Not every loyalty program includes member tiers, but for those that do it’s a powerful feature. The benefits to establishing rewards tiers are being able to offer more targeted rewards and displaying your program’s unique attributes, among several others.
The most beneficial aspect to member tiers is perhaps the most obvious, yet rarely is explored.
They enable you to identify your most loyal customers.
Look, it seems obvious even as it's typed out. But consider the customers in your top-tier:
He/she spent the necessary amount of money to get there. They participated in engagement opportunities for extra points. Top-tier members repeatedly visited your business, either online or at a physical location. They paid attention to emails, social media, and website announcements.
They’re your ideal customer in every sense. And you already know who they are -- because they’re top-tier members.
Being able to identify your best customers is great because you can learn---
The Main Reasons Top-Tier Members Stay Loyal
Customers have reasons they keep returning to your brand beyond price.
If a customer was only focused on achieving the best discounts then their participation in your program would be less consistent. A customer that regularly returns demonstrates they value specific qualities about your business or loyalty program that aren’t just better pricing. One reason could be your knowledgeable customer service teams or great return policy. It could be because you offer a wider variety of products or visibly better quality products. They might even appreciate if your business supports a charity/cause and want to support you in turn.
Understanding why repeat customers regularly shop from you helps pinpoint what your particular customer base looks for in a retailer or supplier. Furthermore, you can use this type of data in numerous ways. For example, you can fine-tune your marketing, target your approach to potential customers, or educate your internal stakeholders on what is and is not working.
Additionally, one of the best ways to gather this data is to---
Invite Top Tier Members To Participate In Surveys and Questionnaires
Customer surveys and questionnaires are critical opportunities. Customers who reach your top tier have been with you for sometime. As a result, they most likely have opinions and feedback beneficial for your brand.
Your platform should include quantitative data you can use to report and improve your program. But qualitative data directly from your customers is also valuable. Customer surveys identify gaps or potential improvements in the program experience directly from the individuals using it regularly.
You can also utilize customer feedback when brainstorming opportunities to keep your program fresh and interesting. By identifying what your customers enjoy, what they would like to see, and features that would keep them coming back, you can incorporate additional perks into your program. As a result, you're able to stay market competitive rather than becoming stagnant.
All of these tactics are geared towards one central strategy, which is---
Keep Customers Happy
One of the main goals of each loyalty program is to grow customer retention. At the end of the day you’re ensuring customers enjoy your products and services.
Your top tier members are where you find your customer retention success stories. These are customers who feel real affinity towards your brand. One of the best ways to show your appreciation for them is acknowledging them publicly. There are numerous examples of member-events and recognition awards from brands in every retail sector. Above all, every customer likes to feel appreciated and top-tier members are among those who deserve it the most.
In addition, rewarding your top-tier members in open, targeted ways can inspire customer loyalty beyond the individual level. With the rise of social influencers along a growing need for transparency, showcasing actual customers who genuinely enjoy your products is a fantastic demonstration of brand affinity.
What You Need To Keep In Mind
When all is said and done, every customer is important. Treat every customer with excellent service and products, whether they’re a first time buyer or a VVIP. Your brand will continue to inspire widespread customer loyalty by demonstrating every customer is valuable, and that value only grows over time.