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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Should There Be an App for That?

Getting into your customers’ pockets is no easy task.

With the tablet wars heating up and smartphone sales skyrocketing, at some point, the thought is bound to cross your mind: Is it time to create an app? The lure of being with your customers everywhere they go and being readily accessible with the tap of a finger is certainly hard to resist. And with over 350,000 iOS apps in Apple's App Store and over 200,0000 apps in Google's Android Market, it’s clear that many companies have eagerly climbed aboard the app development bandwagon. Thanks to a proliferation of DIY app templates, the barriers to entry in the app marketplace are not as steep as they once were. But you can't simply judge the merits of creating an app as you would would any other marketing tactic. Instead, you should look at your potential app as a product in and of itself. You wouldn't put time and money into developing a product without a reasonable amount of confidence that a market exists for it. Same goes for an app. You can build it. You can get it into the app store. But if it's not something people want, your efforts will be for naught.

Your app must meet these eight basic criteria, or else it's not worth the investment:

1. It must be designed around business growth objectives.

To justify the necessary investment, your app must be aimed at promoting the growth of your business, whether it does so by making it easier for your customers to buy from you or keeping your brand at the forefront of their awareness. Sure, plenty of big names have created vanity apps that don’t serve a business growth function, but that’s not a luxury the average company can afford. For example, Mercedes offers an iPad game called SLS AMG HD that allows users to put their driving skills to the test through a series of tunnel challenges. Sure, it’s a slick-looking gimmick. But is it actually doing anything to improve the company’s bottom line? Does anyone who is inclined to buy a Mercedes really need an iPad racing game to tip them over the edge? An app in and of itself is not a marketing campaign. If your goal is to boost the visibility of your brand, creating an app is a very indirect and costly means to reach your desired end. Remember that you'll be competing with hundreds of thousands of other apps to be discovered by smartphone users. Your chances of creating something so new, so different and so out-of-the box that it will go viral and jump to the top of the download charts are slim to none. What's more, even the number of downloads your app gets is no guarantee of ongoing exposure to your customers. According to a recent study, as many as twenty-six percent of apps are opened only once after download. With odds like that, if your sole purpose is elevating the visibility of your brand, there are no shortage of other tactics – from SEO to pay-per-click advertising to social media-based PR campaigns – that will likely deliver a better ROI.

2. Its utility must be customer-driven.

No matter what, your app development process shouldn't be an exercise in ego-stroking. Forget what you think is cool or cutting-edge and look at your app through your customers' eyes. For your app to be successful, it needs to offer something people want, whether that's in the form of utility, convenience, content or all of the above. For the most part, your customers use their mobile devices for one of two purposes: productivity or entertainment. If you want to create an app that entertains, be prepared to bring the big guns because you're competing in a space with the heavy-hitters, from Facebook, Twitter and YouTube to a slew of professional game developers. The productivity space is easier to enter, but conquering it is still no easy feat. A useful productivity-oriented app must make it easy for your customers to accomplish the types of tasks they commonly perform while on-the-go. If your app is content-driven, it needs to be encyclopedia-worthy to warrant a spot on the reference shelf of your customer’s mobile device. It must be comprehensive and updated frequently, and its interface must be ultra-searchable and scannable. Whole Foods offers a great content-based app. Users can search its extensive library of recipes by keyword, input ingredients they have on-hand to get suggestions and create shopping lists on-the-fly. Search results are even classified by dietary preference, such as gluten-free or low-fat. This type of utility aligns squarely with Whole Foods’ target market. Undoubtedly, their app is the go-to resource for many health-conscious, time-strapped working parents who leave the office with no idea of what they’re going to make for dinner when they get home.

3. It must offer an optimal balance of usefulness and simplicity.

Your app should not attempt to be all things to all potential users, or it will be doomed to failure. Likewise, it also shouldn't simply be a mirror of your website's features. If that's your plan, you'll be better served by optimizing your existing site for mobile browsers. Generally speaking, the more features you try to cram into an app, the less intuitive it becomes to use. And as hard as it may be to imagine, app users are even less patient and more fickle than Web surfers. If your app is difficult to figure out or frustrating to use, they'll wipe you from their phone with nary a second thought. Therefore, it’s critical that your app’s purpose is clearly defined and that its functionality is streamlined. The FedEx Mobile for iPhone app is a perfect example of this balance of utility and simplicity. FedEx is a massive global corporation that offers a broad array of services to a highly diverse customer base. Its app, however, is limited to four main functions: obtaining a quote, creating a shipping label, tracking a package and finding a location – exactly the type of time-sensitive features you need at the ready when you’re trying to get that all-important document out in tonight’s shipment or awaiting an important delivery.

