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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Deconstructing the Viral Hashtag

Pick your platform — whether it’s print advertising, video, Instagram, Pinterest, Facebook or Twitter – hashtags have overtaken them all. Handy, catchy and often irreverent, hashtags are quickly becoming a mainstay of modern marketing. Like every aspect of marketing, though, some brands are more adept than others at creating hashtags that drive awareness and engage the public. As a marketing tool, hashtags can be a bit of an enigma. Many times the best ones are spontaneous and random. They have an incredibly short lifespan, and there’s no way to control them once they’re out there. So what exactly makes one hashtag succeed wildly while another one plummets into instant obscurity? Why are some hashtags so memorable and others imminently forgettable? The short answer: The most effective hashtags appeal to a wide range of people because they key into the human psyche in a powerful way. Let’s deconstruct a few of the most viral and memorable hashtag campaigns of the past few years and uncover the secrets of their success:

The appeal of social currency: #firstworldproblems

The nonprofit organization Water is Life (http://www.waterislife.com) was looking for a way to raise money to supply clean water to villages in developing countries. And they hit on an innovative way to do it, with a video and print campaign that capitalized on the popularity of the existing hashtag #firstworldproblems by juxtaposing the perceived problems of Americans against the all-too-real struggles experienced by those in less fortunate nations around the world. In the documentary-style video, complaints from actual #firstworldproblems tweets – including “I hate it when I go to the bathroom and forget my phone” and “My son got the wrong toy in his Happy Meal” – are read aloud by impoverished Haitian families. The stark contrast in conditions really struck a chord with viewers, who discovered newfound perspective on just how lucky they are to have such superficial issues. The campaign took off, with the video drawing a million views in just four days and response that generated enough donations to supply clean water to impoverished communities for a million days, according to Water is Life. The psychological appeal of this campaign and its signature hashtag is an interesting one. It leverages the natural human desire to accumulate social currency — to appear generous or to “look good” to our peers — to drive people to perform acts of generosity they might otherwise not consider. By poking a bit of gentle fun at the public while educating them to issues of real concern, Water is Life created a tidal wave of awareness and action.

The appeal of emotion: #SFBatKid

There’s no doubt about it: people share content that inspires strong emotions, and the BatKid story was one of the most emotionally appealing stories of 2013. The campaign, which was spearheaded by the Make-A-Wish Foundation, reached out to the city of San Francisco to help make a little boy’s dream come true. And five-year-old Miles Scott, who is currently in remission from life-threatening leukemia, got his dream — and then some. Powered by the Twitter handle #SFBatKid, the Make-A-Wish Foundation originally hoped to attract 200 volunteers in their effort to help Miles become Batman for a day. But the story and the hashtag caught fire, and the foundation was inundated by responses from as far away as Norway and Australia. About 10,000 San Franciscans turned out to watch as BatKid saved them from several dastardly villains. Even the mayor got into the act, giving Miles the key to the city as thousands of spectators watched from the steps of City Hall. It’s important to note that although this could have been framed as a sad story, it wasn’t. Sadness evokes a low-energy response that rarely results in action. Instead, the uplifting #SFBatKid campaign inspired a whole city to act by appealing to the most positive human emotion: hope.

The appeal of humor: #tweetfromtheseat

Who knew toilet paper could be so funny? In a cleverly designed campaign, Charmin managed to get people laughing in and out of the bathroom by transforming a taboo behavior into an ongoing conversation with their playful #tweetfromtheseat. With a little wink and some witty repartee, Charmin’s #tweetfromtheseat campaign incorporates current events and other brands into their Twitter feed — and the public loves it. As a result, they’ve turned a mundane household product into something special and built a huge, highly engaged following at the same time. It’s truly an inspired campaign, with an appeal that’s simple but nevertheless effective. After all, people do love potty humor.

The dual appeal of practical value and social proof: #40dollars

Talk about the power of a tweet: the Obama White House used the hashtag #40dollars to great effect to lobby for an extension on the payroll tax cut. The campaign began in February 2012 when the President tweeted “Taxes will go up for 160 million Americans by the end of this month if Congress doesn’t act. What does #40dollars a paycheck mean to you?” People all over the country responded — and a Congress infamous for not passing legislation was convinced to extend the tax cuts for the rest of the year. The #40dollars hashtag worked on two different levels: It inspired a response from Twitter users because it asked them to consider something of practical and personal value — what would an extra $40 mean to them? And it inspired action from Congress because humans are wired to respond to social proof. In other words, people embrace an idea or an action more easily when they see others agreeing with it.

