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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iPad – The Good, the Bad and the Possibilities

Apple’s January 27 “latest creation” media event was historical for many reasons – not the least of which was the introduction of the first real tablet. Never before has such anticipation surrounded the launch of single product, and rightfully so. When was the last time you read a book on your laptop? How satisfying is it to surf the Web on your smartphone, even if it is an iPhone? There has long been a gap in the usability of these devices for casual media consumption – a gap that Apple has now bridged with the iPad. As Steve Jobs noted in his keynote address, when developing the iPad, Apple set out to create a new category of devices that would surpass both the laptop and the smartphone in handling key tasks like browsing the Web, sending e-mail, viewing and sharing photographs, watching videos, enjoying music, playing games and reading eBooks. With the iPad, Apple has indeed succeeded in carving out a new category in the mobile device marketplace – one that makes digital content accessible in a posture that has been comfortable and familiar to humans for centuries. As with any first-generation technology, the iPad offers many exciting and novel features, but it is not without its drawbacks. However, these details pale in comparison to what is most significant about the device. By offering a new platform, the iPad promises to revolutionize media as we know it today – from the way we consume it to the way it is created, packaged and marketed – bringing sweeping changes to our culture and a number of industries along the way. Here's Fame Foundry's take on all things iPad:

The Good

• Revolutionary, unhinged tablet computing device in book-holding posture
• Addresses all core functions desirable in a mobile computing device: Web browsing, e-mail, address book, calendar, notes, photos, music, video
• Capability to create and edit documents, spreadsheets and presentations with iWork apps
• Ready to run 140,000 existing apps out of the box
• iBooks available to purchase and read on-demand
• Potential to accelerate the growth of the emerging marketplace of “cloud” products, computing and storage
• Hardware is thin (.5 inches thick), lightweight (1.5 pounds) and elegantly designed
• Full-color screen with multi-touch interface
• Sheds the bulk of input devices
• Bezel allows for comfortable holding without accidental touches
• Excellent battery life
• 30-pin peripheral extension
• Wireless and 3G capable
• Built-in Bluetooth 2.1
• Accessible price point: $499 for 16GB model with no 3G support to $899 for 64GB model with 3G support

The Bad

• No system achieved to allow non-Apple apps to run simultaneously with other apps while balancing responsiveness and battery life
• Needs broader networking capabilities for access to nearby computers
• Presents some challenges in the device’s keyboard interface and standing upright when needed (which can be solved with compatible accessories)
• No camera or capability to video chat – an already established system available even on low-end MacBooks and the MacBook Air
• No GPS device

What Will Change

• This is the beginning of the end of paper. As a handheld device that does more than the Kindle – in full color and with a touch-driven interface, innovative software and well-balanced interface design – the iPad will force print publishers to choose one of two paths: create innovative content systems and monetize or file for bankruptcy.
• You will actually be able to watch video easily and comfortably in your hand and in settings never before feasible with a computer or pocket device. In fact, the experience will even rival a high-definition movie, as holding a 10-inch tablet 14-18 inches away is the same as watching a 96-inch television 10 feet away.
• Casual computing on low-end laptops will diminish. Netbooks will need to redefine themselves or be banished to the same dismal corner of the market as underperforming MP3 players in the portable music category.
• Portable TV and video players will begin to fade into obscurity, and physical media such as DVDs and Blu-ray discs will continue to go the way of VHS tapes and Betamax.
• The Kindle’s price will drop substantially, or the device will cease to exist all together. Maybe both.
• Apple will bridge the interoperability gap between its devices, improving networking and file sharing dramatically. Macs, iPhones, iPads and AppleTV to make a bona fide push toward conquering your desk, your pocket, your lap and your living room.
• The iPad OS will continue to evolve away from its iPhone-like genesis.
• The App Store will see a bona fide split between iPad and iPhone apps.
• iPad apps – and perhaps even the OS – will accommodate more handwriting and drawing functionality. Consider what Newton did 15 years ago with the benefit of today’s advancements in software development.
• Apple declared war on Flash a long time ago, and the iPad’s lack of support for the plug-in is the latest incarnation of this. Expect developers to continue to evolve away from Flash, undermining Adobe’s long-running stranglehold on the Web.
• Gaming will enter a completely new frontier previously untouched by the iPhone platform and traditional computers.
• In the next generation of the iPad, Apple will develop an acceptable multitasking subsystem that balances performance and function and will introduce other hardware features such as a front-facing camera that will finally make the long-awaited video phone a reality. The second generation will also likely come with an even lower price point, boosting demand and furthering the iPad’s infusion into our culture.

