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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3 Simple Rules for Navigation That Will Boost Your Website's Performance

At the outset of every new website design project, I ask clients to list a few adjectives that would describe their ideal new site. Inevitably, “easy to use” is almost always at the top of the list. Naturally, no one wants their website to be difficult to use. After all, in today’s era of unlimited choice, a great user experience is an absolute necessity. You work too hard to attract visitors and prospects to your website only to drive them away because that site’s interface presents them with frustrations and challenges. In that vein, the ease with which visitors can navigate through your website and its content will have a significant impact on the success of your site. If users can’t quickly identify how to accomplish their goals – whether it’s obtaining more information or making a purchase – they are likely to make a quick exit, taking their business with them. It’s up to your site’s navigational structure to do the heavy lifting in supporting their objectives and answering their questions, guiding them through the site to find what they need and complete the actions appropriate to those needs. This could be purchasing an item, filling out a membership or information request form, or simply finding your phone number so they can call you and open the lines of communication with your business. Regardless of your site’s “win,” an intuitive navigation structure is what will lead them there, so make sure your website follows these three Cs of good navigation in order to ensure that you make the most of every opportunity to capture and convert new customers.

1. Be concise.

In his book The Laws of Simplicity, renowned designer and current President of the Rhode Island School of Design John Maeda offers the following advice as part of his First Law of Simplicity: “The simplest way to achieve simplicity is through thoughtful reduction.” When weighing various options, the fewer choices that are available, the easier the decision process becomes. Give me four items to choose from, and I will be able to select one much more quickly than if you present me with eight. The same principle holds true for website navigation. Presenting your audience with fewer choices will allow them to more easily identify the one that pertains to their specific needs. Considering how impatient typical website visitors are, this can have a very positive impact on your site’s user experience. Look again at John Maeda’s quote, and you will notice that he is not an advocate for arbitrary editing but rather “thoughtful reduction.” Paring down the elements of your website’s primary navigation structure from nine or 10 choices down to four or five is great, but you need to be strategic in how you do it. Start by looking at the pages outlined in your sitemap and deciding how they can be categorized or grouped together in order to reduce the number of topline options. One of my favorite examples of this practice is the common testimonials page. Businesses love to include a testimonials page on their websites, but based on traffic numbers, these are typically among the least visited pages on any site. Traffic numbers are the ultimate arbiters of value and importance. If your visitors aren’t accessing certain content, then that content shouldn’t be given the same prominence as those pages that they actively seek out and use. In the case of testimonials, removing that link from your primary navigation and establishing it as a subpage under your “Our Company” or “About Us” section works very well. The same applies to any pages that you have that are dedicated to company history, management team profiles, staff bios, your company’s mission statement and the like. While these items are valid information for someone who’s really digging in to vet your qualifications, the majority of your visitors will never look at them, so let them take a back seat to the content that’s really going to seal the deal. Of course, this is where the “thoughtful reduction” principle comes into play. While each of the examples above could be grouped together, that doesn’t mean it is the right choice for your site. The goal is to examine your sitemap with a critical eye and decide which elements are truly important to your audience, which ones are secondary, and how you can treat them accordingly to provide as few choices as possible within your site’s primary navigation.

2. Be clear.

Everyone wants their website to be unique. Sometimes, this leads to the temptation to try to reinvent the wheel when it comes to the organization and presentation of its navigational structure, whether that’s by replacing links with icons or coming up with clever names for major content areas. While this may sound like a great idea that will help set your site apart from your competitors’, it can easily backfire. Visitors want to make quick, logical choices as they navigate through your website, which means that the options presented to them need not only to be concise but also to be clear. The navigation on your website needs to conform to the expected conventions that your visitors instinctively know and recognize. This does not mean that your primary navigation should be designed to look like large, beveled buttons with faux‐3D effects. That treatment may make for an obvious “button,” but it is also not in keeping with the aesthetic of today’s Web. On the other hand, you don’t want buttons or links that are so subtle with so little contrast that they fade into the design to the point of becoming invisible. There is a happy medium to be achieved where all links can be obvious and attractive at the same time. Labels are also an important part of clear navigation. Having a navigation link labeled “About Our Company” directly conveys to users what they can expect to find on that page. Trying to be creative and instead name that link “Unlock the Magic” is anything but clear and will confuse and frustrate visitors who simply want to find more background information about your company. That’s not to say that exploring interesting and innovative avenues in the design of your website is always a bad thing. It can certainly help differentiate your site from others and make for a memorable experience. Just make sure that you are not sacrificing clarity for creativity and confusing the user experience in the process.

