Quality customer service, loyalty programs lead to small-business growth
January 22, 2014
Gift card programs and loyalty programs create new ways for small and medium-sized retailers to dig deeper into their markets and tap into more reliable revenue streams. It's just a matter of backing up these programs with service that keeps shoppers coming back.
According to the online publication iMedia Connection, offering rewards and discounts for customers who keep returning after long periods of time has always been an effective strategy for increasing overall retention rates. However, these programs must also be paired with high standards for service in order to be truly effective. The website argued that the essence of loyalty is personalization. Consumers ultimately feel more comfortable shopping at places where they feel like they're treated as individuals.
This means retailers must be fully prepared to pay close attention to customer preferences through data collection and targeted marketing. A recent article in Business 2 Community highlighted the importance of dynamic information-gathering in creating a long-term competitive advantage when it comes to loyalty. With a combination of business intelligence tools and advanced payment integration, small and midsize retailers can take full advantage of their loyalty initiatives.