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.

---

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

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

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

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

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

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

UserTesting.com

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

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

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

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

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

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

Team Treehouse

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

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

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

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

Windows Azure

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

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

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

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

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

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

RightBanners!

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

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

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

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

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

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

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

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

PSD2HTML

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

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

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

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

DealFuel.com

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

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

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

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

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

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

AppSumo

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

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

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

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

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

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

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

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

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

TemplateSOLD

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

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

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

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

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

---

Don’t Fear the Reviewer

Does the idea of allowing your customers to rate your products on your website make you uneasy? If so, it’s time to reverse your thinking: don’t fear the reviews; fear what their absence is costing you. Here are four reasons why encouraging your customers to post product ratings will not only strengthen their allegiance to you but also help you capture more sales:

Break through the trust barrier

As we established previously in our article on the culture of the Web, the Internet collective harbors an inherent mistrust toward all corporate entities, and unfortunately for you, retailers are no exception to that rule. On the other hand, peer validation is everything. No matter what you do or what you sell, if people love it and vouch for you, you’ll be strongly positioned for success. In the absence of this corroboration, you face a significant burden of proof to overcome the natural skepticism of the collective. What does this mean for you? You can spend hours meticulously crafting eloquent descriptions for each and every product you sell, but they will never carry the weight of a review that one of your customers spends five minutes to dash off. Reviews demonstrate that you stand behind your products and you have nothing to hide.Fair? Perhaps not. True? Absolutely. It’s all about trust. However, when it comes to trust, you actually get extra credit for the very fact that you do empower your customers to publish their feedback on your site. For new visitors who may not be familiar with your brand or your reputation, these reviews are a badge of transparency that demonstrate that you stand behind your products and you have nothing to hide.

Tip the scales in your favor

Online shopping is a fact of life in today’s world. However, as commonplace as the act of buying on the Web has become, there is always still a lingering hint of uncertainty that resides with customers because they cannot see, hold and judge an item for themselves before committing to the purchase and paying the associated shipping costs. This effect is multiplied for certain types of merchandise like clothing and shoes. I may know that I generally wear a size 11 running shoe, but when deciding between different brands and styles, how can I tell whether my chosen shoe will run true to size, offer the level of cushioning I desire and be comfortable for a five-mile jog? The last thing you want in this situation is for me to give up and go to a bricks-and-mortar store where I can try before I buy, even if it means paying a bit more for that luxury. This is where customer reviews can save the sale by providing the reassurance I need to feel confident that the particular shoe I have selected will meet my expectations.

Turn your customers into salespeople

Returning once again to the qualities that define the culture of the Web, one of the fundamental characteristics of the Internet collective is their compulsive need to share. As a result, when someone buys something that they love, it’s practically second nature for them to talk up their purchase on sites like Facebook and Twitter. This tendency is all the greater when they can boast about a particularly unique find or an especially good bargain, as they seek the approbation of those in their social networks. It’s the virtual equivalent of taking a girlfriend along on a shopping excursion and having her ooh and ah in approval over your selections. Why not give your customers a soapbox to exercise their habitual need to share on your own site, where their opinions can help persuade other shoppers to purchase the same product when it is right there in front of them, just one click away from landing in their cart? One of the most effective customer review systems we’ve encountered is on gap.com. Not only does Gap allow customers to provide thorough evaluations of each item in their own words, but each product can be rated on several different criteria, including overall sizing, fit through the arms, chest and shoulders as well as the type of occasion for which the item is best suited (i.e. work, going out, etc.). If the prevailing sentiment among reviewers indicates that a shirt runs small or tends to shrink in the wash, I know right away to order a size larger than usual, and I can feel certain that I won’t regret this decision when my order arrives at my doorstep. Furthermore, let’s say I’m a little iffy on whether or not to buy a pair of pants based on how they look in the photographs. Rave reviews from those who have already purchased and worn the same item can provide the tipping point that will persuade me to add them to my cart. Detailed and informative reviews give shoppers the confidence boost they need to complete the transaction.As these examples demonstrate, not only will detailed and informative reviews give shoppers the confidence boost they need to complete the transaction, they can also provide enticement to splurge on additional unplanned items. As a result, chances are good that you will yield a greater number of conversions as well as an increase in the total amount of each sale.

Do your own market research

Your customers buy products from you. Inevitably, those customers have opinions about their purchases. If only you could benefit from knowing what their opinions might be. It just so happens that you can, and you don’t have to spend a boatload of cash on a consumer research study to do it. When you invite your customers to post their reviews of your products on your site, you not only open a direct line of communication, but you also send a clear message that you care about what they have to say. Open a direct line of communication with your customers.Better yet, because it is up to the customer to take the initiative to provide their feedback and they can do so with relative anonymity, you can be confident that you are receiving their honest and unfiltered opinion – much more so than if you tried to solicit a response face-to-face or with a formal survey. Although these reviews do not represent a statistically accurate sampling of all your customers, they can be instrumental in revealing insights that can be invaluable in helping you shape your product offering to better meet their needs. Even when you’ve done your homework and made your best effort to provide a great selection of high-quality products that align with your customers’ interests and concerns, there’s nothing like the candid reassurance of those customers to let you know that your instincts were right. You might even find an unexpectedly strong preference for a certain type of item over another, in which case you can consider expanding your offerings in that category. But wait! What if the feedback you receive is negative? You should be equally appreciative of the opportunity this creates to go back to the drawing board and figure out better ways to give the people what they want. Maybe the response is “I like this, but I really wish it had more of that.” Without reviews, this sentiment might never have come to light, and your customers might have just silently drifted away, leaving you wondering where they went and why. Or perhaps your reviews alert you to a problem that emerges when a product is used over a prolonged period of time or in a particular set of real-world conditions. Even the best quality control efforts can’t forecast and circumvent every potential pitfall, but armed with this knowledge, you can take proactive measures to address the issue and make it right.

Open the door to greater success

If you’ve made the investment in creating a smart, user-friendly e-commerce store, why not seize the opportunity to yield the most from that investment by adding functionality that can multiply your sales? If you’re not sure where to begin, let Fame Foundry’s expert web development team help you develop a customer feedback module that is custom-tailored to fit your brand, your product line and – most importantly – your customers.

---