, with prizes awarded to the top performer each month as well as the top overall points earner for the season.

Aether: The essence

Aristotle defined aether as the quintessence – the immutable substance that makes up the heavens and stars. When it comes to online ecosystems, the aether is the intangible element – the sine qua non – that makes being a member of your community something to be desired. Think about the most popular nightclub in town. Why do people go there? It’s not just to listen to music. It’s not just to drink a martini. It’s not just to hang out with their friends. They could do all of those things in any number of places. There’s something in the atmosphere – an indefinable quality – that propels them to go to that one club rather than any of the dozens of others in the same vicinity. Perhaps it’s that when they go there, they’re surrounded by people just like them. Or perhaps they’re surrounded by people that they aspire to be like. Maybe it’s the bragging rights that come with being “seen” in the place that everyone’s buzzing about. Your ecosystem needs the same thing. There has to be some sense of status or value attached to being able to claim membership in your tribe. This is the one element of your ecosystem that you have the least control over. You simply can’t manufacture the essence, nor can you make a proclamation that this is what makes your community special. In fact, the essence can only emerge when it’s allowed to develop organically. When you see members of your community sharing inside jokes, developing their own language, even making plans to meet up offline – that’s when you’ll know you have the essence. The best thing you can do when you recognize it is to subtly encourage those members or activities that you see happening around it so that it continues to flourish.

It’s your sandbox.

The prospect of building your own community ecosystem is certainly daunting. There’s much at stake and many unknowns that you must contend with. In sharp contrast to the world of traditional marketing, there’s a distinct lack of control. An ecosystem can only thrive when allowed to develop and grow naturally and on its own timeline. As soon as you start to restrict or interfere too much, it will wither on the vine. Entering the realm of ecosystem building requires a leap of faith. However, just as building the trust that your customers have in your brand is paramount to the growth of your business, putting trust in your customers is essential to the growth of your ecosystem. If you can relinquish the need for control and truly let the members of your community take ownership of it, you’ll be amazed at the results that unfold. Interactions will become vibrant and nuanced, natural leaders will emerge and the community will truly take on a life of its own. And in today’s marketplace, there is no more powerful force for business growth than a large and engaged community that’s homed around your brand.

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