Suffice to say, the iPad will sell well and will become firmly ingrained in the day-to-day lives of the masses – as have the iPods and iPhones that came before it. It comes with an already established, robust and broad platform of apps that is unprecedented. It is produced and backed by a company that is renown for ongoing innovation and, as with all its previous devices, will undoubtedly be improving upon the platform. Like it or not, the iPad will become a part of our everyday lives and will change everything. Perhaps not in 2010, but soon after. Below Fame Foundry's agents weigh in with their reactions and predictions for the iPad and its potential as a catalyst for change:

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• The Architect

  The truth is, Apple’s iPad is a tablet – and only a tablet. While it possesses the capabilities of many existing devices, it is not a netbook, nor a personal computer, nor a pocket device. It is, however, what the tablet was supposed to be all along: an easy-to-use, book-sized platform for content and communication, with software and an interface that allow for possibilities never before realized. As such, the true significance of the iPad lies in the long-term impact it will have on our culture. Putting aside all initial criticisms in not living up to the dreams of every power user, early adopter and fanboy, the iPad is unquestionably a game-changer. Imagine everything that currently exists in print at book or tablet size being completely data-driven and interactive. Expect to see your UPS driver carrying it. Expect to see your medical charts on it. Expect an interactive Sports Illustrated to be published with capabilities that are unattainable with current Web standards. Just as assuredly as the iPod and iPhone took three generations to hit their full stride in the marketplace, so will the iPad in revolutionizing content, communication and computing. The iPad’s first phase is now in play.

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• The Craftsman

  Although not the end-all, be-all device I was hoping for, the iPad – along with various other tablet devices – is ushering in a new era of personal computing and media consumption. The possibilities of a device like this are endless. The way people are consuming and interacting with media is changing. Virtually all forms of media will be affected by the move toward a handheld digital format, especially the newspaper and publishing industries. What a device like the iPad does so well is consolidate and present content, replacing volumes of books, magazines, papers and other forms of media. Students can empty out their backpacks and have every required book downloaded to their iPad. I also think we will see a shift from an emphasis on developing for the Web to developing applications. Apps will be the primary way content is delivered in the future. Until now, apps were lacking the right device to truly take off as a mainstream platform, but I think that device has finally arrived. But iPad went beyond media consumption when they redesigned the entire interface for iWork. I was intrigued to see how applications like Pages, Keynote and Numbers will work on a multi-touch, gesture-based device. I think the future of interface design is very exciting.

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• The Author

  The iPad is, first and foremost, a media consumption platform. However, this device is not as revolutionary in and of itself as are the changes it makes possible in the types of media that will be available to be consumed. Hardware developers have long struggled to create an interface that is comfortable for reading or viewing for extended periods of time. Now that Apple has solved this problem, as the public embraces the iPad and it becomes as ubiquitous as iPods and iPhones, we will see the emergence of a new kind of audience with evolving expectations. As demonstrated at the January 27 event, iBooks and the New York Times app are a step in the right direction for handheld digital media. However, given time, artists, writers and developers have unlimited potential to work together in changing the media consumption experience as we know it. Currently, media is segmented by format, vehicle and purpose. Books, newspapers, magazines, radio, television and movies stand alone as distinct entities. However, the iPad presents new possibilities for blurring the lines between these various media types. eBooks can become increasingly interactive, enhanced by images, animation, video and sound to offer more than just digital versions of printed texts. If movies have soundtracks, who is to say books can’t as well? Writers, designers, illustrators, animators and composers will have unprecedented opportunities for creative collaboration. Currently news outlets produce separate content for broadcast or print and for the Web. Even though an online news story might include a video or audio clip to support written text, they are not seamlessly integrated. The iPad makes this possible in ways that will offer a richer, more informative experience. Furthermore, as the iPad and other tablets eventually become the default media consumption device of choice, there will no longer be a need for entertainment to conform to a rigid half- or hour-long format for TV or two-hour movies. Instead, writers and producers will have the freedom to find new and innovative ways to produce entertaining content that is both profitable and better suited to the consumption habits of the end user.

