Eight types of loyalty programs that work. Bonus VS Discount Program Loyalty: Select the Optimum Option

Under the loyalty program in general It is customary to understand a set of measures carried out by one or several organizations that are aimed at keeping customers and strengthening the relationship between the enterprise and its consumers through the provision of additional benefits. The main criterion of any loyalty program, how can be judged by definition, is to provide a client of various kinds of benefits or benefits that, according to Yu.M. The deserted can be divided into two large groups: material and intangible. (Fig. 3)

Fig.3.

Material customer commitment factors are based on the provision of the consumer with the opportunity to save resources (money, time). Traditional include the location of the outlet or office of the company, the quality of goods or services provided, while software factors imply a variety of discount and promotional programs, such as bonus systems or discount club cards.

Intangible, in turn, rely on the achievement of the emotional customer satisfaction. If procedural intangible factors are those variables that affect the quality of the service or sale of goods directly on the quality of the process of providing services or selling goods, then personal - this is, first of all, attitudes towards the client from a particular organization employee with which the consumer contacts.

Also, a mandatory component of the loyalty program are clearly defined stages of its development, the specificity of which depends on the features of the company maintained and market conditions. Despite this, there are a number general classifications, by one of which, professor of the University of Hofstra, Barry Berman, believes that all milestones of the development of a commitment program can be divided into:

• 1. Defining the objectives of the program. The goals of the loyalty program can be focused on receiving income, profits, conquest customer loyalty or receipt for more information about them. These goals, as a rule, are aimed at attracting additional customers, an increase in the base of loyal consumers and a decrease in the outflow of committed buyers;
• 2. Determining the budget. The budget of the loyalty program should reflect the initial and current advertising expenses, including communication costs with members of the program, the maintenance costs of the necessary equipment, to create a database, direct costs for remuneration provided, as well as expenses related to the implementation of the Program;
• 3. Determining the degree of openness of the program. At this stage, it is necessary to determine whether information about the loyalty program is in open access For all customers of the company or it is worth limking to the elected circle of consumers. Programs focused on increasing sales, as a rule, are open, while closeness is characteristic of programs aimed at an increase in the resulting profit;
• 4. Selection of remuneration for program participants. The structure of remuneration depends on the type of program and its participants;
• 5. Consideration of partnership opportunity with other companies. This may allow compensate for its own weaknesses with the advantages of the partner organization. In addition, partnerships in the construction of a loyalty program allow companies to access each other's customer databases, which provides the ability to organize cross-sales;
• 6. Building an appropriate organization. First of all, at this stage it is important to understand whether the organization can competently plan and implement a conceived program. If necessary, the organization can use outsourcing to perform the above actions;
• 7. Development and maintenance of the database for clients and participants of the program. Without a database, which monitors the behavior of the program members and offers various awards of each major consumer group, the company cannot achieve the full realization of the potential advantages of its loyalty program. It is also necessary to take into account the fact that the database needs to be managed, which should be carried out by a competent person;
• 8. Determination of potential benefits and risks possible when implementing a loyalty program. This stage includes the definitions of the most full list Risks that will be associated with the implementation of the program, as well as the preliminary calculation of all necessary indicators, for example, profitability, the value of which can vary greatly depending on the market segment.
• 9. Implementation of corrective actions and verifying the effectiveness of the program. The last step in the process of developing a loyalty program is the implementation of corrective actions if the loyalty program does not correspond to the goal.

According to Barry Berman, there are four broad loyalty programs (Table 2). In the most general form, clients involved in the first group of programs receive a discount on specific goods or services by providing special cards that give them the status of a member of the loyalty program of a particular organization, in terminals or, directly, payment places. In most cases, employees of the organization make customer card numbers in a special registry, which helps to provide additional conditions to consumers who do not have data cards, or determine non-registered customers. While such a format can be viewed as a loyalty program for some retail chains and consumers, this is not entirely true, because it is characterized by an open type of membership for all customers, as well as equality among participants in terms of the discount, which they receive with participation in The program, regardless of the history of their purchases. Distinctive feature Representatives of the first group are also the fact that the members of these programs can be a huge number of consumers by virtue of the ease of registration procedure for both consumers and the organization itself. For example, the members of Giant Eagle Advantage Card, the system of promoting customers developed by the largest network of US supermarkets "Giant Eagle", automatically receive a discount on hundreds of goods on the network of the corresponding stores when scanning a special card barcode on a service terminal or with a cash register.

