MyLoyalWallet is a data-driven loyalty and engagement platform.

We power a powerful data-driven loyalty and engagement platform for local stores. We help you drive more revenue from your existing customers, increasing their lifetime value and driving more cost-effective acquisition through advocacy. Our platform supports sustainable growth by helping stores to build better relationships.

A customer loyalty program is a long-term marketing tool used by many businesses. Loyalty programs motivate repeat purchases and customer retention by offering rewards to shoppers who demonstrate loyal buying behaviors. They also help increase the lifetime value of a customer by driving up average order value and increasing purchase frequency.

Today’s turbulent marketplace demonstrates the importance of customer loyalty. More and more stores are launching every day, making it hard for stores to stand out from the competition. A loyalty program gives you a key differentiator that sets you apart from other big brand stores.

A loyalty program acts as a cost-effective customer retention strategy. Loyalty programs improve a customer’s lifetime value as the often points-based system motivates them to return to your store more frequently. They also increase the average order value as loyal customers tend to spend more. Additionally, if you reward points for reviews and referrals, customers will act as advocates on your behalf and your customer base will expand.

Finding new ways to engage and retain customers is a huge part of success. Across the board, customers are becoming harder and more expensive to reach. In fact, data shows that only 9% of digital ads are viewed for more than a second. Advantages of loyalty programs include attracting shoppers back to your store without spending lots of time and money acquiring new customers.

Loyalty programs help you identify your most loyal customers, focus your marketing efforts on them and increase their lifetime value. And, with the market growing by 13% every year, a loyalty program can help you differentiate yourself from the competition. Most importantly, a loyalty program shows your customers that you value them as individuals, rather than just another number.

When deciding if a loyalty app is right for your store, look at your product offering. In general, customer loyalty programs work best for stores that sell products with a high purchase rate – such as food and drinks, clothes or cosmetics.

Be sure to think about whether you’re competing with stores very similar to you every time a customer makes a purchase. Could your customers buy their desired product from your store one day, and your competitor’s the next? If you’re finding that this is the case, a loyalty program offers the perfect opportunity to differentiate yourself from the competition.

We believe that there’s no point in delaying the launch of a loyalty program or waiting around for your orders to increase – whether you’re a small growing business or a large global enterprise. You could be losing out on valuable customers who want to join. The sooner you implement your loyalty program, the sooner you’ll get your customers on board and sharing out rewards.

When is the right time to launch a loyalty program?

There are many tell-tale signs that it’s the right time to launch a loyalty program. Here are just a few indicators that it’s time to pull together a loyalty program implementation plan:

1. If your repeat purchase rates are declining and revenue from your existing customers is not covering the cost of acquiring new customers.
2. If you’re finding that a majority of your customers are “at-risk”. In other words, if they haven’t returned to your store to make a second purchase in a specific timeframe.
3. If you’re struggling to keep your prices in line with your competitors or if you’re getting stuck in a race to the bottom.
4. Finally, if you’re finding that you have more customers browsing than buying, meaning you’re missing out on high-quality traffic.

There are many different types of loyalty programs. A tiered loyalty program is a sure way to boost program engagement and gives members the motivation to keep interacting with your program. Each tier should offer exclusive rewards that are not accessible at other levels. You could even use loyalty program gamification to create “hidden tiers” that will surprise and delight your customers when they unlock them.

Criteria for progressing to the next tier could include things like hitting a points threshold or carrying out certain on-site activities. If customers know there is more to your loyalty program that’s attainable, they’re more likely to take the actions to move up through the stages and, therefore, engage with your loyalty program.

In our experience, they do. If you offer points for spending, customers are more likely to increase their basket size to make the point threshold. Then, if they continue to engage with your loyalty program, they’ll accumulate points that they will use on purchases further down the line. This increases their lifetime value and the amount they’ll spend with you long-term.

The numbers speak for themselves. Our customer, saw their loyalty program members spend 72% more than non-members.

