A top priority of ecommerce companies is attracting high-converting traffic. Email marketing is a critical bridge to entice prospects to browse and shop. However, increased email competition and mobile distractions make it increasingly difficult to stand out.
A rewards program can help. In this post, I’ll address the advantages of rewards programs and examples of successful implementations.
A rewards program can boost revenue, increase loyalty, and generate new buyers. Successful programs are:
Email is among the most cost-effective methods to drive traffic. The result is an avalanche of marketing emails, which creates inbox-overload for consumers, who won’t likely contemplate every offer.
Instead, consumers browse and delete — scanning their inboxes for relevant, useful info. A basic rewards program is:
Ulta Beauty’s email below includes an easy-to-understand point system, instructions on how and when to redeem points, and a $5 coupon that entices users to save in their inbox. Premium brands such as Ulta use rewards programs to encourage loyalty and combat lower-cost competitors, including big-box retailers and pharmacy chains.
Loft, a female apparel retailer, offers 100 rewards points when participants complete their profile. This helps Loft understand its customers, which enables more relevant email marketing campaigns.
Kohl’s sends customers follow-up emails immediately after in-store purchases. The message updates “Yes2You” reward-point balances and reinforces the benefits of shopping at Kohl’s. Creating a reason for customers to remain with your brand can ensure long term growth. (Amazon Prime, incidentally, is arguably the most successful loyalty program ever, with 82 percent of U.S. households.)