However, there are several important restrictions characteristic of loyalty systems belonging to the first group. The loyalty programs of this species do not reward loyal behavior, they reward card owners. They do not encourage re-acquisition and more resemble electronic coupons, since all consumers get the same benefits, regardless of their past purchases. Sometimes the usual customers and the so-called "Cherry Pickers" (to consumers who buy only the goods offered at a big discount) offer the same bonuses as the best customers of the company. Also important restriction is the imperfection of customer database, since the first-type programs are characterized by documenting only the name of the consumer and address address. Thus, the Organization cannot relate demographic information about the consumer or data concerning his lifestyle to develop individual special offers for the most profitable consumers.

Table 2. Typology of loyalty programs

Type of program	Characteristic
Type 1: Members of the program receive an additional discount on registration	· Company employee can make a discount based on the name of the cardholder · Each participant of the program receives the same discount. · The company does not have demographic information about the members of the program · No individual proposals for each client	Supermarket loyalty programs
Type 2: Members of the program receive any product or service for free, purchasing company products	· Membership is open to all consumers · The firm does not support the database that connects the history of purchases with a specific buyer	Car washes, manicure salons, hairdressers (Supercuts).
Type 3: Members of the program receive bonuses on a storage basis, respectively, their shopping history	· Moves the client to spend so much so that he can get the maximum discount or bonus	Hotel chains owned by air carriers, credit programs using cards
Type 4: Members of the Program receive individual special offers	· Members are divided into segments based on shopping history · Presses the presence of a database containing not only general information About consumer, but also data on its lifestyle and demographic information	Tesco, Dorothy Lane Markets, wakefern "s Shoprite, Giant Eagle Supermarkets, harris TEETER, WINN-DIXIE, Harrah "S, Hallmark

Programs of the first type are often used by small firms that do not have managerial potential or resources to implement the loyalty systems of the 2nd, 3rd and 4th type as a protective measure to compete against organizations with more complex loyalty programs.

The remaining groups (2, 3, and 4) are introduced by companies in order to increase customer consumption, offering additional discounts, or free products. For the programs of the second group, the consumer is characterized by the consumer of one name of the goods, after it has already acquired a certain amount of similar products at a cost. These programs resemble quantitative discounts based on the total number of consumer purchases, and not at the frequency of consumption. For example, a consumer can make 9 purchases within one day or a passenger can board 5 tickets to flights. While active clients, That is, whose level of product consumption of the company is high, get proportionally the same benefits, which are inactive (by analogy with active - customers characterized by low consumption) consumers, their advantage is the speed of accumulation of the bonuses provided by the bonuses system.

Second-type programs are usually self-governing by buyers. This is explained by the fact that he always presents a purchase report (often on specialized maps), which in the case of purchase it is made. For example, a network of supermarkets "Family" offers a storage system of chips, which are issued for every 500 rubles spent by the buyer. When the number of relevant purchases reaches a certain number, the consumer receives the right to free goods or service. Examples of second type programs can also make coupons for a free haircut in the network of American hairdressers "Supercuts" or a ticket to a free parking space in the FastPark Parking Web.

While the loyalty systems belonging to the second group do not require high-level firms management competenciesThey are also very easy and can quickly be copied by other players in the market. In many cases, the benefits of the company's marketers turn out to be short-lived, as competitors begin to offer an identical or better free offer for consumers. The second serious problem is that the firm does not have any information about the members of the program and cannot receive feedback from them, or offer differentiated bonuses to various groups of consumers. Thirdly, the bonus, as a rule, is the same name of a product or service that was acquired by the client in the past. Despite the fact that the receipt of goods is free of charge is a good incentive for re-purchase, it can motivate worse than getting, for example, inadequate product name as a gift.

