As customer loyalty management continues to mature, loyalty gurus across industries continue to refine strategies to deliver increased relevance to their customers. This includes retailers, financial services, travel & entertainment and subscription services. Each industry shares the goal of winning customer loyalty for their brand. The execution of their loyalty efforts may vary but the objectives have much in common including:
- Creating top-of-mind customer connection with the brand
- Increasing customer share of wallet
- Developing more top-tier customers
- Reducing attrition and defection rates
- Improving loyalty program and campaign ROI
Loyalty practitioners are increasingly focused on evolving strategies to smaller segments of customers. Each customer can be treated uniquely by deploying the right mix of motivators by focusing on relevant indicators such as delivery channel, offer content, merchandise and timing. The most successful loyalty programs leverage technology, analytics, data and strategy to drive increased customer loyalty. The core of this process is the customer marketing database which drives these efforts by maintaining transactional, survey, attribute, custom metric and Web data to deliver more relevant offers and rewards.
Building a comprehensive customer loyalty program may require substantial lead time, but most database marketers can leverage their marketing database quickly to jumpstart the process. Developing custom metrics contributes to early wins.
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