• DD-Square-Logo_resized
  • ATTEND LAS VEGAS
    • Attendee
      • Registration & Pricing
      • Agenda At-A-Glance
      • Exhibitor List/Floor Plan
      • Sponsor List
      • Hotel & Travel
      • Hosted Dealer Program
      • FAQ
      • Mobile App
    • Exhibitor
      • Exhibit/Sponsor
      • Advertising Opportunities
      • Exhibitor Resources
      • Exhibitor Tips
    • Education
      • Overview
      • Show Schedule
  • ABOUT
    • Conference Overview
    • Best Of Awards
    • Become a Speaker
    • Press Inquiries
    • Partnership Programs
    • Health & Safety
    • Contact Us
    • Get Updates
  • RESOURCES
    • Webinars
    • Downloads
  • NEWS
    • Auto Retail News
    • Digital Editions
    • Press Releases
    • Submit Editorial
    • Subscribe
  • .
  • ATTEND LAS VEGAS
    • Attendee
      • Registration & Pricing
      • Agenda At-A-Glance
      • Exhibitor List/Floor Plan
      • Sponsor List
      • Hotel & Travel
      • Hosted Dealer Program
      • FAQ
      • Mobile App
    • Exhibitor
      • Exhibit/Sponsor
      • Advertising Opportunities
      • Exhibitor Resources
      • Exhibitor Tips
    • Education
      • Overview
      • Show Schedule
  • RESOURCES
    • Webinars
    • Downloads
  • ABOUT
    • Conference Overview
    • Best Of Awards
    • Become a Speaker
    • Press Inquiries
    • Partnership Programs
    • Health & Safety
    • Get Updates
  • NEWS
    • AUTO RETAIL NEWS
    • PRESS RELEASES
    • DIGITAL EDITIIONS
    • SUBMIT EDITORIAL
    • SUBSCRIBE

Las Vegas: Oct 17-19, 2023

REGISTER NOW EXHIBIT / INQUIRE
Q

NEWS:

Dealer Management | Dealer/GM News | Trending Industry News
April 22, 2016

How to Combat Loyalty Program Fatigue

Posts:
Dealer Management | Dealer/GM News | Trending Industry News
April 22, 2016

How to Combat Loyalty Program Fatigue

The average U.S. household now belongs to more than 18 loyalty programs, for a total of more than 2 billion memberships. That’s an awful lot of loyal customers. But, all these programs and cards can have an unintended effect: customer loyalty fatigue.

Most consumers do still participate in their ‘favorite’ loyalty programs, and for many businesses, it’s a proven marketing tool that adds revenue to the bottom line.

So what is it that turns customers off? Some of the most common reasons are “I always forget to bring my card,” “the coupon I got in the mail has expired,” “restrictions on merchandise,” “not getting good discounts,” etc. For the most part, it seems that customers just aren’t perceiving much value in their customer loyalty programs.

To combat this customer loyalty fatigue, make it a priority to create a loyalty program that stands out from the rest, and is perceived as valuable by your customers. Here are a few tips on how to accomplish this:
 
First, you may want to consider adopting a mobile app where customers can store their cards on their phones. People may not have their loyalty cards with them all of the time, but they will always have their phones. Apple’s Passbook, for instance, allows consumers to add all types of cards to it, including loyalty cards. This makes it easy for consumers to always have – and access – their loyalty membership when they visit your dealership. In addition, ensure that there is a way to access and/or credit a customer’s loyalty account when a transaction is completed –even if they do not have their cards with them. It’s also a good idea to have a system that can look up the customer via their name, phone number or perhaps even their vehicle’s VIN or license plate.

Second, a loyalty program is only as desirable as the potential it offers its members. Make sure that the rewards you are offering are desirable, worthwhile and attainable, or you may find customers become apathetic about your program. Rewards can include much more than simple freebies or discounts. Consider offering experiences, front of the line passes or other VIP perks for those customers who show their loyalty through bringing you their business. An excellent way to figure out what your customers are interested in is simple – ask them. You may get some unrealistic answers, but I promise that you’ll get some great ideas that you can then implement. The best part is, by doing this, your customers are engaged and feel included in both the program and the process. For a customer to see a new reward appear that was something they suggested is priceless and further strengthens their loyalty.

