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How Loyalty Programs Boost Your Revenue

Loyalty Programs Can Boost Your Revenue

How Loyalty Programs Boost Your Revenue

Loyalty programs, they can not only give a customer what they want, but can increase your revenue stream. Whether we realize it or not, there are loyalty programs everywhere. Stopping for breakfast in the morning, you get a stamp for your morning cup of joe. You get points for the credit card purchase at the mall during your lunch hour. Further, you get bonus bucks for eating at your favorite restaurant for dinner, and virtual dollars for surfing the web or watching a little online television before bed. You feel good getting something in return for your loyalty.

Why Are Loyalty Programs Beneficial to Your Business?

That is an easy one, isn’t it? We all like to feel special. Also, we have all made purchases based on what else we may get in return, right? We like to get rewarded for items and services that we spend our hard-earned money and time on and if it is something we do routinely anyway, that is only an added bonus. Since many companies are doing this, it is the number one reason that you should be, too. If you aren’t yet offering a substantial discount on so many visits or free car wash services for so many stamps, now is the time to start. You are missing out on a serious opportunity that you could and should be capitalizing on.

There are several reasons why customer loyalty programs are worth their weight in gold. Loyalty Programs:

  • will grow your business;
  • will attract new customers;
  • can actually save you money;
  • will keep your current customers happy; and
  • will help you in your marketing department.

Let’s look at each one of these and get a better idea on how they will work for you.

Loyalty Programs Will Grow Your Business

Isn’t it true that when you go somewhere and get excellent service you are inclined to talk about it? Or you tell your partner, friend, neighbor or co-workers about a recent purchase if you love it? Now we all know that money isn’t the only reason you’re in business but it helps to make more money than is spent. It rewards your current customers, having them visit regularly and spend more with you, and will help draw new customers to your car wash business as well. It is estimated that nearly half of your business is coming from your current customers and a loyalty program can increase your branding as well as your pocketbook.

Loyalty Programs Will Attract New Customers

With a rewards program in place, someone comes into your car wash business and checks out your services. When they decide to purchase car detailing services, you offer them world-class service and reward them just for coming in. That customer will feel appreciated and will more than likely make your business a place to frequent. If you offer them slightly more for their first visit such as an additional one-time discount or stamp, that too can sway a new customer to do business with you while leaving your competitors to the wayside.

Loyalty Programs Can Actually Save You Money

Studies have shown that repeat customers will buy more than a new customer will. Keeping customers coming back costs less than having to find new ones. Your customers already know about your award-winning service so cross

How Loyalty Programs Boost Your Revenue

selling or up selling a service may be also something that will help both of you in the long run. A loyalty program will ensure that more money is being driven to your car wash business and less to your competitors.

Loyalty Programs Keep Your Current Customers Happy

Now this also depends on the size of the reward. Some customers will not be bothered if what they think they are getting back in return is too small. Keep in mind, though, that excellent customer service and a customer who thinks that the place they frequent has their best interest at heart will always come back time and time again. So be sincere. A loyalty program is only as good as the people who are selling quality goods or performing services for their customers properly. Loyalty programs and customer service really do go hand in hand.

Loyalty Programs Help Your Marketing Department

Loyalty programs help your marketing department too by collecting as much data as possible from your customers so you can tailor your business and loyalty program to continue to meet the needs of your customers. The more services or merchandise your customers buy, the more information you can collect on their purchasing habits and their consumer tastes. This will only increase sales in your business and help the redemption rates on your loyalty program. This benefits you by allowing for more loyalty and even higher sales.

Loyalty programs do work with the proper customer service and support to back you up. As long as your customer feels like they are important you will retain the loyalty of that customer. That customer will continue to sing your praises and convince others to your business too.

To learn more loyalty strategies, and to find out more about becoming a car wash franchisee, contact us today. DetailXPerts has proven success in the car wash franchise business and we are willing to help you on your way to a successful 2015.

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