What is a loyalty program app ?
Loyalty programs are a way for companies to reward their loyal customers who have made the effort to purchase their products and services. It is a system whereby the company gives points, or vouchers, in return for purchases. The points can then be redeemed for discounts or gifts when the customer accumulates a certain number of points. Here, we've compiled some useful facts about loyalty programs that you should know before downloading one of these apps.
How A Loyalty Program App Can Drive Your Business to Success
What Is a Loyalty Program App?
Like they say, loyalty has to be earned whether it's your favorite person or brand! Similarly, to build a loyal customer base , small businesses are befriending customer loyalty programs.
Loyalty program is a marketing strategy to entice customers to keep coming back in return of discounts , freebies , gift cards or loyalty points . It could be anything-- a free coffee on every fifth visit to a quick service restaurant. Some restaurants or coffee shops follow the digital points system, where you earn some loyalty points on every purchase and after you have collected a amount of loyalty points, you can redeem them for a free sandwich or fries!
But how do you know how many points you have? Well, that's where loyalty program app comes in. It's a new version of loyalty cards . These loyalty mobile apps allow customers to keep track of their loyalty points. They even show the different redemption levels small businesses offer. For instance, a free cappuccino for 500 points or free nachos for 800 points!
It is easy to use. All you have to do is scan the qr code at the point of sale system at a store and the points or stars get credited in you loyalty mobile app.
The loyalty mobile app stores all your activityrecent purchase, points you have earned on each purchase, redemptions and more. It even shows you the validity period of the digital points , so you can redeem them well before they get expired. It is tough to keep track of so much information with a loyalty card as it is only read by the in-store point of sale system .
What to pick- A Loyalty Program Mobile App or PWA ?
A loyalty mobile app is easily accessible. You can download it from app store. And all you information regarding your purchase activity from your favorite brand is just a click away.
- A loyalty mobile app helps customers to directly communicate with the brand, improving customer engagement and consequently customer retention .
- The main purpose of any loyalty rewards program is to motivate customer to buy more, visit them more. A loyalty mobile app can help small businesses here. Like we said the loyalty mobile apps store a lot of information regarding your purchases and redemptions. They can notify your customers how much more points they need to avail that free snack or that chocolate shake . This entices customers to visit the restaurant the next time they are planning to go out!
- A lot of small businesses with limited budgets also go for a PWA or a progressive web app that offers most of the benefits of the mobile app without even downloading one . However, for customers placing orders while on road or making payments via phone at point of sale counter at drive through, a mobile app is a must!
- One of the hassles with PWA is that you have to sign in every time you visit , while in case of a mobile app where you remain logged in , you can check your loyalty rewards in a tap.
- From a business point of view, it's better to have both loyalty rewards mobile app and a PWA.
Loyalty programs are a great way to keep your customers coming back for more.
Loyalty programs can be difficult to implement and maintain, but they’re also a great way to build customer loyalty.
Developing a Loyalty Program App
A loyalty program plays an important role in customer retention, adding new customers, and boosting revenue. It is a crucial part of the marketing strategy of any business. Therefore, small businesses should keep in mind a few things before developing or designing a loyalty rewards app.
1. No, the username is not enough-
While designing a loyalty app, ask the user more than a username and password. More details like their email address can help small businesses with email marketing.
2. Easy Interface-
Design a user-friendly interface for your customers. This can push customers to frequently visit the app to check digital loyalty points or their purchase activity. It boosts customer engagement. And, remember no one says no to the easy-to-use mobile app .
3. Offer sign-in rewards-
This is one of the easiest ways to get more customers signed in. Everyone loves rewards, some free points on signing in can tempt your new customers to download the loyalty mobile app .
How a loyalty program app can drive your business to success
When the Pareto Principle is applied to sales, it says- 80% of your revenue comes from 20% of your customers.
And that's why small businesses go for a loyalty rewards program. The program focuses on loyal customers only. The strategy to reward the loyal customers motivates them to even buy more or visit more, leading to more revenue.
Not just they add to revenue, the loyal customer base also becomes your brand advocates.
In addition, the rewards system and loyalty points tempt new customers to become part of the program.
Less spend on marketing.
A Case Study on Redeeming a Reward
It is impossible to discuss the Loyalty Program without mentioning Starbucks which leads the example of a successful rewards program. The reason is simply effective communication.
Starbucks clearly communicates the details of its loyalty program to its customers. They inform and educate the customers on how to earn and redeem rewards through their website and app. Starbucks loyalty mobile app shows the number of loyalty points earned or redeemed by the customers, improving customer engagement.
Not only this, its mobile app also shows the redemption scale. For instance, on 25 stars a customer can get an espresso shot , on 50 stars-- a hot brewed coffee or bakery item. This helps customers to decide when they want to redeem their stars.
Loyalty programs are a great way to keep customers coming back and to help them build meaningful relationships with your business.
Loyalty programs are tricky because they require a lot of work and energy, but if you're not careful, you could lose customers.
The psychology behind incentivizing customers to buy more
Promise is the best motivator. It not only helps you put efforts in your relationships, but also cements your bond with your favorite brand.
When a brand makes a promise to reward its customer in future, the customer brain starts putting efforts to become eligible for the reward. The future promise' motivates the customers to buy more in order to reach the specified target. And targeting this psychology of the customers, small businesses designed Loyalty Program .
Conclusion To Loyalty Program App
A loyalty program plays an important role in the success of your business. Pay extra attention while designing itlike, keep average order size a little on the higher side .
Or make sure the loyalty program app notifies your customers on their latest balance of digital points. Make sure to keep it simple.You can even try Shopify loyalty programs . It starts at just $19 per month and offer minimum 7 day free trial .

Loyalty programs are a great way to engage customers and keep them coming back.
Loyalty programs are not easy to implement, and they require a lot of time and effort.