Third, consider offering coupons with no expiration dates. While the coupons you send may be relevant and desirable offers, there’s nothing more frustrating for a consumer than when they are ready to use a coupon and find it just expired. Whatever you’ve chosen to offer a customer, make it “no strings attached.” You don’t have to send the offer to every member. You can segment the membership list into types of members and then market to them as sub-groups. Consider going through your loyalty program and sending a coupon to all members who haven’t earned any points in the last 6 months. This is a great way to re-engage the customer and potentially recapture their business.

Loyalty programs can be an excellent customer retention tool and help increase revenue while rewarding your customers for taking actions that benefit your dealership. Examine what you’re doing now and how it can be improved for a better customer experience. As a result your customers will be more engaged as they will perceive more value in your program.

Dealer Management•Dealer/GM News•Trending Industry News

SHARE

Share on Email
Share on Linkedin
Share on Facebook
Share on Pinterest
Share on Twitter
← Previous Article Next Article →
Posts Dealer Ops & LeadershipTrending Industry News

Astroturfing: What it is and Why Your Dealership Should Avoid it

Astroturfing is organized activity that is intended to create a false impression of a widespread, spontaneously arising, grassroots movement in support of…something…that is in reality initiated and controlled by a concealed group…or corpora
Posts Uncategorized

Cracking the Code: Driving Team Action Post 1-on-1s

Ever left a meeting whether it’s with your team or a 1-on-1, on cloud nine, believing your team was all set to conquer the world, only to find their enthusiasm fizzling out days later? The challenge lies in converting intentions into actions amidst
Posts Dealer Ops & LeadershipTrending Industry News

Astroturfing: What it is and Why Your Dealership Should Avoid it

Astroturfing is organized activity that is intended to create a false impression of a widespread, spontaneously arising, grassroots movement in support of…something…that is in reality initiated and controlled by a concealed group…or corpora
Posts Sales & Variable OpsTrending Industry News

How End-Of-Year-Sales May Impact Auto Finance Digital Transformation Strategies

Following a challenging sales environment in 2022, a noticeable recovery in the automotive sector has stabilized in 2023. This year, even as supply chain problems subsided, new challenges emerged, such as the persistent risk of a potential recession,
Posts Industry Press Releases

Mopar and Petra Automotive Products Partner to Launch New Maintenance Products to Dealers Across North America

Petra Automotive Products, the fastest growing premium automotive products manufacturer in the world, is proud to announce 11 of their best-in-class products will be launched under the Mopar® brand for Chrysler, Dodge, Jeep®, Ram and FIAT® dealers
Posts Industry Press Releases

Dealer Alchemist: An Inc. 5000 Honoree for the Second Consecutive Year

Announcement from Dealer Alchemist Dealer Alchemist, a digital advertising agency specializing in the automotive industry, is proud to announce its recognition as an Inc. 5000 Honoree for the second year in a row. With an impressive ranking of No. 10
Posts Industry Press Releases

Fleming Ford Joins NCM Associates to Launch Advanced Leadership Development and Executive Coaching Programs

Announcement from NCM Associates NCM Associates is thrilled to announce that Fleming Ford will be joining the organization as the Director of Talent Solutions. In this role, Fleming will take the lead in designing and implementing leadership developm
Posts Industry Press Releases

Ben Chodor Assumes Role of CEO at CallRevu, a Serent Portfolio Company

Announcement from CallRevu Experienced Tech Leader to Steer CallRevu’s Growth and Innovation CallRevu, a premier automotive communication solutions provider and a portfolio company of Serent Capital, is pleased to announce the appointment of Ben Ch

NEWSLETTER

SUBSCRIBE

DEALER MAGAZINE

Dealer Magazine March/April 2023 Issue Featuring an Interview with NADA 2023 Chairman
MAGAZINE
Digital Dealer Logo White
FOLLOW US ON
  • Follow
  • Follow
  • Follow
  • Follow
  • Follow
© 2023 Emerald X, LLC. All Rights Reserved.
ABOUT    CAREERS    AUTHORIZED SERVICE PROVIDERS   DO NOT SELL MY PERSONAL INFORMATION   TERMS OF USE   PRIVACY POLICY