The members of the third type loyalty programs receive bonus points in accordance with the past purchases. Unlike the first and second group, the marketers of companies that implement the loyalty systems of this type require a comprehensive database, with which it will be possible to track the history of purchases and the buyer accumulated by the buyer. Some programs of this type be aimed at encouraging the consumer to increase their level of consumption or reward active buyers. For example, "Hilton Hhonors" offers the conditions according to which active customers can quickly accumulate bonus points, which can then be spent on the booking of the room at any hotel chain.

An example may also serve as a network of hypermarkets "Best Buy", which allows participants of the "Best Buy" S Reward Zone "program to receive 100 points for every dollar spent in a retail or online store. Participants receive $ 5 certificate for every 15,000 points, which can To be used to make a purchase at any store "Best Buy". Among organizations that use third-type loyalty programs can also be distinguished by a number of airlines ("American Advantage", "Delta Skymiles", "United Mileage Plus", "Southwest Rapid Rapds "), Hotels (" Hilton Honors "," Hyatt "," Intercontinental "," Marriott Rewards "," Holiday Inn Priority Club "," Starwood Preferred Guest "), credit companies (" Citibank Premier Pass Elite "," Discover Card: The Miles Card, "Amex Membership Rewards", "Diners Club Rewards") and suppliers of office equipment and stationery.

Many third-type programs provide affiliate relations with marketers of companies that provide goods or compliments (for example, for the airline, these are chain chains and car rental) to facilitate the accumulation process of bonuses and increase the number of opportunities to receive them. Since most of the loyalty systems belonging to this group involve communication with participants with the same communication channel, customer interaction does not necessarily lead to closer relations with the organization.

Despite the fact that most fourth-type programs are based on the receipt of points (as well as in the case of the third group), they are able to offer individual special offers, shares and awards based on the history of the purchases of each consumer. Such programs go beyond the usual discounts based on past acquisitions of the Client. Supermarkets of Networks "Harris Teeter", "Shoprite", "Winn Dixie" and "Tesco" are representatives of companies using fourth-type loyalty systems. Using "E-VIC", "Harris Teter" via e-mail is noting participants about special capabilities that a specific consumer can use. Shoprite stores use their membership program to attract those consumers who have not yet been in the store stores with coupons for discounts and special offers. The WinN-Dixie supermarket chain offers a differentiated loyalty system, for example, a company allows its consumers to become members of the Baby Rewards Club (as a bonus - a subscription to a quarterly children's magazine), "Pet Club" or "Wine Club" (with seasonal newsletter Brochures containing information about the new arrival of wine products on the supermarket shelves).

Companies that use fourth-type loyalty programs as an important element of their marketing strategies should constantly develop and maintain a comprehensive database and should be able to manage a complex system of communications and remuneration aimed at interacting with loyal customers.

Each subsequent group of loyalty programs from the classification proposed by Berrmann is based on the previous one, given its disadvantages. The transition to loyalty systems described in the first, second and fourth groups means that the firm may gradually upgrade its loyalty system based on changes in a competitive environment, an increase in the level of management competencies and receiving additional resources.

There are also other examples of classifications. For example, Stefan Butcher suggested three options for loyalty programs:

• · Open (membership in the program does not require additional contributions from the client or perform any other conditions) and closed (for joining the program, you must comply with a number of conditions - fill out the questionnaire, make an initial contribution and TP.);
• · Entrepreneurs (B2B), distributors (B2D) or on end users (B2C);
• · Price (affect the desire of the client to behave rationally, to save themselves) and non-counseled (affect the emotions of the program member).

Fig. four.

According to the classification presented information agency RosBusinessConsulting, all loyalty programs are divided into two groups on the profile of participants and on the system of encouraging customers (Fig. 4). In the first case allocate:

• · Specialized programs - characteristic feature It is the provision of bonus conditions with members when buying a product or service in a particular trading point of the company, are created by the organization for their own use. Are divided into local programs of a single store or chain stores, club programs operating in various companies of one profile and programs based on standard bank cards with the possibility of obtaining discounts in certain outlets;
• · United Programs. They are divided into alliances with the recognition of maps of other companies and co-branding, that is, programs based on the international payment system, which includes two participants: a financial organization and a firm that has wide fame and advertised brand;
• · Universal or coalition loyalty programs that include 3 or more companies whose customers can receive bonuses or discounts, acquiring goods or services of any company in the coalition. We are divided into programs with an anchor operator (are created in order to develop a business operator) and with an independent operator, for which the development of the loyalty program itself is the main business.