3. Be consistent.

The final rule of website navigation is consistency. If you’ve designed a clear, concise navigational structure that your visitors can quickly and easily understand and use, then it’s important to maintain that structure throughout the rest of your site. Your website is not a video game, where each level provides new challenges that are the purpose of the game itself. Your users do not wish to relearn how to use your site at every step along the way. They are there solely to obtain information or complete an action, and anything that gets in the way of their mission is reason enough for them to abandon your site. Consistency is about more than just your primary navigation, however. The way that submenus are presented on the interior pages of your site should remain the same from section to section as well, and the same holds true for treatment of text links or buttons. If you use a certain color for text links, consider using that same color for buttons. Users will quickly learn which color – red, for instance – denotes a clickable area, which will help them to continue moving through your site quickly and intuitively rather than being bogged down by simply trying to locate the pathways to their desired destination.

How does your site measure up?

While there are many factors that ultimately contribute to your website’s performance, a well‐designed navigational structure goes a long way toward ushering your visitors from point A (your home page) to point B (the point of conversion, whether that’s placing an order, sending you an email or picking up the phone to initiate conversation). Look at your site and evaluate its navigation based on the principles covered in this article.

1. Is there anything you can do to make your navigational structure more concise through thoughtful reduction?
2. Are there any changes you can make to make your navigation clearer to your audience?
3. Are you consistent throughout your entire site with the way navigation is designed and presented?

Even if you are not ready to undertake a major site overhaul, you can still refine and tweak your existing site to improve its navigation and realize the rewards of presenting a better user experience to visitors that have found your website and are looking to do business with you.

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An Oasis of Personality in the Desert of Website Design

It’s a question every business – no matter the industry or niche – must answer: How do you differentiate yourself from the competition? You can try to do it with your products or your prices, but anyone can come along with a similar product or service offering, and fighting a battle based solely on price almost always a losing proposition. Differentiating yourself through the level of customer service you provide is a great idea, but the trick is that you have to draw someone in before you can win them over with your stellar service. So then the question remains: how do you stand apart from the crowd and draw positive attention to your business? The reality is that all of the factors mentioned above – products, prices and client service – do play a role both in how you attract new customers and how you keep your existing customer base loyal. Another differentiator that’s often overlooked, however, is your company’s personality – all of those intangible factors that are encompassed in your brand (think Apple vs. Microsoft) – and your website is the perfect platform to showcase that personality.

Nothing to fear

In the buttoned-up, suit-and-tie corporate world, the idea of showing personality can be a scary proposition, and many companies are afraid to try it for fear of alienating customers. Present a personality that’s too casual and lighthearted, and you risk turning away clients looking for a more serious tone. Present a very conservative, serious face, and you may come across as unfriendly and drive off those seeking a more personal approach. This fear of alienating segments of your potential audience is why many companies seek the safety of the middle ground and institute a neutral, inoffensive design that they believe will appeal to everyone. What this really does, however, is cause both the company and their website to be perceived as unremarkable and unmemorable. By trying to appeal to everyone, they appeal to no one in particular. As scary as it may seem, the risks of letting your company’s personality shine on your website are far outweighed by the benefits of creating a memorable experience for your customers.

Hey – I remember you!

When it comes to growing and promoting your business, blending in is never the right strategy. Make your website look and act just like everyone else’s, and you may not alienate anyone, but you won’t stick out in anyone’s mind, either. Customers (and potential customers) who come to your site visit hundreds of other websites in any given week. The vast majority of them are driven by features and functionality to the point that if you took away the company logo, one would hardly be distinguishable from the next. On the other hand, if your website offers something different and unexpected – whether in its imagery and visual design or in the tone and approach of the content – it will be like an oasis in the desert, a welcome change from the boring and bland. When it’s time to make a purchase decision, who will they remember – the ones that did the same thing as everyone else or the one that marched to their own beat and had a unique voice? Of course, your site and your company need to deliver the services and value that your audience is looking for, but making a powerful first impression upon your visitors and getting them to remember you is step one in winning their business. This approach can also help filter out clients that are right from those that may not be a good fit for your company to work with.

Finding the right fit

Even though your services may be applicable to a large and diverse audience, it’s important to ask yourself what your ideal customer looks like. An ideal customer is one that not only has a need for your products or services but whose preferences for how those products or services are delivered mesh well with your organization. How can you expect to find that right fit if you’re not being “you”? Let’s say your company is quirky and fun. If you do not embrace this personality in your marketing and on your website, you may appeal to a broader audience, but you will also attract potential clients who ultimately do not want to work with a company like yours. In those cases, you will either lose their business when they realize you are not the type of organization they are seeking, or even worse, they will continue on with you but the relationship will be strained because your company is trying to be something they are not. Instead of hoping to court everyone, try being yourself to attract customers that want to work with a company like yours. In the end, those engagements will be better suited, and often more profitable, for all parties involved.