We suggest rewarding both transactional and non-transactional activities within a loyalty program. Transactional activities are those that involve a purchase. Non-transactional activities relate to broader customer engagement. Here are a few examples of behaviors you can reward points for:

1. Points for purchase – offer points for each product bought and bonus points for specific products or collections.
2. Store visits – for either individual visits or when a customer returns a certain number of times.
3. New Member – when a customer joins your loyalty program, instantly give them points they can use in their next transaction.
4. Referrals – this could be if the customer simply makes a referral or when the referred customer joins the program.
5. Reviews – encouraging reviews can help you gather the social proof that will validate your brand over the competition.
6. Social shares and follows – this shows customers that you are paying attention to them, encouraging them to continue acting as advocates on your behalf.
7. Newsletter signups – this keeps the lines of communication open and make sure that customers are receiving your content, special offers and news.

When first setting up a loyalty program there are four main costs you need to consider: the cost of the software, promotion of the program through marketing efforts, and the value of your rewards (how many points are assigned to each dollar spent).

A loyalty program will generate more revenue through three main streams. First, a loyalty program increases your customer’s lifetime value. With points in their account, they’re more likely to return to your store further down the line and spend them. Secondly, by incentivizing customers with points and free rewards, they’re encouraged to increase their average order value to reach the threshold. And finally, by rewarding specific products in exchange for points, you can easily shift excess stock without slashing prices.

Loyalty programs are a powerful tool for reducing reliance on discounting by incentivizing customers to continue purchasing from your brand without the need for constant price reductions. For example, you can offer exclusive rewards such as free shipping or access to new products which will encourage customers to keep returning.

The best loyalty programs comprise savvy ways to keep customers engaged without breaking the bank. By rewarding points for in-store activities (such as social follows) and purchases, you are encouraging your customers to engage with your brand regularly and spend money with you further down the line.

When you initially enrol a member on a customer loyalty program, utilize email automation to establish a good relationship early on that will drive ongoing engagement. Then, once a member is on board, you can send personalized loyalty emails that encourage them to return to your store and keep engaging. After all, loyalty emails have click-through rates as high as 35% – way above the average 18% for other marketing emails.

Repeat purchase rate is the percentage of customers that have shopped at your store more than once. They’re also referred to as reorder rates, customer retention scores or repeat customer rates. It will range from 0-100% and a higher percentage means that more customers are returning to your store.

A loyalty program encourages customers to return to your store, shop with you again and spend more, therefore improving your repeat purchase rate. By rewarding customers points for purchasing and in-store behavior, you are incentivizing them to come back again to spend these points further down the line on other purchases.

Top loyalty programs award points for purchases and encourage customers to spend more to unlock larger rewards. In fact, the average basket size of a customer using a loyalty reward in a purchase is 39% higher than the basket size of a customer who doesn’t.

A loyalty program can be a very effective tool for building a profitable customer community. For example, you can use your loyalty program to create a sense of exclusivity for your most loyal customers, offering special rewards or benefits to those who achieve a certain level of loyalty. You can also analyze your customer loyalty data to identify their needs, interests, and preferences, enabling you to build better connections with your community.

Many strategies can help you better understand your customers so you can serve them a personalized customer experience. A loyalty program is a golden opportunity to send customized loyalty program emails to your shoppers to improve engagement and build long-term relationships. This is mainly because loyalty programs enable the collection of first-party data on your customers. With this information, you can engage your members in a much more personalized way.

Your emails could summarize the points they have already acquired or prompt them when there are points to redeem. You could also use the data from your loyalty program to send emails with product suggestions that match their previous buying behavior.

A loyalty program can help you identify shoppers who have abandoned your program and re-engage them with certain incentives to complete re-interest them. Send them loyalty emails or notifications to remind them of the points they could have acquired. This way, they are less likely to abandon your program in the first place.

The first key indicator of successful loyalty programs is how many of your customers are joining your program. By understanding your conversion rate you can understand whether or not your loyalty program is attractive to your new and existing customers. It’s also important to observe if your customers are engaging with your loyalty program, so be sure to measure the percentage of customers who use or redeem rewards.

You need to also take note of your repeat purchase rate and average order value. This clarifies if your customers are coming back to shop with you and if they’re spending more. Most importantly, measuring your customer lifetime value is a sure way to map out the long-term success of your loyalty strategy. It helps you calculate how much a customer is worth to your business and it’s a great indicator of your most valuable shoppers, allowing you to prioritize where to make an investment.