From the point of view of the promotion system, all loyalty systems are divided into:

• · Discount - based on the provision of discount when buying a product or service. Allocate discount programs with fixed and accumulative discounts. When using a cumulative system, the size of the client's discount depends on its shopping history, while at a fixed discount, it is constant;
• · Bonus programs that allow the client to accumulate special points based on its shopping history, which can later be spent in order to acquire a specific product or service. They are divided into programs with accumulation of bonuses for a "gift" and bonus programs with "calculated" bonuses.

Thus, there are many classifications of loyalty programs, however, there is no universal method that allows you to determine which program is more suitable for a certain organization. The choice of a specific loyalty system and its subsequent implementation relies not only to the scope of the company's business, but also on the peculiarities of the market and consumers.

The competent loyalty program is not only a tool for holding customers and ensure re-sales, this is a strategically important development that will significantly increase the profitability of the enterprise without capital investments.

Before proceeding with the description of the capabilities that the loyalty systems opens up before enterprises, it is necessary to specify that in its purpose they are united, but in the degree of implementation there are a whole mass of options. In this article, consider two main types of events: aimed at the external consumer and internal programs for employees.

In most of its actual implementations, the loyalty system is perceived by managers as a system of action to hold customers.

But in practice even small successful companies, there are internal programs, the purpose of which is to increase the commitment of employees and convert them to:

1. more efficient and productive labor;
2. customer companies.

Consumer loyalty programs

The purpose of such developments is to hold the client's interest, the creation of additional communication, ensuring secondary sales. Opportunities that first see marketers and company managers in such systems are an invaluable consumer database that allows you to anticipate needs and expectations. Constant analysis of its own discount club and receiving feedback from its target audience Allows the company to know about the qualities, opportunities, habits of buyers, which, in turn, makes it possible to quickly and efficiently manage the product implementation.

Consumers are usually suggested to fill a certain questionnaire / card / form to obtain some benefits. This identifier is the key to participate in the UP from the consumer. This prerequisite gives a specialist colorful and distinct portrait of Central Asia.

Opportunity PL №1 Obtaining information about clients

Getting the wider range of information about your actual and potential customers in order to further use it for marketing purposes.

Let us give an example. Opening the clothing store is at the preparatory stage to lay out the release of the circulation of plastic cards and create a software for working with a client base. Already from the first days of the store, you can issue cards in return to the completed detailed form (permissible 10-15 questions), receiving customer information about customers - age, occupation, shopping motifs, favorite styles, colors, models, clothing style etc.

Over time, analyzing sales and breaking customers to target segments, you can allocate the most loyal and promising group and build work based on its needs. Let's say the maximum shopping volume make young girls who prefer Casual and their usual shopping time - afternoon.

Possessing such information, the owner of the store can focus in procurement on b aboutwe have a stream of clothing in the specified style, take the work of young and dynamic sellers for this time, roll out additional shelves with an ultra-modern or auction product in a small dimensional grid (focusing on the target segment).

Possibility of PL №2 - Direct communication with the client

Direct communication with a client based on its preferences and features of the company's business.

For example, customers of a mobile sushi bar may not have time to keep track of its movement around the city, but the address point SMS tolerance will allow additional sales by purchasing those customers that were previously informed. Moreover, sales analysis can allow this alert more individualized, offering the client what he loves: "Maria, your favorite Philadelphia with salmon today will be waiting for you near Treneva Park."

Other opportunities

There are, however, and "blind" shares of loyalty based on the provision of all or part of consumers of certain bonuses in a wide variety of forms (a glass of beer to the dish), the use of which conventionally reduces the cost of the product purchased again. The task of such a step is to make a concrete product attractive to the client or your own name in order to increase the check or re-sell. But no additional opportunities have such systems that are not very short-sighted.

