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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When Less is More: An Introduction to Minimalist Website Design

Minimalism is a trend that garners a lot of debate and discussion in the website design community. As a result, chances are good that you’ve heard of minimalist design and seen its principles in practice on sites that you visit day in and day out. But what exactly is minimalist design? And is it the right choice for your site?

Minimalism defined

In website design, minimalism can easily be construed as plain, lackluster or easy to accomplish. However, that is quite far from the truth. To the contrary, minimalism is a philosophy of web design that strives to eliminate all unessential features and elements in order to enhance usability by providing a clean, streamlined browsing experience that is absent of unnecessary distractions and clutter.

Focus

Every successful minimalist design starts with a crystal-clear vision of the purpose of the site and the key messages it needs to convey. Before any design choices are made, it’s critical to outline the goals and content of the site. This requires determining what information is most vital to visitors and arranging it in order of significance. You might actually be amazed to discover how little information is actually required to help users make decisions or accomplish their goals.

Typography

Because minimalist design is reduced to only its most essential visual elements, the site’s content takes center stage. As a result, typography is key to capturing the user’s attention. The choice and usage of typefaces in minimal design is critical to creating a unique look and feel that makes a lasting impression on visitors. Therefore, it’s important to choose a combination of typefaces that both reflect the personality of the brand and provide a clean, pleasurable user experience. Yet again, restraint is key, as using too many different fonts can make the site feel unorganized and chaotic. Beyond the choice of typeface, attention to detail in size, color, spacing and weight is important to ensuring readability and defining the overall aesthetic of the site. The WPShower website offers a good example of the role typography plays in setting the tone for minimalist design, with an easy-to-read yet somber font for the main caption and a quiet font for the menus.

Color

A common myth of minimalism in website design is that it entails a lack of color. While many minimalist websites do feature a color palette that is limited to black and white, this is merely an aesthetic choice, not a requirement. Instead, just as with all other elements of minimalist design, color should be deployed in ways that emphasize focus and restraint. Minimalist sites commonly employ a single continuous background color that sets the mood or tone for the site. A carefully chosen accent color is then employed to draw the user’s attention to key features of the site, such as navigational elements or important points within the content. It’s important to ensure that the accent color is not used to excess, or else it will lose its impact. For instance, take a look at authentic style, the design portfolio of William Smith. The background is brown, with another shade of that very color used as accent, yielding an overall effect that is minimal, clean and neat.

Layout

Layout is a make-or-break element of minimalist design. It requires proper execution and an absolute lack of ambiguity. All elements should work together to keep the primary focus on the site’s content. Minimalist design requires special attention to certain key elements. For example, the company name and logo should be in a prominent location in order to establish the site’s identity and promote the brand. Next, as with any site, ease of navigation is critical. Navigation menus should be convenient to locate and use on any device or platform. If visitors are forced to scavenge for information, the website will not be popular, no matter how beautiful it is. For instance, take a look at the website of The Mavenist – a minimalist design featuring awesome typography and a user-friendly layout. Also, it is often incorrectly assumed that a minimal website design excludes images and graphics. After all, we are concentrating on good typography, few colors and highly structured layouts, so images will only introduce chaos, right? Actually, no. Images are an important component of any website’s content, and in minimalist design, images can be used to powerful effect in the absence of other competing graphical elements. For example, take a look at the Clean Dessign theme. It is loaded with images and yet maintains restraint in terms of layout and design.

White space

White space – also known as “negative space” – simply refers to the area on a web page that is not occupied by any design elements or text. Even though it is called “white space,” it does not actually have to be white. This term merely refers to the space that exists between content. White space is a critical element of any design – not just minimalism. It can be tempting to fill this empty space in order to make the best use of the available real estate on the page. However, in fact, it is this space between content that helps users make sense of the page and understand which elements are most important. In minimalist design, white space is used to help lead and direct the user’s attention. For example, content that stands alone will draw focus immediately. Furthermore, white space can also be used to group similar items together as well as to create separation and differentiate between elements of various levels of importance.

Getting started with minimalist design

While minimalist design is appealing in its simplicity, it’s not the right choice for every site. It works best for those sites that are centered around serving a singular purpose – whether that’s selling an app or presenting a portfolio of work. So how can you determine whether your site would benefit from being redesigned with a minimalist approach? The answer is more simple than you might think. No matter what business you’re in, your website exists to help that business grow. Therefore, every decision you make with regard to your site should be based on whether it will help to advance your business growth objectives. A good place to start is by evaluating your current website. Make a list of its various features and components. Now arrange that list in order of usage, with the most commonly used ones on top. From there, go down the list and eliminate any that are not often used or are not essential to supporting the business objectives of your site. If what remains on the list reflects a few relatively simple ideas and functions, your site could be a good candidate for a minimalist redesign. Further exploration with an experienced website design firm will help you identify the ways that your site could be simplified and streamlined. As always, usability trumps all, so any changes must be driven by the goal of providing the best possible experience for visitors that motivates them to take action. Implementing minimalism just because it is a popular trend could ultimately undermine your site’s ability to help you capture and convert new customers. But if your aim is to present a focused message in a powerful way, minimalist design will provide a stage where those ideas can shine.

