Today, retailers compete for every customer. In such conditions, brands often prefer to strengthen the loyalty of an existing customer rather than attract a new one. The success of this work is measured by the CRR (Customer Retention Rate) indicator. It shows the degree of consumer "attachment" to the brand and their willingness to make repeat purchases.
Loyalty is formed gradually, and is based on constant interaction with the client. The simplest and most effective way of communication is through a mobile device, because people almost never let it out of their hands.
Loyalty mobile apps are just a tap away. They are ready to satisfy any customer request: suggest the right product, make a payment, help with a delivery order. All this increases CRR. In addition, properly designed customer retention mobile apps help companies reduce costs for solving other important tasks.
Benefits of Mobile Loyalty Apps for Business
- Repeat purchases. Loyalty program privileges are an incentive for the client to continue placing orders with this particular supplier. Often, 20% of the audience loyal to the brand provides 80% of sales. An additional incentive is the growth of the client's status (silver, platinum, gold, etc.), displayed in the application.
- Referral clients. Word of mouth remains a powerful promotional tool. More than 80% of consumers rely on other people's user experience when choosing a product for the first time. Thus, by recommending the company to friends and sharing a link to the loyalty application, users increase brand awareness and bring in new customers. Managing public opinion about the company. The application is a convenient way to track and work with reviews.
- Personalization. Data on client actions collected using the application helps to form personal offers and discounts. Automation of the process allows you to create unique opportunities for each representative of the target audience.
- Community formation. Effective loyalty programs foster a community of users who share news about the program with each other and provide the business with useful feedback based on their extensive experience. A loyal community grows the strength of the brand.
Why Customers Value Loyalty Apps
loyalty-addiction
Customer benefit. This is the main component of an effective mobile app for increasing sales.
- Availability. The app allows the user to place shopify website design an order and perform other actions at any time. An unfinished order is stored in the cart and the client can return to it at its convenience.
- Communication with customer support. Creating the opportunity to ask a question or get advice is an important component of interaction with the client. According to a Zendesck study, 89% of survey participants believe that a quick response to an initial request directly aff ects the choice of a seller.
- Multifunctionality. With the help of a loyalty program app, a client can solve several problems at once: get preferences, make a purchase, find out news about the company and new offers, share an opinion, participate in affiliate programs. It is convenient and does not take much time.
- Timeliness. Push notifications, messages about promotions, automatic personal offers and discounts allow the consumer to find out and have time to make a purchase on time.
All these opportunities affect user engagement. Incentive promotions, increased purchase frequency, quality support increase the LTV (Lifetime Value) indicator, which reflects the profit that the client creates for the brand during the time of interaction with it.