In short, I want to list the possibilities that the full client base gives, and that in the end leads to an increase in profits:

• alert on the activities of the enterprise, events;
• segmented suggestions;
• price variation (provision of different discounts / prices);
• protection against dumping from competitors
• understanding the values \u200b\u200bof CA for further development planning;

Personnel loyalty programs

If the above examples of the PL are focused on improving the efficiency of bilateral communication between the company and its client, the program loyalty programs have a completely different focus - an increase in the performance of work through the internal loyalty of employees to the employer, product, activities.

As you know, if the work is made with a soul, its price is higher, and quality is better. For employees to love this case and, that is important, they themselves became customers and consumers of goods of their own company, the staff is provided with a certain system of benefits, motivating it to increase productivity. It can be a sale of clothing from sellers at cost, an increase in the rates from the length of service, the creation of a family type of collective and MN.D.

The system can be material, intangible or complex, implying a constant professional and personal growth as an employee and his wage system in particular and staff and, ultimately, the company as a whole.

Opportunities internal programs

• improving the competitiveness of the enterprise;
• reduced frames;
• commitment to your product and conversion of employees to customers;
• creation of teamwork;
• reduced work with personnel

It is worth noting here to note that such a loyalty program can only be considered at the end of the period of becoming a business, confidence in the final product.

Questions and answers on the topic

On the material is not yet asked any question, you have the opportunity to do it first.

All about the loyalty program: how to choose, implement and evaluate

Consumer loyalty promotion programs for small and medium businesses

Consumer loyalty bonus programs have significant advantages compared to simple discounts. We list the main advantages:

• Customers, to one degree or another, see the value in the accumulated bonuses, and this causes the retention effect. If the client knows that he has "on the account" in your organization there is accumulations, it will be more difficult for him to abandon your company's services in favor of another.
• Bonus points, fulfillment of obligations for which is delayed, cost less in comparison with a discount. Discount on the goods costs the ruble in unfulfilled income; The bonus ruble is significantly less. The difference between the same ruble will remain in your company.
• Some bonuses remain unclaimed. "Healthy" percentage of unclaimed bonuses lies within 20-30. Consequently, "Your" ruble will cost you about 70-80 kopecks.
• Discounts attract the buyer loyal not to the brand, but to a low price. Using its own currency, you can reward available and future customers and eventually build mutually beneficial relationships with them. Your interim currency rewards customer loyalty to you and your brand.

The creation and implementation of loyalty bonus programs often turns into large overhead costs for the development or purchase of software for settlements.

Whether the company will use internal IT resources to develop a system of calculations or attract third-party developers, the solution is obtained either quite expensive with a long implementation period of the project, or fundamentally inflexible. And if the need to reduce costs, as a rule, is obvious at the planning stage, the lack of flexibility at first glance does not seem to be such a significant flaw, and companies choose simple solutions Written "on the knee".

Unfortunately, as soon as you want to change the rules for encouraging your customers - unexpectedly, it is invariably that all of your system will have to redo it, for which, of course, there is no financing, nor human resources, and good, initially, the idea of \u200b\u200bimplementation Programs of encouraging customer loyalty no longer seem so attractive. Reflections on the choice between flexibility and price also take strength and time, gradually reducing the idea of \u200b\u200bthe introduction of the system of encouraging customers.

If large companies can make significant investments in the creation or purchase and deployment of full-scale CRM applications, including loyalty programs, then average and small companies It is quite difficult to carve out the necessary funds in the budget.

Fortunately, the development of technology has led to the emergence of online systems available via Internet and open source products. This significantly facilitates the tasks of creating and deploying the necessary applications. Open source products reduce application creation times with the necessary functionality.

Online solutions, in principle, remove the issue of developing an agenda and offer to enjoy ready for a monthly fee or, in some cases, free of charge.

In the process of implementing the loyalty programs, the company faced with general issues to which we will try to answer below.

Attracting customers

If the company decided to use the loyalty program in its activities, then one of the most important issues that it needs to decide is a way to attract its own clients to this program and their identification in the information system support for loyalty programs.

In other words:

• You need to know who of your customers you charge bonuses.
• Your customers should know that they are accrued bonuses.

Customer Identification

If the services of your company use few clients, each of which you know well in the face, then to build an individual approach to them, you do not need any information system at all.

Otherwise, the company must identify the client in the process of acquiring goods / services to know who accrue bonuses for the fact of acquisition and lead the bonuses accrual history.

