Incentive programmes drive specific behaviours by rewarding them. If you are incentivised to do something, it’s because there’s a benefit for you to gain by doing so. Businesses implement incentive programmes in order to influence their customers’ behaviour and, ultimately, their customers’ relationship with their brand.
The value in influencing customer behaviour is the ability to drive behaviours that drive your business’ success. Businesses can motivate their customers to take desirable, profitable actions by exchanging those actions for gifts and rewards. Here a mutually beneficial relationship is created, where businesses give their customers a proposition; “Take the action we want to see, and we will give you something in return.”
What profitables actions can you incentivise customers to do?
With good reason the first thing businesses want to incentivise their customers to do is make a purchase, but this is not the only beneficial customer action to drive. Here are some examples of other behaviours to reward your customers with incentives for:
What are the benefits of customer incentives?
While the above behaviours may not immediately result in a profit, they can be beneficial to your business’s profitability in the long-term. There are many benefits to creating and offering customer incentives. Here are 3 of the biggest benefits a customer incentive strategy can achieve for your business and brand:
Rewards help your customers feel appreciated and connect emotionally with your brand. They also make your brand more memorable and loved, helping defend against your competition. Brand loyalty and love also inspire repeat purchases, improving your customer retention.
Customer acquisition breeds loyal customers, and loyal customers are an extremely valuable asset to your business. Loyal customers drive your profitability because their repeat purchases increase your revenue. They are also more likely to spend more with your brand, as well as try any products you may have, making it more cost-effective to retain them than acquire new customers.
When a customer enjoys your rewards, it could inspire them to create user-generated content or post a raving review online. These behaviours spread positive word-of-mouth advertising about your brand, generate referrals, and help your business acquire new customers. Your loyal customers become ambassadors for your brand, who truly believe in your offering, and this comes through when they promote your brand to other potential customers.
What are some examples of customer incentives?
A customer incentive is an offering that creates a positive experience for your customer and encourages repeat behaviours. A customer incentive strategy can include offering customers many different forms of rewards. Here are some examples of different types of customer incentives:
Where do I start when I want to start incentivising my customers?
Randgo is an industry heavyweight that helps businesses first identify opportunities for incentivisation. We then work with you to create an incentive program that speaks to your customers needs most effectively. Randgo leverages its deep years of expeeince to create and implement a tailored incentive strategy that works for your business. .
These strategies are designed to be a combination of a company’s desired business results and the kind of incentivisation programme that will actually resonate with their customers. The more customers truly value the rewards you offer, the more impact an incentive program will have.
Randgo’s approach to the above is an agile and collaborative process, throughout which clients needs remain the focus. A key element to the process is allowing our clients to articulate specific goals and challenges, so Randgo can play an effective role in achieving them.
Does our approach sound like a method you can get on board with? Learn more about Randgo’s customer solutions on our website and get in touch today for a way forward.