4. It must be mobility-oriented.

There are some tasks people like to do on their phones and some they do not. Any task that involves too many steps and is not urgent in nature is not going to be something your customers would choose to do on their phone rather than just waiting until they are in front of their computer screen again.

5. It must take advantage of the mobile device’s unique features.

Mobile devices have a number of built-in features that even many laptops don’t necessarily have, such as GPS, the ability to deliver push notifications, a camera and video camera. If you don’t plan to tie the utility of your app to any of these functions, it’s hard to justify creating a dedicated mobile app rather than just enhancing your current site to provide an optimal experience for mobile users. Amazon's Price Check is a great example of an app that takes advantage of the phone's camera function to allow users to scan barcodes and compare prices on-the-go. GPS is a little more tricky to use wisely. A lot of branded apps – from Gap's StyleMixer to USPS Mobile – use GPS to allow users to find their closest brick-and-mortar location. As an auxiliary feature it's a nice convenience for users who are already plugged into the app, but this type of function is not enough to justify the existence of an app in and of itself, as there are plenty of other mapping and searching apps that can deliver the same information with broader utility. Also, you should weigh the pros and cons of integrating push notifications carefully. If you can provide legitimate value to your customers with timely alerts, that's fine. But if you cross the line into intrusiveness, you're just asking to get deleted.

6. It must be applicable to a broad customer base.

The Chipotle Mobile Ordering app lets users place a completely customized order and pay directly from their phone in advance of arriving at the store. For a national chain with thousands of time-starved customers who have little patience for waiting in line, the app represents the perfect marriage of utility and marketing savvy. But apps like this require a certain scale to make sense. If you're a mom-and-pop bakery, you could theoretically develop an app that would let your customers design their own cupcakes and place their order right from their phone. While it would surely be a fun gimmick, it doesn't fulfill a broad-based need, and the app's ability to generate additional revenue would probably never offset the cost to create and maintain it.

7. It must be well-designed and thoroughly tested before launch.

The app marketplace is no place for experimentation. You have to get it right out of the gate. If you go live prematurely with an app that's underdeveloped, lacking utility or plagued with bugs, your bad reviews will haunt you for a long time. What's more, disenchanted users won't be likely to give you another shot even if you come out with something better later.

8. It must continue to evolve.

If you’re going to get into the app development game, you must be prepared to be in it for the long-haul. Once you launch your app, your job is only just beginning. App developers have raised the bar of user expectation for updates. You must monitor your feedback and respond with interface tweaks that provide a better experience. You should also add to and improve upon the functionality of your app regularly and keep it fresh with current data. If users see an app that has gone stale on the shelf, they're not going to be inclined to download it.

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Get it Type: Six Fundamentals of Good Typography in Website Design

Typography is often one of the least appreciated – yet most important – aspects of website design. So much more than just the “font” that is used to present your site’s content, the choice of typeface does as much to set the tone of the site as the colors, images and other visual components of the design. If the content on your website is your brand’s message, then the typography is the voice with which your site speaks that message. The study of typography has a long and rich history. While designers work for years to perfect this practice, by cultivating an understanding of a few basic principles, you can more effectively communicate with your design team as you work collaboratively to make the right typography choice for your website and, through those choices, find the perfect voice for your site. Here are six fundamentals of good typographic design that will help you avoid potential pitfalls and make sound aesthetic choices that will strike the right tone and support the delivery of your message:

1. Know what’s possible.

If you’ve been involved in a website design project in the past, then you’ve likely heard the phrase “web-safe fonts.” For years, limitations in web browsers forced us to utilize a very small group of fonts for our websites. If you requested the use of a font that fell outside of this select group, you would have been directed, instead, to one of these web-safe fonts so that the site’s text could be reliably displayed across a wide variety of browsers. In the past few years, however, this restriction has been greatly minimized as a new feature called @font-face (pronounced “at font face”) has been introduced, allowing us to make use of thousands of new fonts on our websites in a reliable way. This is both a blessing and a curse. The blessing lies in the ability to use the wide array of wonderful typefaces available to us today to create incredibly rich and unique designs. The curse is that, with so many options, it’s all too easy to overdo it and create a muddled mess with competing typefaces that obfuscate the message you are trying to send. Also, despite all of the advancements made in web fonts in the past few years, there are still limitations to what we can and cannot do with fonts on websites, so ask your web design team about these limitations to ensure you make choices that will work on a technical level.

