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.

Tweet, Snap, Share, Post, Pin: Five Creative Ways to Get Your Customers to Do Your Marketing For You

Today’s digital age is also the post-advertising era. Armed with access to nearly limitless data and information, customers have grown disengaged from commercial culture as we once knew it and disillusioned with canned corporate marketing messages.

This is especially true of the latest generation of consumers – the Millennials (aka Generation Y). Encompassing roughly 72 million young Americans, the oldest of whom are now reaching their mid-30s, the Millennials represents the most educated, diverse, technologically proficient generation ever in the U.S., with tremendous spending power that is expected to eclipse that of the Baby Boomers within the next three years.

Another hallmark of the Gen Yers is that they have a strong aversion to "push" marketing and prefer brands that are engaging and already embraced by their friends. According to Christine Hassler, author of 20 Something Manifesto, “Friends are the biggest influencers for Gen Y. If their friends have something and endorse it, that's all they need.”

All of this evidence points to an inescapable fact of doing business in today’s culture of the Web: nothing holds greater sway than word of mouth. If you want to grow – and especially if you want to capture the up-and-coming Millennial dollar – you need the help of your customers and fans.

However, these customers and fans aren’t simply sitting around, waiting at the edge of their seat for the opportunity to promote your products and services. It’s up to you to get the ball rolling by structuring campaigns that reach your customers where they live (i.e., social media platforms) and give them opportunities to share that tap into their motivations and fit naturally with their habits and lifestyle.

Here are five creative ways you can leverage social media to connect with your customers and get them to do your marketing for you:

1. Solicit their stories.

Sometimes spurring your evangelists to spring to action is as simple as asking them to. After all, who doesn’t love sharing stories about themselves?

Everyone can agree that medical supplies is hardly a highly glamorous field. However, Medtronic Diabetes, which develops and sells diabetes management products, has achieved a 2-to-1 return on investment for their entire social media program based on the success of their Share Your Story Facebook app.

Since launching the app in June 2013, nearly 300 customers have shared stories and photos using the app, and over 80% of users have opted to allow their photos and stories to be used by Medtronic Diabetes in other ways. To maximize the mileage they get from this great user-generated content, Medtronic is also proactive about contacting those who have shared their story to participate in photo shoots, video testimonials and guest blogging.

When Steve, a Facebook community member, posted a photo from his 2012 wedding using the app, Medtronic followed up with a request to guest post on their blog, “The Loop,” which the company started as a forum to foster discussion about living with diabetes. Steve happily complied, penning the article “Getting Hitched With Diabetes: The Groom’s Perspective,” which they reposted on their Facebook page.

Key to Medtronic’s success is that they are very specific in the framing of their request. When the company first launched its app, the prompt asked users to share “moments in your life of living well with your insulin pump or continuous glucose monitor,” but they found that the majority of participants would write only one or two lines. In March 2014, they retooled the wording to say, “Share with us your personal story about the pivotal moment you switched to the pump and CGM, and how insulin therapy has helped you focus on the wonders of life,” and they discovered that this more specific request elicited much more rich and detailed tales from their customers.

While you might wonder why Medtronic’s customers are so eager to share their stories, Amanda Sheldon, director of digital marketing and communications, explains: “We know our customers and know that they like to support each other. Our hope that social media would bring this all together was definitely met.”

2. Share the spotlight.

As the relentless onslaught of the selfie has shown us, social media is the ultimate “Look at me!” medium. Tap into your customers’ love of all things me-centric by creating a campaign founded in giving them the opportunity to shine a spotlight on themselves – and on your products in the process.

Clothing brand Free People has come up with an ingenious way to integrate customers' Instagram shots with its website. The company has begun attaching individualized hashtag information cards to its jeans. Customers are encouraged to take pictures of themselves in the pants, tag them either with #myfpdenim or more specific tags for different jean styles (such as #fpanklecrop for the 5 Pocket Ankle Crop or #fpsorbettiedye for Sorbet Tie Dye Jeans). These photos not only appear on Instagram but also on the relevant product’s page on the company's website (after being approved by site moderators, of course) in a special section called "Free People's Style Community."

