Profiting Customers And Companies, What Is A Loyalty Program?

Illustration of loyal customers (Unsplash)

YOGYAKARTA 'Keeping customers loyal to the company is one of the important steps that must be taken. One way is to launch a loyalty program. Then what is a loyalty program in the actual business context?

As the name suggests, a loyalty program is an effort made by the company to maintain and give appreciation to loyal customers. This program targets customers who are loyal to use or use goods and services offered by the company for a long time.

This loyalty program is part of the marketing strategy of business people so that customers who have used company products remain loyal to these products so that they continue to make transactions.

Customer loyalty to certain products is very important, especially in the current era considering that currently many products with various brands so that the potential for customers to change course is very large. Then, what are the benefits of a loyalty program?

In the midst of volatile market conditions, the loyalty program plays a role in keeping the market stable so that the potential decline in product sales can be minimized.

In the business world, customers or consumers are very important. Companies that manage to maintain good relations with customers can help the company grow.

The loyalty program also plays a role in increasing sales because usually in a loyalty program, the company will make attractive offers for customers so that the company's potential for selling its products is easier to achieve.

Companies that have loyal customers who survive with the products of goods and services produced have an important role in business development. Indirectly they provide important information for product development.

Did you know that loyal customers either directly or not participate in improving brand awareness of products or companies. When the process occurs, it is very possible to attract new customers.

Currently, many companies have created a program of loyalty. Various forms and examples are as follows.

This program will provide points for consumers for every purchase of certain products. When customers get a certain number of points, they can exchange these points for attractive gifts or facilities such as souvenirs, cashbacks, and so on.

For example, the marketplace will provide 5 coins for customers who review the products according to the applicable S&K.

The form of tiered loyalty provided is in the form of certain benefits based on the rankings achieved by customers. The higher the ranking that consumers have succeeded in achieving, the more benefits that consumers will get.

For example, marketplace A will provide a 10 percent discount for bronze customers. Meanwhile, silver customers will get a 20 percent discount, and so on.

Have you ever met a 50 percent promo specifically for members? The form of the promo is part of a loyalty program. Please note that the benefits provided by the company to customers who are members are also diverse, can be in the form of souveni, discounts, free shipping, and so on.

That's information about what a loyalty program is. Visit VOI.ID to get other interesting information.