#thebottomline

Even hashtags that seem to be completely spontaneous — and lucky at that — are often the result of some serious planning. (Check out Oreo’s #dunkinthedark Super Bowl tweet for a great example.) If your business is looking to leverage the power of hashtags to create a lasting impression, you can use these notable success stories as your model. Spend some time strategizing. Think about what type of appeal will work best for your brand, and make a deliberate effort to tap into it. Be thoughtful, be creative and be daring! If you can hit the right notes, you’ll not only be the brand of the moment but the one that people will be talking about for weeks, months and even years to come.

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Worth a Million Words: How to Boost Your Blog with Great Video Content

So your company blog is perking right along. You’ve nailed the voice, tapped into a steady stream of ideas and inspiration and settled into a good rhythm of posting and extending your content through your various social media networks.

From here out, maintaining your momentum is as easy as lather, rinse, repeat, right? Au contraire. Now that you’ve mastered the basics, it’s time to shake things up and take on a new challenge: video content.

Why video? In today’s digital age, your followers’ brains are programmed to crave constant excitement and stimulation. Video content can engage them in different ways and offer a much more interactive experience that your standard text-based post.

Not convinced? Check out Wine Library TV, the video blog that helped Fame Foundry friend Gary Vaynerchuk skyrocket to success. On this vlog, Gary reviews wines:

It’s a straightforward concept, and he could just as easily write up his reviews as deliver them via video. But you can get stuffy, formal, written wine reviews just about anywhere. That wouldn’t be special. What makes Wine Library TV a destination point for his many thousands of loyal fans is seeing Gary V on camera in all his larger-than-life, in-your-face, uncorked, ad-lib glory.

Because video by its very nature is a more engaging medium, video-based content is also much more likely to be shared by your readers via social media. Furthermore, multimedia content gets huge points with Google. In fact, keyword searches on Google often include video posts in at least one of the top five results, making your keyword-enriched video much more visible to Web surfers.

If you’ve never made a video before, the process can seem intimidating in its unfamiliarity. However, if you can master just three key elements – content, production and optimization – in no time, you’ll be publishing great video content that will take your blog to the next level.

Conquering video content

Content is king, so there’s no reason to tackle the technical aspects of producing a video for your blog until you’ve ironed out your video content strategy.

Don’t just produce a video for video’s sake. Your videos should be a natural evolution of your blog’s content that are highly relevant to your target audience.

As with any type of content that you’d publish to your blog, the number one rule is to provide value. Whether it comes in the form of information, entertainment or both, value is the one and only reason why someone will invest their time in watching your video and pass it along to others as well.

That being said, the medium opens the door to all types of fun, engaging, creative content that simply wouldn’t pack the same punch in written format. While the possibilities are nearly limitless, here are a just few basic ideas to get you started:

Reviews

As you can see from the Gary Vaynerchuk example, video is a great medium for delivering product reviews because your words seem more authentic when your audience can watch you manipulate the item and can witness your natural reactions.

Let’s say you own an athletic goods store. The next time Nike releases the latest version of one of its running shoes, give us a video review that demonstrates what’s new about that model and how it performs in action.

Tutorials

What’s a more effective way to teach your customers how to use your products: by explaining it through words in painstaking detail or by capturing your demonstration on camera?

On their blog, Brooklyn Kitchen publishes instructional videos that run the gamut from shucking oysters to cleaning a blade grinder to sabering a bottle of champagne.

These are the types of unique how-tos you can only get from a passionate group of foodies, and their readers place a high value on this level expertise.

Ask the expert

Speaking of expertise, get your customers in on the act by having them submit questions (whether by video, social media or good old-fashioned email) that you can answer on-camera as a voice of authority on the subject.

Series

When it comes to any kind of blog content, series are great because they automatically create anticipation for the next entry and give your followers incentive to come back time after time.

Let’s say you run a yoga studio. You could produce a series of video posts, each of which takes a specific pose and breaks it down in detail, demonstrating the proper form and the muscle groups that should be engaged when executed correctly.