This brilliant campaign succeeds on two levels. First, by designing a platform that turns their customers into models, Free People has created the ultimate indulgence for the selfie-aholic. Second, they overcome an obstacle that has plagued e-tailers since the concept was invented, which is giving shoppers the confidence to make a purchase without being able to see, feel and try on the product in person. But now, through the magic of Instagram and social sharing, Free People empowers potential buyers to see how a pair of jeans looks in real life. Win-win!

3. Give to get.

Sometimes, you need to be willing to give a little bit in return for the great promotional juice your customers are providing to you. Often brands use contests as a way to motivate fans to snap, share or post in exchange for the chance to win a prize.

However, prizes certainly aren’t the only way to incentivize your followers. An even better way is to share your time and expertise. For example, Zappos – a company that has built its reputation on providing exceptional customer service – has created a forward-thinking Instagram campaign that is the perfect marriage of its trademark service and customer engagement.

Capitalizing on the popular #OOTD (“outfit of the day”) hashtag – which has more than 23 million images attached to it – the online retailer has launched a pilot program for a personalized shopping service called NextOOTD. When a customer posts a selfie with the hashtag #nextOOTD, a Zappos stylist will comb through their Instagram history and respond with personalized shopping recommendations catered to their unique style.

This campaign is social media engagement at its very best. First, it’s easy for customers to participate in. By building on the already familiar #ootd hashtag, it’s a natural extension of a well established habit for Instagrammers. Second, it’s personalized: this concept of selfie shopping allows Zappos to interact with people like a human, not a brand, which is exactly what every company should aspire to do on social media. Finally – in perfect keeping with Zappos’ mission of delivering happiness – it’s a great way to surprise and delight their customers, especially the type of selfie-wielding fashionistas who are most apt to use the #ootd hashtag in the first place.

4. Bank on bloggers (and other influencers).

Here’s an interesting fact for you: Research has shown that one-fifth of the consumer population is composed of key influencers who impact the purchasing activities of 74 percent of the population.

Chief among these influencers are the legions of bloggers and vloggers who have masses of dedicated followers hanging on their every word. If you can put these prominent opinion-pushers in your corner, you can turn the power of word-of-mouth marketing up to 11.

Blue Apron is a new start-up subscription service that delivers meal kits – including pre-measured ingredients and recipe cards – in refrigerated boxes on a weekly basis to its members.

According to Ken Fox, one of the company’s investors, Blue Apron’s target market is comprised of “People who like to cook at home but don’t always have time for shopping,” and their hope is that these people “discover the ease of cooking with Blue Apron [then they] start to do it more often, and to get their friends and family members into it, too.”

And who could fit that profile better than mommy bloggers – specifically Katie Bower of the hugely popular blog Bower Power? Katie has nearly 15,000 followers on Facebook and more than 25,000 on Instagram, so needless to say, there is no lack of moms (and other busy women) who identify with her and look to her for great ideas and advice. And as it so happens, Katie also recently gave birth to her third son, so she has no lack of demands on her time.

For the price of a sponsored post, Blue Apron reached all of her followers in the form of a glowing review written with Katie’s trademark candor – along with a series of fun images depicting the process of receiving the box, unpacking its contents with her adorable boys, preparing the meals and enjoying the dinners together as a family.

The end result is a testimonial that is 100 percent authentic – and 100 percent more effective than anything the company could have said about itself in a perfectly polished ad campaign.

5. Create a marriage of mediums.

All of this talk of social media posting, hashtagging and sharing begs the question: how can you take advantage of your fans’ promotional activities to reach a broader audience that includes those who don’t follow you on these networks?

The answer: integrate your social media campaigns into your traditional marketing efforts. Case in point: Ben & Jerry’s wildly successful #CaptureEuphoria contest.

In 2012, Ben & Jerry’s tapped into its Instagram community (which at the time numbered 120,000+ strong) to cast the starts of its latest ad campaign. The company invited fans to post photos tagged #captureeuphoria that they felt depicted intense feelings of joy. From sunsets to wedding photos to cute dogs to beach scenes, these user-submitted snaps were collected into a special gallery on the company’s website.