Since the standard purchase check is usually unique, the following identification options are possible:

• Bank cards.
• Club or discount cards.

In the future, the first option is preferable, since it does not require the release of additional loyalty cards, coupons, and such identifiers, but at present the orientation only on bank cards narrows the circle of potential program participants. For reference, the percentage of calculation on bank cards in large cities of Russia is 11-15%. This indicator is growing steadily and in the future should be closer to 70% (the existing payment ratio of bank cards in relation to the cash settlement in a number of Western countries).

Agreement with a client

Next, having tied the purchase to the identifier, you must associate the buyer's identifier directly with the buyer, having received its consent to participate in your bonus program and consent to your purchase information with its identifier (for example, a plastic card code)

The most standard path in this case is a client must, anyway, subscribe to participation in your loyalty program.

Subscription may be in the form of filling a small questionnaire in your office or on the company's website. The questionnaire must comprise the client's consent to participate in the program, as well as the identifier of the client to be determined by the purchase affiliation. The simplest case, as we have already discussed, will be a payment card of your client.

If we are talking about bonus loyalty programs - then in this case, the payment of bonuses is a deferred procedure in relation to the direct fact of purchase or service. The company must consider how when and in what form to report to customers about the bonuses accumulated in the system. To report the magnitude of the bonuses is not necessary - the company can elect a strategy of sudden for the buyer of gifts, when the client knows nothing about the magnitude of the bonuses and the company gives him anything, thereby reporting that the company appreciates him as a loyal consumer.

On the other hand, a message to customers about the magnitude of the available bonuses once again reminds the client about the company and involves it in the game for an increase in existing savings.

Payments bonuses

The company can pay bonuses in any convenient form. It is not necessary to pay bonuses in cash or provide discounts. This is a significant plus bonus loyalty programs. You can identify the dependence of the value of the client from the client and your remuneration. All abundance of opportunities to make a gift to the customer provided by the company as a choice. Think out which frequency you are ready to pay bonuses, and report it to customers.

Let customers strive to accumulate enough points to obtain a prize. After all, earning points - they buy from you!

Features of Internet companies

Of course, all of the above issues are quite solvable when implementing loyalty programs by all companies, but online companies have several advantages over traditional type companies.

Let's return to them again:

Any online store already has identifiers of all their customers - these are accounts under which customers make their operations in it.

• Transfer of information about bonuses to customers

The user does not need to look for information about their bonuses, he cannot and just forget about them, becoming inactive participants in the program. After logging in to the system, it should be reported on the current state of its bonuses on the start page.

Since the identifier of the client you have the default - optionally and the initial user agreement with your client to attract it to your loyalty program. You can find it from the very beginning to consider bonuses in the form of an additional service that does not require any effort from the client to connect it. Of course, it is necessary to enable the client to abandon participation in your bonus program, but by default it is already in the game!

In recent years, web projects combined by the term Web 2.0 are becoming increasingly widespread: projects of social networks such as Odnoklassniki, Vkontakte, etc., as well as websites where users can share the content type YouTube, Myspace, etc.

Such projects attract a large audience of users, and most of the contents of the sites create the users themselves.

The creators use the "Self-sustaining" mechanism of Web 2.0 projects: the more users - the more on the content site. A larger amount of content attracts an even greater number of users. It is convenient, because It is not necessary at the initial stage of the functioning of the site to spend large means for mass advertising.

It was also noticed that some users create much more content than the rest. Obviously, the desire to attract such people and somehow, if possible, adequately reward them for creating a filling that attracts more new customers.

To the choice of the method of remuneration, the company must be careful - the practice has shown that payment of money, for example, is not always the most the best way Promotion. The next unpleasant effect occurs: some clients begin to abuse the system of remuneration and it demotivates truly creative people.

Perhaps the most correct way is the appointment of some additional privileges within the service - such as providing the rights of moderation or free accounts, etc.

Secrets of new generation loyalty programs

But still, the strategy for encouraging creative customers must carefully consider all user activity, and it is better if the calculation of bonuses will occur automatically. It is also desirable to take into account all the user activity from the first days of the functioning of the service in order to avoid ignoring the actions of the very first, most valuable, customers.

