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Are Reward and Loyalty Programs Key to Boosting Your Florist Shop?

Customer reward and loyalty programs are not new ideas. From airline frequent flier miles to redeemable points at e-commerce sites – businesses have been offering a little something to their loyal customers for years. Why? Because they work

What is a customer loyalty program?

A reward or loyalty program is a customer retention strategy that incentivizes customers to make repeat purchases from your business. Every time a registered customer makes a purchase or follows an actionable request through your florist app, they earn points that can be redeemed for a reward that offers ‘value’ for the next purchase they make. The reward could be a cash discount or a value-added feature like ‘free delivery.

Here are some easy ways to incorporate app rewards for your customers:

● Award bonus points on birthdays, anniversaries, etc.

● Reward customers for promoting your business i.e. referrals or social media shout-outs.

● Offer a tiered program with preferential pricing/ service for different levels of loyalty.

It would also work in your favor to have a redemption system that encourages delayed gratification. For example, a Rs 100 discount on accumulating 1000 points could level up to a Rs 250 discount on accumulating 2000 points. Alternatively, the reward system could be based on achieving milestones, like say ‘After five bouquets, get the sixth one free!’

For any reward system to be successful, the consumer has to see value in the offering. Hence, it is imperative you design a reward program keeping your customers’ needs in mind.

Business benefits of loyalty programs

A customer loyalty program can do wonders for your florist shop. Let’s take a look at the four key app benefits it can bring to the table.

Go beyond price points: With increased competition, it is becoming a challenge to compete on prices, especially for small businesses. When lowering prices is the only want to attract customers, it is always the larger conglomerates that will win. A reward program can stop you from competing solely on price and help you create a differentiator by engaging customers, providing an enhanced experience and connecting on an emotional level.

Build strong customer relationships: A reward and loyalty program can help you get to know your customers better. It can provide relevant information on who they are, when do they shop and what do they prefer. With this insight, you can provide a customized experience to them. For example, if you know that a customer gifts their spouse red roses on their birthday, you can show them tailored options of their preference a couple of days before the date. This can enable you to build strong emotional bonds over the long term.

Increase repeat orders: Studies show that customers who are part of a brand’s loyalty program are more likely to buy from them again. This means that such a program can play a pivotal role in retaining customers and boosting sales. At a time when acquiring new customers costs at least five times more than retaining one, this is one benefit that your business cannot ignore. Moreover, the probability of selling to an existing customer is 60-70%, whereas it is 5-20% for a new customer. This makes a strong case for nurturing your current customers.

Create brand ambassadors: Happy and loyal customers are more likely to refer your brand to friends and family, leave a good review online, as well as give a shout-out on social media. This means they can become important brand advocates who bring in more customers, essentially doing your marketing for you. You can use a two-way reward system to incentivize them – points to your current customer on referral and discount to the new ones on their first purchase.

How to start a customer loyalty program for your florist shop

With so many benefits to be leveraged, it is no longer a question of if you should have a customer loyalty program, but how soon can you start it. The good news is that it is not hard to set up.

Before you start your journey, understand that a customer loyalty program needs to be compelling, engaging and beneficial to the customer for it to be effective. It should not only incentivize them to take action, but also be worthwhile for them to accept it. It should also be exclusive – something they are proud to be part of, as well as be aligned with your brand ethos and design. Lastly, it should be easy to join and use across multiple touchpoints.

Our experts at sWorks can help you achieve all this and more! We can assist you in creating an effective mobile app with unique rewards and loyalty programs for your florist business. Along with the custom design, we can help you customize rewards, loyalty program levels, as well as create affiliate programs to reward your partners. We can facilitate seamless integration of your loyalty program with online and offline orders, referrals, discounts, reviews, and more, to enable a delightful customer experience. Talk to us today!

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