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3 Loyalty Program Engagement Tips You Haven’t Tried Published-May 2, 2015
Log ins, time on site, redemptions – When it comes to your loyalty program, there are certain key metrics you should always track and explore ways to improve. Everyone knows some tried and true methods to get incremental boosts in your engagement rates, whether it relates to your email or web communications. But sometimes there are unique yet simple solutions right under your nose that you may not have considered. Here are some tips we’ve found to be impactful based on tests we’ve run and corresponding lifts we’ve seen over time.
 
Strategic Placement
Just reminding members of the points they have and how they can use them can make a big difference. Many loyalty programs reserve mention of members’ points balances for eStatements. Some may include it in a designated area of a promotional email as a static element.

While there’s logic in this, we’ve found that there’s an even better place for points balances – the subject line. When we include members’ real time points balances in the subject line of any rewards-related email, we see a noteworthy jump in open rates – a 48% lift on average.

What’s even better is that this lift extends beyond open rate and holds true for click-to-open rate as well – an average increase of 27%. Consequently, this tends to lead to higher redemptions.

But keep in mind that this is a tactic you should use with discretion. If you employ it too often, you risk audience fatigue. But moderate its appearance in your overall email strategy and you should see a noticeable increase in your open rate for a given mailing.
 
An Added Dimension to Promo Codes
It goes without saying that if you put an incentive in an email, people are more likely to open it and, depending on the incentive, click through to redeem it. You’ve probably used promo codes in emails before, and you likely saw that it resulted in a lift in click-through rates and redemptions. But don’t stop there. You know how best to provide a promo code, but have you considered where best to provide it?

Most will put it at the top of an email and give up the promised offer right away.  But instead of wasting a virtually guaranteed click-through at the very top of the email, which will likely cause users to navigate away quickly, we’ve found that placing it at the bottom of the email is more beneficial because it encourages readers to scroll through the entire communication. This works best for longer form emails, obviously.

The beauty of this strategy is that people who would not have scrolled below the fold are now far more likely to do so and, consequently, be exposed to all of the content in your email.

One important caveat – we recommend including a note at the top of the email alerting openers that the code can be found at the bottom, especially if you’ve already teased the offer in the subject line, meaning your readers will be looking for it right away.

The promo code is a tried and true incentive tool. It’s just a matter of making it work harder for you. If used to maximum effect, it can function as an incentive to open, an incentive to click, an incentive to scroll and an incentive to redeem.
 
Using Internal Ads to Streamline the Redemption Process
If your loyalty program is successful, your members will be visiting your program website often. When they do, you’ll want to find ways to guide them to the right redemption options.

So how do you know which redemption options are the right ones?

You have to assign a persona to your redeemers by category and analyze their behaviors to understand what they’re most likely to do next. For instance, by studying the behavior of members we’ve categorized as travel redeemers, we’ve learned that almost 40% of their incremental redemptions are for local deals at their travel destination.

This comes as no surprise since members can use local deals to find dining, shopping and entertainment offers in the locations where they’ve booked travel. Use this kind of information to help each persona along their redemption journey.

An easy and effective way to achieve this is through cross marketing ads within your program website. For example, on the travel booking confirmation page, we display an internal ad that links to the local deals search page so members can easily search for local offers to use on the trip they just booked. Just be sure not to place these ads on checkout pages. You don’t want to distract members at the moment they’re about to use their points.

By providing what your members are likely looking for, you make it easy and convenient for them to redeem their points, and drawing these connections between categories makes the value of your program more apparent.  It will also help increase members’ time on site and consequently, redemptions.

There are many little tweaks that can boost your program’s engagement rates that you may not have tried before. Sometimes all it takes is a little creative thinking and some testing. Even small increases can help you on your journey toward building a more customer-centric, successful rewards program.
 
 Sourced By: loyalty360.org

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