Are loyalty cards a viable business solution?

  • by cwdevelopment
  • 17.04.2013
  • Articles

For any business, customer retention is a key contributor to their success and as a result any scheme or program which helps to attract or keep customers generally provides a big bonus to that company.

Loyalty cards are big business and in the open market many companies use them as a way of encouraging customers to spend more and continue to spend with the same business – by offering rewards, incentives and even discounts it’s an easy way to keep your customers coming back.

Setting up a loyalty scheme may seem like a large initial investment, but it’s the type of investment that you will receive rewards from over time, and the more customers that you retain, the more spend that you will receive and so on.

What are loyalty cards?

Loyalty cards are basically a membership card which is given to people who frequently use your business or perhaps frequently buy your products. They can come in a number of shapes and sizes but generally resemble the generic side of a business card or credit card and can be easily fit into your wallet.

For companies who are looking to make even more sophisticated business cards they can easily turn these into key fob cards which can quickly become a part of your key ring – ensuring that wherever you go your card will always come with you.

If you are a business that is constantly looking to attract new business or to retain existing business then it can be an easy way to increase your brand exposure and encourage your clients to continue to buy products from your brand.

What benefits can they offer my business?

There are a number of different benefits that you can get through using a loyalty card system. Some common benefits include:

  • The ability to encourage your customers to spend more money
  • The ability to encourage your customers to stay loyal
  • The ability to offer promotions and offers to your customers
  • Increased customer retention through incentives and discounts which are offered in-store and online
  • The ability to define a target market for your audience by gathering information from your loyalty card holders.