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• The Creator

  As a designer, there’s only one thing that excites me about the iPad, and it’s not the elegant design, the slick interface, the incredible battery life or the low price. What really excites me is the iPad’s single most valuable offering — its potential to revitalize the suffering publishing industry and revolutionize journalism. As I watched the native version of the New York Times demonstrated at Apple’s "newest creation" event, a progressive yet familiar medium was being revealed. Unlike the iPhone, the iPad mimics the size and portability of traditional printed material such as books and magazines. In the example of the New York Times, the design of the page is easy on the eyes and demonstrates how typography and page design can be preserved in digital media. What’s more is there’s good news for advertisers, too. The creative ads we are accustomed to seeing in printed publications can be incorporated into page layouts for the iPad app, eliminating ineffective and obnoxious banner and pop-up ads that plague browser-based versions. Like never before, the iPad makes it possible to combine the best of traditional publishing and journalism with the best of the Web. I don’t believe the iPad is destined to replace our workstations and laptops. Rather, it will become the standard vehicle by which we consume information. It is the new “paper.”

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Ten Secrets to Must-Read Copy

If you’re counting on your website to help you grow your business (as well you should be), then you must accomplish three goals:

• You must get them there. That’s traffic building disciplines such as SEO and extending your content to places beyond your own website.
• You must engage them. That’s great design and user interface.
• You must persuade them to stay and, ultimately, to buy. That’s where razor-sharp content comes in.

The myth of web copy

The often-used argument, "no one reads anything" is true, but it’s only half the story.

The fact of the matter is that no one reads anything that doesn’t hold their interest or isn't a pleasure to read.

You have only seconds to make the case for visitors to stay on your site and give you their time and attention. Overcoming the burden of proof that your content is interesting and relevant is a formidable challenge but one that can be conquered, if you know the tricks of the trade.

Here are the 10 secrets to writing copy that demands to be read:

1. Start strong.

Grab readers' attention and make the case that what follows is relevant to their interests.

Your headings are your first make-or-break point in determining whether a reader will continue to delve deeper into your site or give up and look elsewhere to find what they need. They must grab attention and make the case that what follows is relevant to their interests.

In this way, your copy should flow like runners in a relay race. A great headline will motivate your readers to continue to the first sentence below. A strong first sentence will keep them hooked as they move to the second sentence and so on.

You must start strong and then maintain sharp, focused writing throughout to lead readers inch-by-inch down the page.

2. Break it up.

If you have only one heading on a page, you have only one opportunity to sell your content to the reader.

Don’t put all your eggs in that basket. Instead, divide your copy into sections by topic and cap them off with subheads. In doing so, you create multiple chances to grab the reader’s attention as they scan the page looking for information that is relevant and interesting.

Each subsection should have a main idea and a distinct purpose. Breaking up your text into bite-sized bits is not a band-aid for lazy writing that doesn’t get right to the point.

Prioritize and make your most important points first to minimize your chances of losing the reader before they reach your key sales message.

3. Keep it short, sweet and scannable.

No matter who your target reader is, you can be sure of one fact: their time is a precious  and limited resource. You’ll never have more than a minute to show the goods, make your point, build your case or speak your mind.

The tendency of readers on the Web is to scan down the page to identify interesting information or answers to their questions.

They aren’t likely to read more than a few sentences at a time, so make sure your key points are easily identifiable. Use call outs and sidebars to say, “Hey, you, look at this!”

Bullet points are your friends. So are periods. Short, concise sentences are easier to process while scanning.

Forget what you learned in school about paragraph structure. If a paragraph needs to be one sentence, so be it. It’s better to make sure your most important information doesn’t get overlooked than to please your sixth grade grammar teacher.

4. Choose your words carefully.

Every word on the page ticks down the clock on the window of opportunity for you to convert a visitor to a customer.

Naturally, you have great passion for what you do, and you want to share as much information as possible about your product or service with anyone who will listen.

Unfortunately, in today's culture of the Web, you just don't have that luxury.

Every word on the page ticks down the clock on the window of opportunity for you to convert a visitor to a customer.

Channel your enthusiasm for your business into making sure that your content is concise yet powerful. One fantastic sentence that hits the bullseye will serve you better than a mediocre, rambling paragraph any day of the week.

