Loyal Customers for Rewards and Challenges- myassignmenthelp

Question: Discuss about theLoyal Customers for Rewards, Challenges and Contests. Answer: One of the ways of rewarding the customers is by providing them with the right incentives to motivate them to continue purchasing your product. Through the rewarding of incentives to customers, there will be possibilities that your products will be referred to their friends or relatives. Since incentives are tied to the earnings of businesses, the more revenue that a particular business makes will significantly depend on the incentive plan the owner has made to his or her loyal consumers (Buttle and Francis 1054). The businesses which provide incentives plans have the advantage of seeing their businesses advanced in their sales. Another way of rewarding the loyal customers is by offering referral bonuses when they recruit new customers. Issuing of micro-rewards to those customers coming up with new referrals is essential. The business owners may decide to offer some low loyalty points to their loyal customers or offer than for the number of referrals they try and bring to the business. Issuing of a high reward when the referral results in those making their first purchases in the business. The rewards provided should be made in a way they generate profits such as not giving considerable bonuses to increase the referrals (Tasca, Cristina and Serena 106). The loyal customers may also be offered a loyalty card scheme. This involves giving the customers a card which is to be stamped in every purchase made. Once they reach their set targets, they qualify for a free product. Additionally, giving away free items after multiple purchases will encourage the customers. For example, one may decide to promote the customers through buying specific items at certain prices to get one for free. Another way to motivate the customers is by teaming up with the associated businesses to offer them reciprocal discounts on items. Inviting the customers to the trials of newly developed products or services for free can be a reward to the loyal customers. Asking the loyal customers to give feedback on the new offers before launching them will give them the sense of ownership over the product which impacts later on the sales due to their recommendations on the products (McDonald, Malcolm and Hugh 460). Also, when launching a new offer, inviting the loyal customers for the preview evening can act as a reward to them. The offering of cumulative discounts on the purchase of the products may also act as a reward to the loyal customers. Discounts may be offered to customers when they reach their set spending limits. Customers may be provided for example the customers may be provided some percentage discount on their proceeding purchases if they spend some certain amount of money. Through limiting the time on the offers, will encourage immediate purchases on the items but publicizing the discounting scheme is crucial at this point. How to collect effective referrals Referrals are one of the best methods that sellers use in promoting their businesses. However, many of them find it hard to get some effective referrals. The buyers often rely on the friends, colleagues or associates to recommend them to the providers. Referrals system builds the trust and credibility of the seller for effective selling of products. One of the methods of collecting effective referrals is through having decisive social engagements with the customers. By engaging with the shoppers effectively on the social media platform is one of the ways of boosting the brand image and increase the trust of the customers. In this way, the products are being marketed online, and they are promoted. This, in turn, gets more referrals that get to know which products are best for them and hence make a purchase on them( Zichermann, Gabe and Joselin 772). Additionally, when the loyal customers and followers get to mention or share their brands on the social media platforms initiates interaction in the process and helps pose an excellent opportunity and encourages them to refer their friends to the business. Another way is by carrying out a survey or a high Net Promoter Score (NPS) rating. The customers who give your brand or product a high NPS score on the survey shows that they have already demonstrated their willingness to promote the products or brand to their colleagues, friends or relatives (Lee, Bill, and William 78). This, in turn, represents the best opportunity to prompt them to make a referral. This may be caused by using the tools such as the promoter.io in carrying out an NPS surveyor using the Survey Monkey tool to carry the NPS survey yourself. When the customer responds to the NPS surveys with ratings of ten or higher, survey logic may be used in redirecting the person to a page which explains the referral program and invites them to refer to their friends. Following the purchase of a product, one may use the opportunity to attract a referral. According to Tasca, Cristina, and Serena Rossi, (2012), customers are often excited right after they have purchased a product, this can, therefore, be to the advantage of the retailer to get them to refer. For instance, if the customers shop online, there should be a reminder for the customer right after the purchase every product (Tasca, Cristina, and Serena Rossi 109). A pop message may be made which then encourages them to make a referral. This message should then redirect the customer to the pages on the website where there are explanations on why the referral program should be undertaken and its benefits for those who promote it extensively in the business. Though the positive customer experiences, one may use this chance to get more referrals. For example, if there is a hotline for customer services, agents promoting the referral program at the end of the call helps in developing the referral program (Kotler, Philip, and Gary 944). Additionally, if there exists a customer support system in the websites of your business, agents should be trained to conclude the final message with information regarding the referral system or having it displayed automatically on the page. The use of ads, reminders during products purchase, and links in the site navigation help redirect the customers to the referral program. Works cited Buttle, Francis.Customer relationship management. Routledge, 2004. Kotler, Philip, and Gary Armstrong.Principles of marketing. Pearson Education, 2010. Lee, Bill, and William G. Lee.The hidden wealth of customers: Realizing the untapped value of your most important asset. Harvard Business Press, 2012. McDonald, Malcolm, and Hugh Wilson.Marketing Plans: How to prepare them, how to profit from them. John Wiley Sons, 2016. Tasca, Cristina, and Serena Rossi. "Consumer Behavior and Marketing Strategies in the Duty-Free Market.: An Explorative Study on Offer, Customer Service and Atmosphere." (2012). Zichermann, Gabe, and Joselin Linder.Game-based marketing: inspire customer loyalty through rewards, challenges, and contests. John Wiley Sons, 2010.