Loyalty apps are in vogue. Companies worldwide embrace the new shift of establishing a brand's name and maintaining customer retention through loyalty apps. According to a survey by Antavo, 81.9% plan to increase or significantly increase their investments in customer loyalty over the next three years.
Most industries apply loyalty programs to boost sales and expand their customer fan base.
These industries include but are not limited to:
- Hair Salons
While the industries mentioned above thrive using loyalty programs, it begs to ask, what about other sectors? for the sake of this blog, the electronic industry.
Investopedia.com states that the electronics sector produces electronic equipment and consumer electronics and manufactures electrical components for a variety of products. Everyday items in the electronics sector include mobile devices, televisions, and circuit boards.
The electronic industry is worth trillions of dollars and is critical in encouraging consumers to buy innovative and smart electronic products. It's considered one of the fastest-growing sectors to exist. It is estimated that the global market for electronic components will grow by 4.8 percent from 2020 to 2025.
These statistics show how competitive the electronic industry is, as each company is on the hunt to deliver top-notch, superb, easy-to-use devices that transform the lives of its users. So one of the ways companies can reach new audiences and gain a competitive advantage is through a loyalty app.
You may not find many results if you google electronics and loyalty apps. However, it doesn't mean they don't exist or are a colossal failure.
According to study.io, A returning customer spends 3x more than a first-time buyer, and a loyal customer spends 5x more.
So how is using this information help businesses when applying loyalty apps? Many significant companies apply loyalty programs to maintain customer lifetime value and create a community of loyal patrons.
Let's take it even further on the methods used by the electronic industry leads to get customers through loyalty apps.
1- Offer Valuable Rewards to Sustain Long-Term Customers
Customers love offers and rewards. They want to feel like they spent their money on a brand that appreciates their loyalty, so by creating ways and games where customers can earn points to redeem for valuable rewards in the future (making purchases, engaging on social media, leaving product reviews.) This encourages them to look to you for the next purchase.
2- Use Gamification to Make It Exciting
The electronics industry is dominated by gaming, so you can add gamification to your rewards program to make it more effective. Using gamification elements attracts gamers and keeps all of your customers engaged.
3- Build a Community Through Word of Mouth
Existing clients can be a great tool to lure in new clients. You see untapped demographic might be skeptical when seeing your program, but if their trusted friend who happens to be your loyal customer refers it to you, it's a plus.
Applying a referral program incentivizes your existing customers and their friends to shop with you. Your consumers will be much more likely to follow through and tell people about their experience at your store if you give them a discount or reward points for doing so. Your method has saved new customers from much research on where to buy their next device.
The 21 century has introduced us to many technologies and devices we cannot abandon; as companies are now more eager to supply the increasing demands of their customers, maintaining popularity and favorability is highly challenging. What loyalty apps offer to businesses might seem like a simple solution, but its impact stays long.
Gamification, offers, and referrals are not marketing techniques; they are designed to adhere to the public demands and needs. So this is your sign to invest in your business and expand your horizon.