Top eCommerce Loyalty and Rewards Programs

Top eCommerce Loyalty and Rewards Programs

Online shopping is evolving very quickly because it is very convenient and brings the excitement of exploring new ideas. It is fun to find new products with such ease, and when it brings rewards and extra gifts without any cost, it makes us stick with such a particular brand. 

The best formula to make your customers loyal to you is rewarding them through some loyalty program. It makes the customer happy that they are also getting something in return as a reward or points to redeem later along with the money they spent. Loyalty programs have gained popularity and are available almost everywhere, including salons, restaurants, etc.

10 Successful Customer Loyalty Programs in 2019

There has been a lot done to make loyalty programs competitive with each other, and there are some excellent tools and software to give a unique edge to your business.

For your convenience, we have compiled a guide with the top eCommerce loyalty and rewards programs. So, let’s get started with it! 

How Can a Loyalty Program Help Your Ecommerce Business?

Customers who have been with your company for a long time might be rewarded for their dedication to a customer loyalty program. The greater the number of customers you retain, the greater your firm’s growth. An exciting study indicated that a 5 percent improvement in customer loyalty could boost a business’s earnings by 25 percent to 125 percent. Loyalty programs are definitely worth it.

It is a proven reality for any eCommerce business to have loyal customers that keep coming back to it.

  • It costs a lot in advertisement and marketing to bring in new customers compared to the loyal ones, which gives more profit to the business than the earlier mentioned ones.
  • The joy of getting points and redeeming them makes customers stick to the brand.
  • Loyalty programs make customers believe in you and your services.
  • Loyalty programs can make users talk about it to others and ask them to participate and try it out, which can be a great form of marketing.

Challenges for eCommerce Businesses in Terms of Customer Retention

In terms of customer retention, following can be the challenges for eCommerce businesses.

  • Building emotional connection

Customers’ trust and loyalty can also be gained by showing sympathy and demonstrating fundamental values. Exchange programs, bringing back used products for charity or donation can also be a part of loyalty reward programs. In the times of the COVID-19 pandemic, many eCommerce businesses used this approach to bring in new customers and gain their loyalty.

  • Convenient buying process

Price and convenience are equally crucial for the customers; Amazon realized it and became the reason for its success. Customers nowadays want convenience more than anything else, like one-click checkout, and lightning-fast delivery is very much important to them.

  • Going out of the buying cycle

The primary KPI for an eCommerce brand is to keep the engagement rate high. If there is only transaction-related interaction between brand and customer, it will be challenging to maintain a relationship. To cope with this, loyalty programs should offer rewards to customers for writing reviews on the website and sharing them on social media or an online treasure hunt feature to encourage product discovery which will generate positive word of mouth.

Rewarding the customer on their first purchase will encourage them to stay around and redeem their points on their next purchase.

Top eCommerce Loyalty and Rewards Programs

Top loyalty program examples in eCommerce by industry | Bold Commerce Blog  | Headless Commerce Solutions

Top eCommerce Loyalty and Rewards Programs

Muscle & Strength Rewards

Muscle & Strength is a fitness site and retailer for people who want to build muscles and fat loss goals. 

Muscle & Strength Rewards Program

Muscle & Strength Rewards Programs

Their loyalty program is a perfect example of how popular physical rewards can be and shows how the appeal of completing practical actions can be maximized.

  • For every 1$ spent, customers earn 2 points.
  • Referring to it, friends are worth 500 points.
  • Rewards points will be given by sharing what the customers have ordered at the end of the purchase while clicking the built-in share button.
  • Unboxing the order received is always a fun experience, and it doubles the joy If gifts and rewards are also delivered with it.

Sephora’s Beauty Insider & VIB

Beauty supply chain in France More than 2300 Sephora retail locations in 33 countries offer a massive selection of products from the company’s extensive product line. Cosmetics, skincare, and fragrances are all conveniently housed in the same location.

Sephora’s Beauty Insider loyalty program, which has three tiers (Insider, VIB, and Rouge), was introduced in 2007 and has since accrued millions of points. In order to redeem 1 point for a deluxe product sample, you must spend $1. You’ll get better rewards if you earn enough points to move up a tier.

Sephora Beauty Insider Loyalty Program: Earn Points For Free Gifts &  Invitation Only Sales Events - YouTube

Sephora Beauty Insider Rewards

Sephora’s website or mobile app (iOS/Android) requires a user to fill out an application form, which is rather straightforward.

Mechanics of Sephora’s loyalty program:

As a member of the Beauty Insider Community, you’ll be able to post reviews, ask for help, and share your thoughts with others.

  • Posting pictures of themselves wearing their own make-up or the looks they’ve developed using their own products.
  • Getting involved in social networks
  • Taking part in discussions
  • Participation in community events

Nike’s NikePlus (Nike+)

Founded in 1964 by Bill Bowerman and Phil Knight was Nike, a firm that quickly became the world’s leading supplier of sports footwear and gear. The fact that Nike sponsors numerous athletes and sportswear brands means that the company has established itself as a spokesperson for an active lifestyle.

Scale success story: Nike loyalty scheme - LoyaltyLion

Nike Rewards Program

A few of the various incentives offered by the company’s customer loyalty program include:

  • Access to members-only gear
  • Professional advice
  • On-demand access to Nike Experts, an Exclusive Shop, and Reserved for you by unlocking Nike Plus goods. 
  • Quick turnaround time
  • A wide variety of hours for shopping are available (selected hours)

Mechanics of Nike’s loyalty program:

Because Nike is the active lifestyle’s official brand ambassador, the benefits of working out are no surprise. NRC and NTC members receive bespoke t-shirts and running gear as part of their rewards for participating in Nike Run Club (NRC) and Nike Training Club (NTC).

Final Takeaway

In light of the above instances, it is well worth the time and effort to ensure that your company’s loyalty program fits your firm like a glove in order to offer your customers the impression that your company cares about them beyond just selling items.

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