If you own a small business, chances are you’ve got a customer loyalty punchcard. You know, the one where customers get a stamp or hole punch for every purchase and after 10 (or 20, or 50) stamps, they get a freebie? There’s nothing wrong with these punchcards per se—they’re easy to use and understand, and they do incentivize customers to come back to your business again and again. However, there are some serious drawbacks to using a punchcard loyalty system. Let’s take a look at some of the reasons why you might want to ditch your punchcard in favor of a digital loyalty system.
Flexibility:
With a digital system, you can easily change up your rewards based on what’s going on with your business at any given time. For example, if you’re looking to increase foot traffic during a slow period, you could offer double points for visits during certain days or times. Or, if you’ve got a new product or service that you’re trying to promote, you could give bonus points for purchases of that item. With a punchcard, on the other hand, you’re stuck with the same rewards structure until you physically print out new cards.
Data and Tracking:
When customers sign up for your digital loyalty program, they typically have to provide at least some basic information about themselves (such as their name, email address, and date of birth). This data can be extremely valuable when it comes time to marketing new products or services to your existing customer base—you can segment your list and target those who are most likely to be interested in your offer. Additionally, many digital loyalty programs allow you to track usage data so you know what is working and what could be improved upon.
Customer Engagement:
A digital loyalty program opens up a continuous communication channel with your customers. They don’t have to stumble upon their forgotten punchcard to remind themselves to stop into your business—all you have to do is send a reminder, update or limited time offer for them to redeem. No matter where your customers are, you can reach them, meaning there are more opportunities for engagement and excitement for your customers, and a positive ROI for your business.
If you’re still using a customer loyalty punchcard at your small business, it might be time to consider making the switch to a digital loyalty system. These systems offer numerous benefits over traditional paper punchcards, all of which can help take your business to the next level. Plus, your customers will appreciate the convenience of being able to easily manage and redeem rewards using their phone—they won’t misplace that in their junk drawer!
Ready to make the switch? Contact New Pulse Marketing today to learn about our digital loyalty and text marketing solutions for small businesses! Our programs are 100% customizable to fit the needs of your business.