Don't forget your internal audience

Maintaining a consistent personality between your website and how the company itself actually operates will also benefit your internal audience – that is, your employees. By being true your company’s personality and being willing to show that personality to the world, you prove to your employees that you are committed to, and unashamed of, the culture you have created. By doing this, your employees will feel more connected to the company and will enjoy a sense of pride in the organization that they’re part of. This allows them to be comfortable in speaking about the company without fear that they will saying something contrary to what the “marketing engine” is putting out there. By being true to your personality, you encourage every employee to become an advocate for your message in a way that is genuine and real.

Website designs with personality: A gallery

To show just how effective designing with personality can be, let’s take a look at a few examples of companies that have truly embraced these principles and wear their brand’s personality on their sleeves (or screens, as the case may be).

Northfield Savings Bank

Banking websites are probably the last ones you’d associate with personality or fun, but the site for Northfield Savings Bank uses both expertly on their site to set their institution apart. From their playful “flying pig” logo to their story about those flying pigs, the website demonstrates unequivocally that this is no ordinary bank. For a customer who’s looking for a personal touch in their local bank – as opposed to a massive, faceless global institution – this site is surely a breath of fresh air.

Wishbone

Non‐profit organizations are committed to their missions. This is good, but too often that dedication and seriousness translates into a boring, and therefore unmemorable, approach on their website. Wishbone is an organization that sends “at-risk high school students to after school and summer programs.” The website certainly shows their passion for that mission, but it does so through the use of real photos of and personal stories from the students as well as fun animations that illustrate their process, which creates a very enjoyable, and ultimately very memorable, user experience.

Dollar Shave Club

Normally, a “memorable” shaving experience is a bad thing, because it likely means something went horribly wrong. But DollarShaveClub.com offers a very memorable (and good) experience, welcoming new visitors with a wonderful and humorous video and carrying this playful approach throughout their entire site. Rather than spending big bucks on endorsements from pro athletes or celebrities and presenting a high‐tech feel like their competitors do, Dollar Shave Club opts for a very real-world feel with textures of wood and torn paper. Compare those earthy textures and their comedic tone with Gillette, for example, and you’ll see just how starkly different this approach is. In this case, doing something different has not only created a memorable experience, but one that also promotes sharing. Dozens of friends and colleagues sent me the link to Dollar Shave Club’s website after it went viral. So while this fun and kitschy approach may not be right for everyone who buys razors, it has captured the attention of many who not only appreciate its quirkiness but also happily share their love of the brand with others in their social circles. Need more proof? Just compare the two companies’ videos on YouTube. As of this writing, Dollar Shave Club’s "Our Blades Are F***ing Great" video is approaching 5 million views while Gillette’s “Masters of Style” video, featuring celebrities Andre 3000, Adrien Brody and Gale Garcia Bernal, has yet to cross the quarter-million mark.

MailChimp

MailChimp’s lead user experience designer Aarron Walter has been touting the benefits of adding emotion and personality to websites for some time through his writing and speaking engagements, and that approach is very evident throughout the entire experience of MailChimp.com. Compare their site, which is loaded with unique personality, to other email marketing providers such as Constant Contact, Emma or VerticalResponse, and you will see the difference right away. Those email marketing providers, and many others you will find, all employ a very similar approach on their website – one that quickly becomes unexciting and forgettable. Go to the MailChimp website, however, and the giant illustration of company mascot Freddie von Chimpenheimer IV is one that’s sure to make a lasting impression. Delve still deeper into the site, and into their service, and you will discover just how unique MailChimp is – because anyone that can make email marketing enjoyable is definitely doing something right!

Run For Your Lives

My father and my wife are both runners, so I’ve seen my share of websites for road races. When I heard about the Run For Your Lives Race, which is part running race and part obstacle course – all while hordes of mindless zombies chase after you to try to turn you into one of them – I knew I had to check out their website. The race itself is certainly memorable, as anyone who has run it will surely tell you, and the organizers made sure that the same approach was used on the website. From dark textures and visuals used to complement the race’s zombie theme, to promotions like their contest to “win an all‐expense-paid funeral,” the site is perfectly on-brand, and like Dollar Shave Club, its unique approach promotes viral sharing. No matter how many race websites you’ve visited before, I guarantee you’ve never seen one like this, and you won’t soon forget it!

GE

Humor and fun and zombies are not the only ways to make a lasting impression on website visitors. GE has created an incredibly memorable experience on their site by focusing not only on the company’s technology and innovations but also on the people behind the brand and the impact they’re making in the real world. Through powerful imagery, videos and personal stories, they have put a very human face on what could easily be a brand devoid of any type of emotional connection. In the process, they show that their company stands for much more than what they do or the products and services they offer.

Be memorable. Be yourself.

Be true to your company’s personality and embrace what makes you unique. Stand boldly apart from the crowd and make a lasting impression knowing that your message may turn away some customers that aren’t really a good fit anyway, but it will also help you attract more of the ones that are right for you. Or, to borrow the wise words of renowned business expert Dr. Seuss: “Be who you are and say what you feel because those who matter don’t mind and those who mind don’t matter.”

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