10 Jan 2024

How a loyalty program can save your business

Talon.One Writer

Content Team


3 minutes to read

Is your business struggling to successfully engage customers? You need to create a loyalty program. Implementing a well-crafted loyalty program not only fosters customer retention but also encourages repeat purchases. By offering exclusive rewards, discounts, and personalized incentives, you can create a strong bond between your brand and customers. This not only boosts sales but also enhances your brand's reputation, turning one-time buyers into dedicated advocates for your products and services.

In this article, you will find 6 loyalty program ideas.

According to a recent article by eMarketer, the dwindling restaurant industry is turning to loyalty marketing to save their businesses and drive customer engagement.

But even if you aren't struggling to sell burgers, you should take the hint. Loyalty programs work.

67% of loyalty program members agree that, all other factors equal, they will buy from a retailer with a loyalty program over one without. -Nielsen

Even the smallest brick-and-mortar businesses have an online presence today, and with that should use promotion marketing to effectively engage customers.

Digital loyalty programs are an incredibly powerful tool for influencing purchases, acquiring customers, driving customer engagement and satisfaction, and increasing ROI.

eMarketer research states that 86% of Millennials consumers prefer special promotions and discounts, followed by 74% who prefer coupons, with a close 73% of respondents who prefer loyalty programs.


Regardless of your industry and business goals, customer-centric marketing is your best strategy in today's competitive marketplace.

Customers will change brands just to get a discount, so you need to be smart with your loyalty marketing and promotion strategy.

69% of brand loyal shoppers will switch brands based on a discount notification they receive on their mobile device.

Today you have access to CRM data and software to personalize your marketing - this means your promotions can be even more targeted and effectively increase revenue.

So where do you begin? First, you need to build an in-house infrastructure for your promotions that your developers need to maintain frequently and make last-minute changes to.

Or you can outsource a Promotion Engine as a service, and a part of your marketing budget, to take the strain off your developers and let them continue working on your core product.

Types of loyalty programs

  • VIP program: Members must sign up (maybe even pay) to get exclusive access to special products, features, events, benefits, etc.

  • Points system: Members collect points with every purchase and can use points to make future purchases or redeem them for rewards.

  • Coupons/discounts: Customers get special coupons or discounts via newsletter, email or when they log into their account.

  • Card club: Simple reward structure where customers "punch" a card and after a certain number of purchases over X€ and get the 10th purchase for free.

  • Spending rewards: Customers who spend a certain amount or make a certain number of purchases are rewarded with customized rewards.

  • Tiered loyalty program: Members can get access to more rewards when they spend different amounts within specified levels.

These are just a few ideas to get you started, you need to determine which loyalty program best suits the needs of your business.

Every business is unique with its own set of marketing goals, but customer engagement and retention should be top priorities. To succeed in those areas, a well-executed loyalty program can really help.

If you have the right promotion solution in place, you can launch effective loyalty programs like these in a relatively short amount of time, that actually increase your sales and customer engagement.

Check out our report, "The loyalty toolkit" to learn more about what's possible with a loyalty tech solution.

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Newsletter author

Isabelle Watson

Loyalty & promotion expert at Talon.One

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