Instead of imprisonment

Modern level of development information technologies Makes simpler and accessible introduction of consumer loyalty programs with a wide range of small and medium-sized companies. Any company caring for its clients, seeing its main capital in customers who keep the company's brand commitment in a modern rapidly changing world can be implemented, and implement quickly and with low costs, customer loyalty programs in their daily practice. The use of bonus loyalty programs is convenient and beneficial to Internet companies and companies support social networks, but, unfortunately, it is often underestimated by them at the initial stage.

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Loyalty - Ways to increase customer loyalty

There is a lot of tasks before the new business:

1. Attraction of new clients. It is the most expensive and complicated.
2. Organization of service.This task covers the technical process of selling goods or the provision of services and it depends on it to return the consumer to the company or not.
3. Customer loyalty. The success and development of the company directly depends on how many people will return for goods or services.

What is loyalty?

If you take statistics on startups, it turns out that 80% of enterprises are closed in the first year. Obviously, they simply could not make their consumers loyal. Satisfied buyers return shopping again and again and become convinced "lawyers" brand. Let's figure out what loyalty means. Loyalty is:

• positive customer attitude to goods or enterprise;
• strong emotional commitment;
• complete confidence, regardless of the best conditions for competitors;
• long-term relationship.

Loyalty in Marketing

Marketing any company should be focused mainly on making their customers constant also because the cost of holding consumers is 5-10 times less than the attraction of new ones. If the product or service has an attractive price, excellent quality, the sales process works like a clock, then such a business will grow. Therefore, the main task of the marketer is to not only attract buyers, but also to keep. For this use:

And sympathy can be:

• enterprise;
• goods or brand;
• employees.

If there are two components of adherence at the same time, it is already a double loyalty that increases the commitment and profit of the enterprise. Each marketer should strive for complete satisfaction - when customers like not only the product or service, but also employees, and the enterprise as a whole.

What is the client's loyalty?

The Internet ten times increased competition in tens of times - the goods can be easily implemented in any city of the country. Therefore, in the struggle for the consumer, companies are developing entire loyalty programs. What is loyalty to the company? This is a positive attitude of the buyer to a company based on emotional affection. Loyal client consciously chooses the company, even if:

• the goods are more expensive;
• delivery costs more;
• have to wait for the goods.

Increase customer loyalty

Ways to increase customer commitment to a lot. But if you allocate the main, then factors are influenced by client loyalty:

• quality of goods or services;
• communication speed (how quickly they called back after leaving the application, as the goods quickly sent);
• as how quickly the problems have been solved, which arose;
• expert advice;
• excellent service over expectations (it can be a smile, an unexpected gift, a professional council for solving problems that are not related to a commodity or service).

Types of loyalty of consumers

Buyers loyalty are divided into:

1. Behavioral. This type of relationship is distinguished by the lack of emotional attachment, i.e. Purchase is carried out under the influence of advertising or "delicious price". For evaluation, these indicators are used as:
2. average check size;
3. repeated purchases.
4. Perceived. It is directly related to the emotional component.

   Loyalty programs

   This indicator reflects the preferences of consumers, their opinion. The buyer is maximally involved in the brand and makes purchases constantly.

5. Comprehensive. The comprehensive loyalty indicator combines behavioral and perceived and fully reflects the relationship of consumers to the company's suggestion.

The increase in loyalty is not obvious, but the main task of any business, if he wants to stay afloat and flourish. Her decision should be attracted by significant human and cash resources of any company. Russian marketers often try to attract buyers with large discounts instead of implementing a well-thought-out affection program.

The loyalty program is open and closed. Open loyalty programs do not make tough restrictions on participants, potential customers easier to access them. The presence of motivation to participate in the program is not a prerequisite. The audience of such programs is wider, which will lead to the erosion of the program. Closed loyalty programs are intended for a limited range of participants, because for joining the program, the client must comply with certain criteria. To participate in the program there may be a fee of the entrance fee, filling in the questionnaire, committing a certain number of purchases. In a closed program, participation involves the presence of consumer motivation.

Deciding on the basis of a closed or open loyalty program is determined by which customers a company is focused on new or attracted. The advantage of open programs is: a large number of participants, a more complete database (segmentation option), ease of connection (lower levels of consumer expectations), coating the cost of the program due to the number of participants.