2. Make strategic use of different font classifications.

Different font classifications have different feels and serve different purposes, so developing an understanding of these classifications is a good place to start.

Serif

A serif is “any of the short lines stemming from, and at an angle to, the upper and lower ends of the strokes of a letter.” If you look at a font like Times New Roman, you will notice the little flourishes that hang off the ends of each letter, adding an extra embellishment to those letterforms. Besides Times New Roman, other popular serif fonts include Georgia, Baskerville, Garamond and Palatino. Serif fonts are often used when you want to convey a sense of history or tradition in a design. Historically, serif fonts were used in the body text of printed works because they made large blocks of text easy to read. For computer screens, serif fonts are very versatile and can be used effectively for either body text or headlines. The accounting and business consulting firm KLR uses the serif font Georgia throughout their site to create a look that conveys a sense of professionalism, trustworthiness and experience.

Sans-serif

Sans-serif, or “without serif,” fonts feature letterforms that do not have the extra embellishments found on serif fonts. Common sans-serif fonts include Arial, Helvetica, Verdana, Futura and Tahoma. In printed text, sans-serif fonts were typically used only as headlines because it was easier to read body text set as a serif font rather than a sans-serif, but for computer screens and websites, sans-serif fonts are equally as readable and versatile as serif fonts, so they can be used either for headlines or body text. The straight lines of sans-serif fonts and the lack of extra ornamentation often make these typefaces good choices to create a sleek, modern look. An example of sans-serif fonts can be found here on Fame Foundry in our navigation, our main billboard message and throughout our site in both headlines and body text.

Slab-serif

Similar to serif fonts in that they have extra embellishments added to them, slab-serif fonts often feature thicker, chunky letters whose serifs are blocky with little, if any, contrast between thin and thick lines. Typical slab-serif fonts include Rockwell and Clarendon. The bold letterforms and serifs of this font classification often give them a strong, impressive weight when used as headlines. These fonts are typically not used as body text but are often set in large sizes as headlines. An example of slab-serif fonts can be seen in the logo, navigation and main headlines of Brown Family Seafood’s website, which uses a typeface called ChunkFive.

Display

Display fonts are typefaces that are typically only used at large sizes and are therefore better suited to headlines and large messages than body text. Display fonts typically have lots of character to them and are richly designed. With a wide variety of looks and styles available in display fonts, these fonts can be an excellent choice for headlines since they will add that character to the design, but these fonts are also easy to abuse or overuse. Typically, more than one display font in a design is too much. A few examples of display fonts are shown below:

Grunge

Grunge fonts are typefaces that are designed to show artificial wear, almost like the printing on a vintage t-shirt that has been through the wash many, many times. These fonts, which are also typically used only in headlines or for large, short bursts of text, are a great choice when you are trying to add a worn, textured feel to your design. The city locations listed in the billboard text on Zombie Charge, which tries to recreate a worn and battered look for their zombie-themed adventure runs, uses a grunge font called Umbrage.

Script

Script fonts have a classy, elegant feel to them. These fonts typically have long, flowing characters and very thin letterforms. Because of this, script fonts are often only used for headlines and at larger sizes, because if you set these fonts too small, the thin letters become unreadable. Script fonts are a great choice when you are looking for a high-end, elegant feel and tone. You can see a script font, Allura, used in a number of places in the design for Concord OB/GYN, including in their navigation and main billboard messaging.

Hand-drawn

Fonts that are classified as “hand-drawn” have an organic, if perhaps flawed, look to them. If a script font is drawn by a master artist, then a hand-drawn font is scratched out by an everyday writer who may be in a bit of a rush. These fonts can be used to add a human touch to a design and make it feel like an actual person, and not a digital computer, wrote out the words. The font Mathlete that is used on the billboard message for Sweet Nina’s Nom-Noms has an organic, hand-drawn feel to it that reflects the handcrafted desserts that the company offers.

