Is your dispensary’s loyalty rewards program helping you create repeat customers and consistent recurring revenue? Or are you just collecting info and not doing anything with it?
According to one recent study, 81% of consumers indicated that customer loyalty programs made them more likely to continue doing business with a brand. And Aas long as brands give customers a reason to remain loyal, they seem to have no problem with sticking around.
Customer loyalty programs are excellent engines for customer retention. And customer retention is just as important as ever.
According to a 2014 study from the Harvard Business Review, acquiring new customers can be anywhere from 5 to 25 times more expensive than retaining old ones. Increasing customer loyalty through rewards programs can actually save businesses money in the long-run by helping them to establish a customer base and defend their market share.
But increasing customer loyalty is oftentimes easier said than done. Here’s what you need to know so you can grow your dispensary’s loyalty rewards program today!
Integrate Your Customer Loyalty Program
Integrating your loyalty program into your online checkout and retail POS ensures that customers have every opportunity to take advantage of it. By making your program as accessible as possible, you’re giving it the best chance to grow and succeed.
Your dispensary’s loyalty rewards program can also be effectively integrated into your email marketing and SMS (text) marketing efforts. Email newsletters and SMS text messages can be used to communicate special offers or promotions to program members.
Best of all, customer data can be leveraged to offer program members specialized offers and deals that are only available to them. According to the 2018 Edelman Trust Barometer, 80% of consumers are more likely to do business with a company that offers personalized experiences.
Use a Loyalty Program that Works for Your Customers
If your loyalty program doesn’t give customers what they want, they aren’t going to sign up.
First of all, make it easy for customers to earn reward points and clearly communicate to them how they can do so. Most, if not all, of the transactions that earn your dispensary money, should also be good for some kind of customer reward. Having a super restrictive or selective rewards structure can really limit the success of the whole program.
At the same time, your program should also make it easy for loyal customers to redeem points and claim rewards. Don’t make customers jump through hoops to get what’s rightfully theirs. Make it as easy as possible for them or risk losing their interest.
If you need a loyalty program suggestion, give us a call. We have some great partners!
Have Your Staff Talk it Up!
Your staff is your front line. They should share the value of your loyalty program with all the customers they help. As they’re preparing for checkout, they can quickly see if someone is signed up for your loyalty program. If they aren’t, your budtender can help them get signed up quickly.
You can also have a text opt-in code at your POS or in your reception area to make it easy for customers to signup themselves while they wait.
Leverage Your Website
Your website is a great tool—and most dispensaries aren’t making the most of it. Use a pop-up or CTAs to drive loyalty program signups and start building valuable relationships. You can even include opt-ins at the end of your blog posts.
What Do Your Customers Really Want?
Sometimes customer loyalty programs fail to retain customers because the rewards they offer customers are simply unappealing. Offering your customers special deals and rewards that they actually want is the best way to keep them coming back for more!
Integrated sales data can be used to gain valuable insights about your customers that can be applied to your loyalty program. For instance, sales data can be used to figure out which products your most loyal customers like most or to personalize rewards for specific groups of customers.
While making it easier for customers to obtain rewards means having to give out more discounts and goodies, the money saved in customer retention is well worth it. If your dispensary’s loyalty program is not living up to its full potential, consider employing some of these strategies in order to get it up to speed.
Combine Your Loyalty and SMS
Quickly share VIP-only deals and make your loyalty program even more valuable to your dispensary and your customers by combining it with SMS marketing. When done right, this will also allow you to track the effectiveness of your SMS marketing.
Want to learn more or need some recommendations to get started? Let’s talk!