The next time you have been scratching your heads to increase the sales, loyalty program is the main call for you to consider. It will cost you around 3 times extra money for acquiring some new customers than it might do to sell anything to existing customer. Some of the other resources might pin this number anywhere from 4 to 10 times extra. No matter whatever portion you are likely to deal with, procuring new customers, according to Michael Giannulis, will always be an expensive deal.
What experts like Michael Giannulis have to say:
In some of the studies, it has been found that building customer loyalty program is one way to retain customers. It is also one way to attract some new ones. If you have one clear incentive for spending extra money with you, then such loyalty programs are here to pay you off when you are for a long run.
It is always a clever option to create an attractive form of loyalty program. That will make it rightfully accessibly to the current customers. In no time, you can see your sales skyrocketing with every passing time.
Mike Giannulis always talks about customer retention:
The main motive behind any of the royalty program is to retain your customers. For that, they are going to be rewarding for their repeat purchase behavior. Loyalty will only be there whenever a person patronizes any particular store regularly, which that person trusts and likes. This is one major tool, used for retaining customers by providing them with a motive to purchase again and establish that to be a habit.
- Some studies have clearly explained the relationship taking place between retention rate and loyalty program.
- One study has indicated that the relationship perception of the customer is likely to provide the company around 10% of total variation in the customer share and retention.
- Even some of the own loyalty statistics of major business corporates have shown that a properly implemented loyalty program can help them with increased revenue by 5 to 10%.
- The loyalty members are so proud to spend around 5 to 20% more on the companies than any of the non-members, which checking out the math on an average.
- Even the members within such programs can purchase 5 to 20% more frequently when compared to any of the non-members.
Importance you cannot deny:
For the smaller businesses, it is really hard to catch up with financial support whenever they need one. So, they have to make some major decisions while focusing on investment and taking help from professionals like Mike Giannulis will work out for them big time. It is always better to work with those who have already created a trust on your company and create a strong bond with them. If they are able to trust and like you, they will subject more extra customers towards your side. This is one cool way to improve your business scale rather than trying hard to invite new people within the block always.