Challenge yourself to pare your text down to only what's absolutely essential. Be ruthless in writing and rewriting to ensure that there are no wasted words.

Edit, edit, edit. And when you think you are done, edit again.

5. Don’t forget to qualify and quantify.

Broad statements raise red flags of mistrust for readers.

Brevity is not a license to write in sweeping generalities. Broad statements that aren’t supported with facts or evidence immediately raise red flags of mistrust for readers.

It’s important to be specific. Don’t write excessively flowery prose like you’re describing menu items at a restaurant. Do provide meaningful details.

Statistics and customer testimonials are great assets that add credibility to your key sales messages without wasting words.

6. Write like a human.

When writing for your website, don’t turn into a keyword-spewing robot, and don’t stuff your copy full of jargon and big words to make yourself sound like an expert.

Write like you would naturally talk so that you come across as a real person and not a product brochure from the 1950s. Allow your personality to shine through. It’s better to err on the side of informality than to alienate readers with stiff, lifeless writing.

Don’t think about addressing an audience. Instead, approach your writing as if you were having a conversation with one person. What would you say if they were standing in front of you?

7. Know your audience

Knowing your audience is key to knowing what to leave in and what to leave out. You don’t have to start at A if your readers are already at K.

We’re not just talking demographics here. You must think about the typical person who would land on your website, their level of sophistication with the subject matter and where they are in their decision-making process.

Is the type of product or service you provide something that is already familiar to them? If so, skip the basics. They already know they need what you have to offer, so get down to the business of demonstrating why yours is superior to the other guys’.

Are you bringing something new to the market? Then you’ll need to take a step back and educate your readers about your product (no rambling, please!) as well as why they should trust you.

8. Focus on the reader.

Answer the questions that are present in your reader’s mind.

Good writing is not about telling readers what you want them to know.

It’s definitely not about stroking your own ego.

It’s about answering the questions that are present in your reader’s mind:

• Will this solve my problem?
• Will this save me time?
• Will this save me money?
• Is this company trustworthy?
• What if I’m not happy with the product or service I receive?

As you address these concerns, think less about features and more about benefits:

• What value will they receive from your product or service?
• What do they already use or possess, and why is yours better?
• What is not having your product costing them in terms of time, money, efficiency or even happiness and life satisfaction?

Demonstrate how your product or service pays for itself. Anticipate sales objections and address them directly.

9. Don’t answer every question.

You don’t have to introduce yourself, make your pitch and close the sale all on one page. It’s okay to leave them wanting more.

Your job is to start the conversation.

If you can hit the sweet spot between providing just enough information to pique your readers' interest and not putting all your cards on the table at once, you open the door for them to call you, e-mail you or complete a contact form.

10. Bring in the designers.

Wait a minute – I thought this article was about good writing!

Technically, it’s about good content, which goes hand-in-hand with good design.

Good content goes hand-in-hand with good design.

It’s classic a chicken-or-the-egg scenario. If your writing is Pulitzer-worthy but your design is lackluster, you’ll turn away customers. If your design is beautiful but your writing is dull and disorganized, you’ll send them heading for the hills just as quickly. You can’t have one and not the other.

Design is the packaging for the delivery your content. If a reader lands on a page and sees nothing but a disorganized sea of text, they’ll be immediately overwhelmed, and they won’t even begin to try to make sense of it.

You need the help of a designer to paint your content on the canvas of your site. By augmenting your text with beautiful photography, illustrations, diagrams, infographics and pull-quotes, you’ll create a wonderful reading experience every time.

Need help?

While each of these tactics is simple and straightforward in theory, they are challenging to put into practice.

If you are writing your own content, it’s important to sharpen your writing skills and discipline yourself to keep your text brief but powerful.

If you’re not confident that you’re up to the task, don’t hesitate to call in the professionals. Fame Foundry’s copywriters are masters of the art form of crafting your sales message so that it is both comprehensive and to the point, while addressing the key motivations and concerns of your readers.

The investment you make up-front in ensuring that your copy is sharp, concise and well-designed is a drop in the bucket compared to the sales opportunities you’ll be guaranteed to lose as a result of dull, disorganized content that sends visitors running to Google to find a more appealing option.

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