Attracting new loyalty members is a key strategy to ensure long-term program growth. New members represent incremental sales and offset member churn. However, it’s difficult to continuously find high quality new members efficiently and with scale. It’s no secret that a loyalty program’s existing members are its best source of recruiting new members.
Referred customers have 25% higher lifetime values and are 18% less likely to churn than non-referred customers.
Here are 3 keys to turning loyalty members into program advocates:
1. Get their attention
Loyalty program managers understand the value of member referrals and already offer members a bonus for program referrals. The challenge is that this referral tactic becomes stale over time. Members may engage with it when they initially join a program but after their initial referral attempt, this becomes a dated, seldom used earning activity. Quikly’s can seamlessly be integrated into a brand’s existing program to create a newsworthy and engaging referral experience. Our clients see a 2-3x increase in member participation compared to traditional referral strategies.
2. Make referring easy
Ease of participation is key to success. It increases the number of members who will refer and increases the number of referrals each member will make. Quikly’s turnkey referral mechanic taps into a member’s preferred social, email and mobile communication channels making it easy for them to share the program’s referral message. Up to 60% of Quikly participants will refer on average 8 friends to a loyalty program.
3. Lower the hurdle
Joining a loyalty program is a higher hurdle, long-term customer commitment, which can result in a lower conversion rate. Quikly provides a lower hurdle “first step” to recruit new loyalty members which results in a 45-60% registration conversion rate.