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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The Who, What, When, Why and How of Successful Email Marketing, Part I

In today’s social media era, email marketing is hardly the newest, most popular kid on the block, but it still remains a powerful weapon in any marketer’s arsenal, as it’s a highly efficient and cost-effective way of communicating with your existing customers as well as new prospects. It’s also simple to execute. With options ranging from online services like MailChimp, Constant Contact and Emma to customized, cloud-based platforms that can be integrated with your CRM system, you can easily create and manage your own email marketing campaigns. It’s not all sunshine and rainbows in the land of email marketing, however. Because of the low barrier to entry (specifically the aforementioned cost and ease of use), many companies dive right in without fully developing a sound long-term strategy. Yes, getting started with email marketing is easy, but doing it well is what will make the difference between a campaign that captivates and motivates versus one that is ignored and condemned to the trash folder. In this two-part series, we’ll cover the fundamentals of successful email marketing – specifically what you should be saying, how you should be saying it, when and why you should be doing so, and to whom you should be speaking.

The Who

Taking these points in reverse order, let’s start with the who. When it comes to email marketing, the quality of the list of recipients to whom your campaign will be targeted is a make-or-break factor in its ultimate success. There are no shortage of companies that are all too eager to sell you lists of addresses. However, even if these are “opt-in” lists of people who are supposedly willing to receive such emails, a purchased list will always be far less effective than one you have assembled yourself. People who have interacted with your business before – even if their encounter was as brief as a visit your website or your trade show booth – are much more likely to want to hear from you again and, as a result, will be more receptive to your message. To provide you with an example, I have recently done some email marketing work for a company that runs a series of zombie-themed adventure races. Participants sign up to run these 5k races and be chased by actors dressed as zombies, while others sign up to be the zombies doing the chasing. The company does use email marketing but not to find new participants; those generally come via word-of-mouth, social media sharing and advertising links from other websites. Instead, they rely on email marketing solely to communicate with people who have already signed up for a new race and those who have participated in the past. The messages that are sent either provide important logistical details for upcoming events to registrants or advertise future races and promotions of interest. Because all recipients are already familiar with the company, these emails are not perceived as an unwanted inbox intrusion. Rather, they are welcomed as valuable and welcome communication from an organization with whom they have already established a relationship. As a result, the company’s email blasts are typically opened by over 60 percent of recipients, and some boast open rates in excess of 80 percent. Anyone who has ever done any email marketing with tell you that an open rate of 60+ percent is incredible. By contrast, the expected open rate for a campaign to anonymous recipients on a purchased list is 5-10 percent at best. The difference is clear: people who recognize and appreciate your brand are more likely to open your emails. They are also more likely to read your message and take the action you desire.

Beyond open rates

While the percentage of people that open your email is an important metric to consider, it isn’t the only statistic you should concern yourself with. It’s also to critical to examine how many of those who read your message take the next step and engage in some fashion, such as by clicking on a link. Someone who simply opens your email, gives it a quick cursory glance, then immediately deletes that message is not a success story. Yes, they clicked on the email, and they will be counted in your open rate statistics, but they did not engage with your company in any meaningful way, and they will likely forget about you as soon as that message hits the trash heap. By contrast, someone who knows your company and has interacted with your business in the past will not only be more inclined to open and read your email but to take action after they have read it, whether that comes in the form of visiting your site to read the full text of a blog article or press release, downloading a whitepaper, registering for an event or making a purchase. And isn’t that the ultimate goal? After all, you’re not going after simple opens; you want people to take steps that further solidify their relationship with your business, and a better quality list will yield these more meaningful results.

Quality over quantity

Let’s look at some numbers: if you email 10,000 people whose addresses were purchased and who have no prior connection to your business, you will get a fairly low open rate – say 5% (a common figure for these types of lists), which means you should expect that only about 500 of those 10,000 people will actually open your message. Next, we take a list of contacts that you have careful curated over the years from customers you have done business with and connections you have made. The list will certainly be smaller – let’s say only 1,000 names in total. If you see an open rate of 30% (which is about average when you look at open rates across all industries), about 300 people would open your message. Yes, you would get more opens from the bigger list, but again, quantity does not mean quality! The majority of those 500 opens from the purchased list will junk the email immediately, while very few will engage in any way. By contrast, the 300 people who opened the email in our second example will, in the end, yield a much higher rate of engagement, which is the true measure of a successful campaign.