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Fantastic Four: Blockbuster Secrets from the Marvel Marketing Machine

Recently, a trailer for the upcoming movie “Avengers: Age of Ultron” was leaked online. Marvel, acknowledging that the trailer was out there, decided to release their official version of the trailer a short time later. Twenty-four hours after the leak first hit the Web, the official trailer had already racked up 34.3 million views on YouTube! Marvel has what we all want – an audience eager to view, share, and discuss their content. The top two-US-grossing movies this year, namely Guardians of the Galaxy and Captain America: The Winter Soldier, are both from Marvel. In 2013, another Marvel movie, Iron Man 3, brought in $409 million while Thor: The Dark World rang up an additional $206 million for Marvel. The year before that was 2012’s Avengers, which was worth $623 million and the number one spot for that year. With that kind of success, it’s amazing to think that Marvel Entertainment Group actually filed for bankruptcy protection less than 20 years ago. How Marvel has gone from the brink of bankruptcy to one of the biggest names in entertainment, with blockbuster movies, televisions programs, video games, toys and, of course, comics, is a great story. There are a number of lessons we can learn from Marvel as we seek to add the same level of superpowers to our own marketing campaigns and websites!

1. Start with great content.

It all begins with content. Marvel focuses heavily in making sure that all their products are top notch. The value of this cannot be overstated. You can market all you want, but if your content (or whatever you are marketing) is mediocre, you will be facing an uphill climb. If your content is great, it will be much easier to find that eager audience. Marvel assembles a team to create their amazing entertainment properties, including actors and actresses, writers, filmmakers, illustrators, and more. While you may not need as large a team for your own efforts, you certainly should not attempt to do it alone. If you have in-house marketing resources, they will obviously play a role in this effort, but you should also look to the subject matter experts in your organization for what they can contribute. Finally, you will want to work with whatever web or marketing agency you partner with to get their expertise added to your campaign plans and help you develop amazing content.

2. Diversify your promotional efforts.

When Marvel is preparing to launch a new movie, they look to the range of channels they have available to them to promote that release. They run ads on their television shows, they release special edition comics meant to raise awareness and excitement for the characters and the film, they even time the release of toys for the film perfectly so that kids see the figures on store shelves and make sure their parents know that they want to see that movie. This multi-faceted approach to marketing is often called “multi-channel marketing.” For websites, multi-channel marketing means using all the appropriate resources at your disposal to connect with an audience and make them aware of, and drive them to, your site and your company. If you are using social media to promote your content, that is great, but you cannot stop there. Email marketing, search engine and other online advertising, and sponsored content are all ways you can reach an audience online. There are also offline options you should consider, from traditional print and mailing pieces, to articles in print publications, to appearances on news or radio. Not all of these may make sense for your campaign, but the point is that all of these, and more, should be considered. This is another thing you will work with your marketing agency on – identifying which channels make the most sense for your particular campaign. Whatever you decide on, however, you are almost certainly going to find that multiple channels will play a part in your eventual plans.

3. Tie it all together.

One of the things that Marvel has done expertly is to tie their properties together to create something that is bigger than just the sum of its parts. The Avengers movies are an obvious example of this since they combine characters from a number of Marvel’s solo-movie projects, including Iron Man, Captain America, and Thor. In addition to the Avengers films, which feature an all-start cast of their characters, Marvel has also made it a point to include ‘teasers’ at the end of their films. These tie-ins create excitement and get people talking not only about the movie they just saw, but also what is coming next. When you are considering your own content and campaigns, you should be thinking about how you can tie things together. This could be something as simple as cross-promoting similar products on an Ecommerce site or adding links to related articles at the end of a blog post. These are both ways that you can tie things together and increase overall exposure. If you are a services driven organization, another avenue you may consider is explaining how those various services you offer tie-in together and complement each other. If you’ve ever told an existing client about another service you offer, only to hear them say, “I didn’t know you did that!”, then you can see the value in cross-promoting your offerings by tying them all in together in some way.

4. Introduce new offerings and embrace new audiences.

As mentioned earlier, this year’s top-grossing movie in the US is Marvel’s Guardians of the Galaxy. This is notable because, before the movie’s release this summer, few people outside of diehard comicbook fans had ever heard of these characters! Heroes like Iron Man and Captain America were well known prior to their movie debuts, so there was already some name recognition that certainly helped fuel the success of those films, but Guardians of the Galaxy is about as obscure as it gets. Still, this movie has taken in over $738 million dollars in global ticket sales. The reason for this success is because the movie is great, but what is interesting is that, for people to discover how great the movie is, they had to give it a chance. People gave it chance because they trust Marvel. If you are consistent in the quality that you deliver, whether that is in the products you sell, services you offer, or content you publish, then you will build trust with your audience and customers. That trust is critical for when you want to introduce new offerings to help expand your business. Just like movie-goers trusted Marvel enough to give Guardians of the Galaxy a chance, if your customers trust you, they will be more inclined to give your new offerings a chance. If you are following the tips mentioned previously and tying things together, this trust can be doubly helpful as customers will be introduced to new offerings and the trust they have in you will encourage them to give them a shot.

In summary

We may not all be able to release a video and attract 18 million views in 24 hours the way that Marvel has done, but by following some of the same steps that Marvel uses to promote their releases, we can help our own campaigns take off.

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