What is a loyalty program?
A loyalty program is a structured marketing effort to reward and promote loyal, desired behavior. This marketing tool is mostly used for consumers with the aim of increasing a company’s market share and profits. In addition, a loyalty program can also be used for B2B purposes, for example to motivate and reward employees. In this blog we focus on a loyalty program for consumers; a B2C loyalty program.
How does a loyalty program work?

Loyalty programs enable organizations to respond to loyalty objectives in a structural and simple manner. The foundation of a loyalty program always consists of a number of fixed components. Yet no loyalty program is the same. Each program is a unique combination of different components, triggers, activities, rewards and associated rules. The interpretation of a loyalty program can therefore be tailored entirely to the customer’s own objectives.

Thanks to the flexibility of a loyalty program this marketing strategy can be used in many shapes and sizes. Think of saving stamps for discounts, loyalty cards at retailers or benefit and savings programs.

A savings or benefit program
A savings or benefits program is the best known form of a loyalty program. Through, for example, a (personalized) reward in points or benefits, the target group is captivated, bound and retained. This mechanism stimulates the customer to get in motion and exhibit the desired behavior. Think of repeat visits and purchases or the retention and renewal of memberships.
“Each program is a unique combination between different components, triggers, activities, rewards and associated rules.”
Practical example Samen Greenchoice

Samen Greenchoice is the loyalty program of energy supplier Greenchoice. The aim of the program is to involve (new) customers in their sustainable mission and to bind these customers to the organization by means of a reward system. At the same time, Greenchoice shows appreciation to loyal customers through a reward in the form of extra points.

This mechanism encourages new and loyal customers to make ‘green’ choices. After all, they are rewarded for this. With these points, customers can then purchase sustainable products and experiences via the Samen Greenchoice platform.

In this way, the loyalty program contributes to the brand experience and active customer loyalty and stimulates their customer base to contribute to their sustainable mission.

View the whole case here.

Set up a loyalty program?

It is often thought that a loyalty program is an expensive and time-consuming investment. But it is not! The right method, in line with the objectives, offers organizations the tools to execute a powerful loyalty program in a cost effective way, while organizations can focus on their core business.

Click here for our step-by-step plan for setting up a loyalty program. Would you like to know more or spar with us? Please feel free to contact us. We will gladly help you!

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