Novelty

Novelty fonts are often made to replicate popular brands and their distinct characteristic look (think Coca-Cola or Harry Potter). Because of their inextricable association with a well-known brand, these fonts are rarely appropriate to use on a website for another company. Other novelty fonts simulate things like dripping liquid, wood pieces or bones to create the letterforms. While these display fonts are not immediately associated with another brand or company, their overly stylized design also makes them a poor choice for most applications – although if you are going for this type of overly stylized look (for a Halloween-themed billboard message, perhaps), then they can be considered. A few examples of novelty fonts are show below:

3. Always preserve readability.

As you undoubtedly noticed in perusing the above overview of font classifications, most of these fonts are meant to be set at large sizes as headlines. Only serif and sans-serif fonts are versatile enough to be used effectively for both headlines and body text. This is because of readability. If the font you use for your website is your site’s voice, you not only want to be sure the voice is appropriate for your brand but also that the voice speaks clearly. In this case, “speaking clearly” means having text that is easy to read. The overly stylized letterforms of grunge or display fonts and the thin letters of script or hand-drawn typefaces make them difficult, if not impossible, to read when set at smaller sizes. Since body text is set at smaller sizes, using these fonts would be an inappropriate choice. Regardless of which font you use, be sure to view it at the size that it will be set at for the actual website and in the colors that will be used. This will allow you to see the contrast that font has when set against its background so you can determine if the choice you have made provides an easy reading experience for your audience.

4. Avoid overused fonts.

Certain fonts carry a stigma with them due to how they may have been used, or overused, in the past. Fonts like Papyrus have been used in so many – often poorly applied – ways that they immediately have a negative association attached to them. In the case of Papyrus, there is even a website called Papyrus Watch that will show you many examples of how this font has been used and abused. Other fonts become overused in a relatively short time. The typeface Gotham was used by the Obama campaign in 2008, and it quickly started showing up everywhere as other designers jumped onto the bandwagon of this suddenly popular font. As a result, Gotham quickly hit the saturation point and now feels cliched. Some fonts may not be overused in general but only in your niche or market. If your competitors all use the same type choices, there is an easily forgettable, vanilla quality to that approach. By choosing a different typeface, you can set yourself and your site apart from your competition right from the start.

5. Practice restraint.

The wealth of fonts available to use today makes it very easy to overdo it, but by practicing restraint and limiting your site to maybe two or three different font choices at most, we can work to avoid overuse. As Robert Bringhurst says in his definitive volume, The Elements of Typographic Style, “Don’t use a font you don’t need.” By limiting your site’s design to only a couple of choices, you’ll create a clean, clear visual rhythm and ensure that the variety of type styles do not create a confusing mess.

6. Choose complementary fonts.

One way to limit your font choices is to select a pair of fonts that contrast and complement each other, perhaps with one choice for headlines and another for body text. This contrast, and the restraint demonstrated by your choices, will help create a professional and readable presentation. A look at my own personal website shows this contrast. The site uses two fonts, the thick slab-serif ChunkFive for the navigation, main billboard message and logo, and a contrasting sans-serif font, Roboto, for the body text. The thick, chunky letterforms of the slab-serif work well alongside the thin, clean letters of the serif, creating a presentation that is easy to read with font choices that do not overpower the messages I am trying to send.

In summary

With a basic understanding of typographic best practices, you can better communicate with your design team to select font choices that work best for your organization. Some basics to remember include:

1. Despite the advancements made in web fonts in the past few years, there are still limitations to what we can and cannot do with fonts on our websites. Ask your web team about these limitations to ensure you make choice that will work on a technical level.
2. Understand the different font classifications and make choices that reflect the personality of your brand.
3. Always remember that readability is key and choose fonts set at a size and color contrast that make them easy to read on the screen.
4. Avoid overused fonts or fonts that carry a negative association with them from the very start.
5. Don’t overdo it. A few judicious selections should be all you need.
6. Look for fonts that pair well together. Using one font for headlines and another for body copy is one way you can the number of fonts while still maintaining nice variety and contrast.

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