Embarking on Customer Loyalty: Through the Eyes of a Customer
On a sunny Monday afternoon, I entered the store of a well-known premium brand for home scents, candles, and beauty products from the Netherlands. I was about to pay when the sales advisor asked me if I wanted to join their loyalty program. I would receive a gift right away. Well, why not?
A quick scan of a QR code with my smartphone directed me to a short webform. Entering my data was quick and painless. No endless pages with tons of questions. The efficiency resonated with me.
My personal highlight was yet to come: At the conclusion of the process, I was presented with a digital loyalty card, which I could neatly add to my digital wallet. Needless to say, I loved this feature. In fact, for a brief moment, my excitement over this digital convenience even outshone the gift I received with my purchase.
Upon returning home, I checked my emails and found the customary welcoming message in my inbox. Which was fine as it served as confirmation to me. However, only a few hours later, I found two more emails from the brand in my inbox. This left me wondering: How much is too much?
As a customer, I felt a tinge of annoyance. As a marketer, I thought they could have spaced out these two messages across the next few days so that I would have found some pleasant surprises in my inbox. Only a few hours after my purchase, I did not feel the urge to buy something again, so the voucher I received went unused. What followed the initial three emails in less than 24 hours? Silence.
As marketers, we might be prone to overdoing things (or secretly enjoy it) and sometimes forget how we ourselves react to an influx of communication. However, we probably all agree that it is key to keep a balance between engaging with customers and overwhelming them.
According to a survey conducted by cloud-based business analytics platform Databox in 2022, companies take different approaches when it comes to email frequency. The majority of their respondents (45%) send updates weekly or several times per week to their recipients. However, we have to acknowledge that the frequency depends on the brand’s customer preferences and that the right amount is mostly found by a mix of research and trial and error. Thus, paying close attention to customer engagement metrics, such as open rates and click-through rates, needs to be considered to decide on the effectiveness of email campaigns.
From my customer loyalty program experience, I derived three takeaways:
Finding alternatives to a physical card or web-based approach that requires credentials is a win. Sure, I could take a screenshot of any code, but having to scroll through my current 2900 pictures to locate the correct one is rather time consuming. By adding the card to my digital wallet, I am sure to have it at the ready when I need it.
Keeping a delicate balance between informing customers and overwhelming them is crucial. There is no right or wrong in terms of communication frequency. Therefore, we need to do our research when designing customer email journeys and take a close look at our data, yet stay open to testing and continuous adaptation.
Finally, we need to remember that while initial engagement is important, sustaining long-term engagement through relevant and valuable content is equally important for the success of your loyalty program.
Best regards,
Your Friendly Mystery Shopper