Everyone loves getting something for free. Reward customers who shop on your website by offering them credit points whenever they purchase a product or service from your online store.
What are reward points?
A reward point system is similar to earning Flybuys or using discount coupons. While with Flybuys and coupons, customers only benefit from a single purchase, reward points could be implemented as a residual credit system. This means that customer could benefit or earn points with every purchase, including the purchase where reward points are redeemed.
What are the benefits of reward points in your shopping site?
There are many advantages of implementing a rewards points system on your shopping cart website.
1. Encourage returning customers
As your customers spend money and earn points, they will want to redeem the earned points. Though technically they have not paid for the accumulated points, they may still feel that they have a credit amount and want to make sure it is not lost or left unused. This is one way to bring customers back to your site to spend more to use the points they accumulate.
2. Influence behaviour through rewards
Your site could offer customer rewards for various actions as part of their interaction process with your brand. For example, they can earn points for newsletter subscription, Facebook likes or even leaving a review. These actions may not be something most customers would spend the time doing, but earning free points could be just the motivator they need.
3. Encourage referrals – tell other people about rewards
Another behavioural influence could be encouraging referrals. They could either be referring others to earn points themselves or simply because they we are happy with the extra credits earned and would like their friends or family to benefit from your site similarly.
4. Move not so popular products by offering higher points
You may have not very popular items that have been sitting in your store for some time now. Selling them will help make room for new products. You can offer higher rewards for these items to encourage their sale.
5. Member registration and newsletter subscription
Most customers will also realise that in order to continuously benefit from reward points earned on purchases, they will need to register as a member of the site and thus you are able to collect more information about the customer. They could also sign up for emails or newsletter subscriptions to always be abreast of the points they have accumulated and what they can do to earn more points.
Reward points programs can be beneficial for both consumers as well as retailers – they are a great way to build customer loyalty and improve sales conversion. Talk to us about adding a reward points program to your online shop.