Does your brand still use stamp cards as a regular part of your rewards program? If you do, then you should probably reconsider. Digital is the way forward, and digital stamp-based loyalty programs are gaining traction among F&B establishments globally. Read on, throw out your stamp cards and let us help you get on track.
Why Stamp Cards Need an Upgrade
Having a stamp card is an excellent way to keep customers interested in your brand because it is a tangible way for customers to see their progress towards getting a reward.
Know Your Customer
The biggest miss with having a stamp card system in place is the lack of familiarity you’re getting with your customer – you don’t know who they are, what their preferences are and how their spending patterns could affect your business. You’re playing the loyalty marketing game with a major handicap.
Keeping it Secure and Fraud Mitigation
A digital loyalty program is harder to defraud and can easily identify, mitigate and reverse human errors – whether it’s someone forgetting to stamp your customer’s card, or a patron redeeming a reward fraudulently.
We’re going to be frank. We’ve come across several companies that simply do not want to move to a digital system because they actually count on customers losing existing stamp cards, hence never having to pay out a reward. This kind of thinking is a little backward and definitely does not put the “Loyalty” in “Loyalty Program”.
If you’re going to have a rewards program, we advise you to commit to it and go digital. It doesn’t have to be difficult. Your customers can check their app or email to find out how far along they are before they can redeem a reward, and as a business, you’ll be able to target your customers and send each unique promotions and offers along the way.
Where’s the Loyalty?
We can’t put in words the number of times I’ve received loyalty cards from the same cafe and promptly lost it two days later. There are many, many customers like me – and moving to a digital platform can quickly fix this problem. Is it really loyalty if your customers have no interest in keeping track of their cards?
We’re back to the main question – how do you fix an archaic stamp-card system? The answer is simple – don’t be afraid to go digital. Your marketing team should work hand-in-hand with developers to create a user-friendly digital loyalty program that will excite your customers and keep them coming back.
A dedicated digital loyalty program will help existing members stay in the program, and get them excited about coming to your store far better than a physical stamp card.
How do we know this?
Let’s take a look into the human mind – psychology can help explain why customers respond to loyalty and rewards programs the way they do. Have you heard of the Goal Gradient effect? This theory states that people are likely to put in more effort as they get closer to reaching a goal or redeeming a reward. Allowing your customers to access their rewards program through an app will greatly encourage them to keep visiting your store.
At Riverview, we’re all about mobile-first customer retention solutions. Our SaaS solution has helped our clients increase their customer’s lifetime value and revenue contribution by giving them the ability to track what types of communications and offers are most effective at shifting behavior. We put your customer’s experience at the center. Reach out to us for a free demo, or click here to download our Product Edition Sheet.