One interesting thing you’ll notice about the contest: there was no requirement to feature the company’s products in the photos. Rather the idea was to associate the emotion of euphoria with the experience of eating Ben & Jerry’s ice cream – very clever indeed.

At the conclusion of the contest, more than 25 shots were selected and featured in hyper-local media in the winners’ hometowns in ads that popped up in locales ranging from billboards to buses to neighborhood bars.

Insider Secrets to Killer Website Content: All About Your About Page

As important as good website design is, let’s face it, it’s not what brings visitors to your site. They come for the content, and if that content is sufficiently compelling, then they’ll take the action you desire, whether that’s making a purchase, completing a registration form or even just picking up the phone to contact you for more information. In short, the success of your website begins and ends with quality content.

That’s why in this series of articles – Insider Secrets to Killer Website Content – we’re taking a look at types of content that are common to many websites and exploring ways that they can be redesigned and improved. This second installment addresses a ubiquitous website presence – the “About Us” page.

The ever-present, often-overlooked “About Us” page

You would be hard pressed to find a website that does not have an “About Us” page of some sort. It may be called “Our Company”, “Who We Are” or some other variation on this theme, but in the end, these are all pages focused on telling the visitor about the company to whom the website belongs.

The problem is that these pages are typically as boring as they are commonplace. They generally contain little more than some basic facts about the company – perhaps an abbreviated history of the organization, some details about what the company does or a mission statement.

This information may be necessary – after all, it is your company’s website, so it should contain some high-level, general information about your company. Still, your site – and your “About Us” page – can also contain more than just the facts, ma’am.

A lack of depth

The chief problem with the typical “About Us” page is not that the information it contains is bad in and of itself; it’s that it lacks the depth necessary to play a role in advancing your visitors toward conversion.

Compounding this problem is that “About Us” pages, once written, are rarely ever rewritten. During a redesign process, a website’s content is audited and overhauled, but  if the basic facts about the company haven’t changed significantly, the content of the “About Us” page is usually just moved over to the new site with little to no change made at all. As a result, factually accurate but somewhat boring “About Us” content often persists stubbornly through redesign after redesign.

Your company’s history and the services it offers are certainly important information to share, but there’s so much more that truly defines your company, including its unique personality.

Bringing personality into play

Neither the factual history of your company nor your self-proclaimed statement that you “provide outstanding customer service” will set you apart from your competitors, all of whom are saying exactly the same thing, likely in almost exactly the same words. However, what will set you apart is personality.

Every company has a personality. It is the unique product of your people, your company culture and your interactions with your customers. I often find that a company’s personality is energetic and fun when they engage with customers in the offline world, but their online presence captures none of this energy. Instead, the only cards they show are the typical vanilla facts about the company itself. This is what we can change by bringing that offline personality and the particulars of how your company engages in the physical world into the digital space.

Examples of personality

Let’s take a look at a few great examples of websites that are infused through and through with personality all the way down to the “About Us” page, starting with e-tail giant Zappos.com.

Zappos’ “About” page is all about the company’s culture. Yes, the history of the company and their leadership team are there as well, but the main focus of this section is their culture, including images of holiday celebrations and videos of their people. In perusing this content, you get a much better sense of who they are than you would by reading a a mission statement, a brief company history and a bulleted list of achievements and awards.

Another example of a website permeated with personality is Northfield Savings Bank. The sense of fun that they’ve built into their brand is an unexpected but delightful surprise, since banking isn’t generally synonymous with fun. Still, Northfield pulls it off on their website. Starting with the logo, which features a flying pig, they carry this theme through their entire site, turning the popular phrase “when pigs fly” into a rallying cry for how they go above and beyond in serving their customers. These stories are told on a subpage of their “About” section as part of their “Pig Stories” video series.

It’s not all fun and games

Personality doesn’t have to be all about fun, holiday costumes or flying pigs. For many brands, fun would be an inappropriate trait – but that doesn’t mean you can’t display a personality.

