Loyalty rewards has something of a double meaning. Most people think of it as a marketing tool that encourages people to become repeat customers. This usually takes the form of punch cards for an eventual free cup of coffee at a cafe or or a point system that leads to free or discounted airline miles, food, or hotel rooms.
But another way to look at this is from the perspective of the brand: what are the benefits it reaps for inspiring the loyalty of its customers? And what does it take to inspire that loyalty? Rewards certainly help, but it’s more important to focus on things like providing a great product or service, and being known for having top-notch customer service.
As our latest infographic shows, customer loyalty is very important. 78% of loyal customers help spread the word about your brand, and 54% won’t even consider switching to a competitor.