Crowdsourced content

Are you camera shy? Then why not leave the work of creating your video posts up to your customers? YouTube is nothing if not a testament to how much we love to see ourselves on camera.

Challenge your customers to send in a video showing the creative ways they use your products. Or ask them to submit their own video reviews, which carry the added benefit of being great word-of-mouth marketing for your company.

Polishing the production

While it’s important for your videos to look professional, you don’t need the resources of a big-budget Hollywood blockbuster to produce great content for your blog. With a little practice, you can master the fundamentals of shooting, editing and publishing high-quality video content that will engage your followers.

Recording

There’s no need to break the bank, but do shoot in HD if you can. These days, the price difference between HD and non-HD cameras is minimal, and the improvement in quality is substantial.

The most important factor in recording, however, is stability. Use a tripod – whether real or improvised – to avoid the dreaded, motion-sickness-inducing Blair-Witch-Project shaky camera effect.

To avoid jarring transitions, don’t try to pan the camera to follow the action. Instead, film in one spot, move the camera, then film in that spot, and weave these scenes together later during the editing process.

If your video involves demonstrating something on your computer, use screen capture software such as HyperCam or CamStudio to yield the best quality end result.

Lighting and blocking

Natural lighting is always best, but even if you need to use artificial light, make sure that you’re not under- or over-lit.

If you wear glasses, remove them during the shoot, as reflection on the lenses will be distracting.

Before you dive in to filming, do a couple of quick test shots to make sure you’ve got it right before you waste a great take only to discover that your face is obscured in shadow or the top of your head is cut off.

Sound

The quality of sound in your video can make or break the viewer experience. If your voice is muffled or there’s too much background noise, your viewer will quickly get frustrated and move on.

A microphone is the easiest way to make sure that you can be heard clearly and distinctly. You don't have to use the latest greatest, but get something that will allow you to keep the mic close to you. Some people use a lapel mic, while others prefer shotgun mics and others use inexpensive mics that can be purchased at just about any department store. It's really up to you and your budget, but any mic is better than none at all.

Setting

Find somewhere to record your video that’s quiet and offers minimal background noise. And don’t forget to silence all of your various devices. A ringing phone or an email alert will ruin a great shot.

If possible, film your video against a solid backdrop to minimize visual distractions. You don’t want viewers to miss out on great information because they’re checking out all the knick-knacks on your desk and your walls.

Intro

Don’t risk tripping your viewers’ itchy browser-closing finger with a long, rambling introduction. Just tell us who you are and what your website is, then dive right into the substance of your video.

Editing

Your computer probably came with some basic editing software, so use that until your level of production savvy demands more sophisticated tools.

Keep in mind that it’s okay to leave good stuff on the cutting room floor. Inevitably, you’ll record more video than you use. You focus should be on capturing the essence of your story in about two to four minutes – the time-tested sweet spot for web video.

Publishing

To save bandwidth on your website, it’s best to upload your video to a sharing site like YouTube or Vimeo and then simply embed the video in your blog post from there.

This approach also has the added benefit of making your videos available to anyone who might be specifically searching one of these channels for content related to that subject matter.

For more great production tips, here a video from a blog owner who shares a few of the lessons he’s learned along the way:

Optimizing your videos

Just as with textual content, videos can be optimized for search engines through the use of keywords.

Choose a either a single keyword or keyword phrase to focus on, and incorporate this keyword in the title of your video, the URL, the tags and the text of the post where your video will live.

Google gives even more weight to text/video combos, so be sure to include your target keyword in text both before and after the video. For instance, start your post with a brief paragraph introducing your video, then embed the video and include a full transcript below, which coincidentally is also tremendously helpful for those who may have found your post but cannot view your video due to issues such as office firewalls.

Make sure as well to create a dedicated YouTube account for your blog that is linked to your website, and when you upload your video, use the same keywords in the title, description and tags that you used on your blog post.

Once you’ve published your video post, link to it and share it with your social media followers just as you would with your written posts.

By boldly venturing into the world of video content, you can help your blog rise above the competition and create a deeper level of engagement with your fans and followers. Over time, you’ll see the results of greater exposure and know that your learning curve and hard work have paid off.

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