The Why

Even if you are communicating with contacts who know your company and have done business with you before, you cannot violate the cardinal rule of trustcasting, which holds that any and all efforts dedicated to the promotion of your business must be founded in building trust. When it comes to email marketing, the way you build trust is by demonstrating to your recipients that you respect their time and attention. Never send a purely self-promotional message; only communicate if you have something of real value to offer them. That value can come in any number of forms, whether it’s a great discount offer or a highly informative bit of content. Of course, the recipient’s perception of value is tied closely to the frequency of your communication. Email too often and you will become an annoyance, no matter how great your offering is. At best, people will begin to ignore your emails or see them as white noise. At worst, they will unsubscribe from the messages altogether. On the flip side, if you do not reach out often enough, you run the risk of slipping out of sight and out of mind. The trick is to find the balance between these two extremes by devising a plan that allows you to email frequently enough to provide value but not so often that you become a bother. Establish a schedule for your emails that will act as a guideline. I use the word “guideline” for a specific reason here – because this schedule should be flexible and not written in stone. If you insist on sending out an email blast simply because your schedule dictates that it’s time but yet you don’t have anything of true value to communicate, your emails will be ignored because while they will be reliable, they will not be important. Again, the schedule is just a guide; you must use your judgment as to whether it’s right to send an email or whether it’s best to wait.

A case study in scheduling

During the first week of every month, my company sends an email to our entire list of contacts featuring all of the events that we have scheduled for that month. Because we run upwards of 10 or more events each month, it would be impractical to send a separate email promoting each one (that would quickly put us in the “annoying” category). In addition, we also send two different newsletter-style emails – one that goes out to our clients on a monthly basis and one that goes out to our partners and vendors on a quarterly basis. However, there have been many months where we do not have enough relevant, valuable content to justify sending a newsletter to our clients. If this is the case, we simply skip that particular month. For our vendors, who already receive our emails with less frequency, we usually delay our blast by one month rather than let an entire quarter pass with no communication. In both cases, whenever we decide to skip a planned release, we make a concentrated effort to find something of value to send the following month to ensure that we stay on the radar with our readers. In addition to these regular emails, we sometimes send important, time-sensitive communication, such as service disruption alerts based on planned downtime or impending storms. In the event that circumstances necessitate sending these one-off emails, we adjust the timing of our other monthly blasts accordingly to ensure that we do not send too many emails within too short a timeframe. As this example shows, each month may be slightly different in its execution, but with a sound plan in place, you can make sure that you maintain an ideal balance of timely, non-intrusive communication.

The When

As with almost every form of marketing communication, timing plays a key role in determining whether your message is received. There are many conflicting reports on what day of the week and time of day are optimal for sending email blasts, but here are my findings based on extensive experience: Mondays and Fridays are the worst weekdays to send emails. Unless there is an urgent reason why you need to send your communication on one of these days, it’s best to avoid them altogether. This trend is easily explained, as inbox traffic tends to be exceptionally heavy on Mondays, and by Friday, everyone is primarily focused on tying up loose ends before the weekend. Instead, I find that mid-week emails (Tuesday through Thursday) have much better open and engagement rates. When it comes to the time of day, I have found that early is better than late. Emails that land prior to the start of the business day – say at 6:00 a.m. – seem to perform best. These emails greet readers in their inbox as soon as they arrive at the office (or during breakfast if they are checking email prior to heading in) and seem to perform better than ones sent even just a few hours later. And as a general rule of thumb, blasts sent in the morning outperform those that are sent after lunch or towards the end of the workday. When scheduling your next email blasts, I recommend planning an early morning, mid-week delivery, but within this window, try playing around with some different day/time combinations to see which ones work best for your particular audience.

More to come

So far we have taken a look at the quality of the recipients to whom our campaigns are sent and we have solidified a strategy for when and why to send them to ensure that we do not overwhelm those recipients with messages that are unimportant or unnecessary. In the next installment of this series, we will explore the remaining two fundamentals of email marketing success – what we will say and how we will say 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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