Perhaps you are a not‐for‐profit organization that provides assistance to those in need in your community. Fun may not fit into your brand, but passion likely will. You can show that passion by using your “About Us” page or section to detail the impact your organization has had, profile the lives it has touched and convey the drive that you have to continue to do more.

Instead of simple facts and figures, personality will provide a well‐rounded, distinctive look at who your company or organization really is. That will be what sets you apart from your online competitors and their typical, boring “About Us” pages.

The more the merrier: Adding team bios

If adding unique personality to your company’s “About Us” page can help differentiate your organization, then adding individual bio pages for your employees can take this to the next level.

Granted, this approach is not a fit for everyone. A massive organization with thousands of employees obviously cannot have a page on their website for every individual. In these cases, the bio pages may be limited to board members or senior-level executives. For smaller organizations, however, it is certainly possible to feature each team member individually, and there is real benefit in doing so.

About a year ago, my company redesigned our website. During this process, we made the decision to include a section for “Our People” and give every employee a bio page of their own. We also decided to allow the unique personalities of those individual employees to shine through on their pages. Rather than using the professional headshots you would find on LinkedIn or in press releases, we encouraged our employees to submit photos of themselves that showed them outside the office environment. We received snaps of our team members atop mountains and glaciers, competing in races of one kind or another, enjoying vacations, feeding animals or just being silly and having fun. Taken as a whole, the photos show the variety of personalities and passions that make up our team.

For the bios, we included a short professional history, but we also asked our staff to share their hobbies, talents and an interesting or unusual story about themselves. Like the photos that accompany these bios, the stories and profiles we created reveal an incredible sense of diversity amongst our team.

What our customers are saying

Adding these individual bio pages on our website was a leap of faith for us. We were unsure how our clients and prospective clients would respond to this type of content. However, I am happy to report that our fears were unfounded, as the response has been overwhelmingly positive.

A number of our existing clients have remarked how they enjoy being able to see a picture of a team member before they are scheduled to speak or meet with that person. They also like to know a little something about them outside of their professional work. In more than one case, a customer and one of our team members have discovered shared hobbies or interests thanks to that team member’s bio page. This common interest has allowed them to engage in discussion and begin to foster a relationship that extends beyond the work they are paying us to do for them.

In terms of prospective clients, the feedback has been positive as well. In fact, we recently closed a deal where the client told us they hired us because of our bio pages. That client was wary about hiring a technology firm, fearing that we would only speak in techno‐babble and industry jargon and be on a different wavelength than their company. Seeing our interests outside the office, they immediately felt reassured that they could relate to us – a feeling they didn’t get when they looked at the websites of our competitors.

That’s a big win for personality if you ask me!

The argument against

The argument that I hear most frequently against adding personality to company or team bios is that it may turn some customers off and drive them away from your business. We worried about this ourselves when we decided to add the individual bio pages to our site.

It is true that a unique personality could drive some potential business away. But the better question is: should you really care? If you present your company’s true personality on your website, and that personality turns someone away, would you really have wanted to do business with them in the first place?

Yes, presenting a personality that is more than a safe buttoned-up suit-and-tie approach may turn some business away, but the reverse also holds true. The personality you reveal may very well be the deciding factor that sets your company apart in a  sea of sameness and actually attracts clients that may otherwise have passed you over – exactly as it did in the example I cited above. Had we not put our personality out there, we would not have won that business.

Finding the right fit

No one wants to turn business away, but the reality is that not every potential client will be compatible with the way you operate. Finding the right fit for your company is how you can achieve success in both the short and long term – because even if you do initially win over a company that isn’t truly a good fit for you, they are unlikely to stick around for long.

Finding the right fit allows you to build a relationship that may start with one job but grows stronger and deeper over time to create long‐term engagements and partnerships that can help drive success long after that first project becomes a distant memory. One of the ways to find this right fit is to always remain true to who your company is and not be afraid to let your personality shine through for all the world to see.

You’re not done yet

Finding ways to take “About Us” content from the typical company facts and figures to something that will differentiate your company is just one example of how rethinking content can make your website a more powerful conversion engine. Subsequent entries in this series will explore other common elements of website content that can be improved to bring more value to your visitors and greater returns for your business.