How Loyalty App Can Boost Your E-Commerce Business

Entrepreneurs claim there is just a single step from reward to loyalty when it comes to fruitful business interaction. The survival of a retail business, especially throughout challenging times, dramatically depends on having regular customers who stay loyal even in the darkest times.  As you might have already guessed, a dedicated customer base is an important capital for any enterprise, especially in the e-commerce industry. 

Do you struggle to remember the Pareto principle? According to Forbes, 80% of a company’s total profit comes from 20% of its customers. It means that by cultivating cooperation and focusing on customer loyalty, you can significantly boost your business performance while staying on top of things. 

A Little Loyalty Goes A Long Way 

Attracting a new client isnt a piece of cake. In fact, this process is more difficult and expensive than retaining a current one. However, by increasing the retention rate by 5%, it is possible to boost your company’s profit by 25-95%. 

When discussing loyalty, bankers are increasingly focused on maintaining great relationships with clients, reducing churn, and managing client behavior. To avoid any confusion, we suggest distinguishing between the concepts of “reward program” and “loyalty program”. 

The reward program comprises bonuses, cashback, and miles, which have already become familiar to multiple clients from all corners of the globe. The major goal of this program is to encourage customers to make non-cash card transactions.  On the other hand, a loyalty program aims at building and structuring relations with clients. This comprises rewarding customers, communicating with the clients productively, being on the same page, exploring incredible experiences, customizing product offers, and other appealing features.  

Winning Hearts and Minds: Communication as a Brand Tool

Transparent and effective communication with the brand can either attract a client and make them fall in love with the company or turn them away forever. It is recommended to take this aspect into account at all levels and channels. In the contemporary world, an omnichannel approach is indispensable. What does it mean? Providing your customers with multiple channels for communication is an absolute must. 

Let’s imagine: a client notices a promotional post on a Facebook page and becomes interested in a particular product. He can ask about the cost directly in the comments under the post, place an order by phone, and then follow up on Facebook Messenger to clarify the delivery method when it comes to the e-commerce page. This type of interaction is prolific for both a company and a customer since they experience mutual interest, and the buyer might turn into a dedicated client in the future. 

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To attract more successful user cases, it is recommended to use the services of an experienced eCommerce app development company to skyrocket the online presence of your retail store or offer extra perks for dedicated customers. 

Loyalty App: A Special Privilege for E-Commerce Customers 

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A loyalty program can be compared to aerobatics: it is not enough to maintain ongoing contact with the clientele through newsletters about new products and promotions. It is much more important to make your clients feel special by sending birthday wishes, offering membership to the VIP client club with a set of bonuses, and implementing a transparent discount system for any occasion. 

Some common perks of a loyalty app for e-commerce customers include the following: 

• Loyalty and reward programs stand out as a convenient way to integrate loyalty programs into the application while encouraging customers to make repeat purchases and attract friends through referral programs. 
• Emotional connection and trust. This aspect is often underestimated, but mobile applications can form a strong emotional bond, using elements of gamification, social networks, and virtual or augmented reality.
• Interaction with user content. Mobile e-commerce applications encourage clients to post reviews and reviews on purchases. Based on feedback, brands improve the quality of their products, thereby making the audience understand that their opinion matters to them. 
• Push notifications. This is an effective way to communicate with the audience in real-time. Remind the user that they forgot to complete their order, even though they collected all items in the basket. As an alternative, offer a promotional code for particular goods and services. 
• Personalization and segmentation. Most users would appreciate the personal touch to make them feel special. The secret is that mobile applications for the retail industry store data about user actions and can adapt to their preferences, interests, and behavior. 

Final Thoughts: Is Mobile Loyalty App Worth It? 

Loyal customers have always been a constant goldmine, and a group to be continuously rewarded. It is crucial for them to know that you genuinely care about their interests, and see them not just as a source of income, but as personalities with emotions and needs. Today, there are multiple ways to retain and satisfy loyal customers. We believe that an e-commerce mobile app is a Thank You gift to all those who have turned to your business over the competitors.