The advantage of closed programs is: concentration on the Task Force, restricting the participation of unwanted clients, the interaction is more efficient (higher than the expectations of consumers), coverage costs for the program at the expense of membership fees.

There are also other types of customer loyalty programs:

• 1. Discount program.
• 2. Raffle prizes.
• 3. Bonus program.
• 4. Coalition program.
• 1. Discount program. Provides a discount to the client at the time of purchase. Discounts are provided by discount card that can be fixed or accumulative. In the cumulative system, the size of the discount depends on the previous spending of the client - the more the client spent the company's service for the entire time, the more significant discount will receive on all subsequent purchases.

Plus a discount program, it is the embedding the principle of provision of benefits on an ongoing basis in it, stimulates the buyer to use the services of only one particular company.

The minus of the discount program is that if the buyer receives a smaller discount, the offer for it becomes simply not interesting. If you only focus on client preferences, then the discount program can be unprofitable.

• 2. In the prizes draw, material benefits are welcome, but most of all is the main benefit is emotional. The client receives a prize resulting from a "happy case". The effectiveness of the prize draw is not too high. Participation is passive. The mechanism for determining the winner is opaque and therefore strengthens the passivity of "participants".
• 3. The bonus program implies the accumulation of customers of special points, which in the future it can exchange for valuable gifts from the company's catalog. The main plus of the bonus program is to use the material incentive of the accumulation of points, which can ensure the economic feasibility of the action. This incentive has it economically appropriate than the provision of a discount program, since the consumer's ratio of the bonus received and the cost of purchases made them may be more profitable for the company. Bonus programs are more emotional, the client adopted a proposal to participate in the program will be interested in the accumulation of bonuses, and the significance of the cost of the goods offered will decrease for it. This program stimulates the consumer to use the services of only the supplier who provides him with benefits.

The main minus in the bonus program is the complexity of making a catalog of gifts for customers. When forming it is important to find the relationship between the consumer interest and benefits of the company. The consumer will participate in the program only if it is able to exchange accumulated points on something valuable for yourself. The best gift within the same company will be the product of this company, for which the client pays in any case the money. The companies will have to withdraw their part of the popular goods from turnover, in order to distribute them for free in the quality of gifts in exchange for bonuses. If you form a gift catalog on the residual principle, then offer to the consumer as gifts are not too popular products, you can assume that the bonus program will lose its attractiveness for customers and stop working.

4. The coalition program combines several companies that are not competing among themselves, but aimed at one target audience.

This program can be built on a discount program or bonus program. The coalition program can control the two types of operators: "Anchor" and independent operators. "Anchor" operators are companies that are organizers of loyalty programs, the program is created to develop an anchor business operator to participate partners. Independent operators are companies specializing in the provision of services in the field of development and implementation, support for loyalty programs.

The advantage of the coalition program is to combine client bases of various programs. The program combines various areas of activity and allows you to obtain a synergistic effect from the cross-use client base. The database association makes it possible for planning various bonus actions, as using an incentive gift in exchange for bonuses, you can use products of your partners, thus promoting their business among our customers and increasing their loyalty without prejudice to your own budget.

Participation in such a program gives the company the opportunity to promote your goods through additional channels that have high dynamics and which can be considered highly precise for cross-marketing activities.

The coalition program is an important point is to comply with the principle of non-crossing the commercial interests of the participants of the program.

The disadvantage of this program is to achieve efficiency, it is necessary to implement a large amount of supporting activities and form a separate brand of the program itself. The brand must be associated with the consumer not only with companies, but also the program itself.

In particular cases of the coalition program, the Company's discount card is combined with credit card bank. Means the execution of a bank card role bonus or discount. Banks stimulate the cardholders to use them to pay for their purchases, and for the rest of the program participants, the meaning remains the same. Such programs operate on a bonus scheme or on the principle of the observation of the part of the tools spent on the account of the holder.

Unfortunately, many companies that implement loyalty programs and having extensive databases are inefficiently used. The reasons for this - ignorance, as can be rationally apply the collected information, how to develop individual offers For each segment of customers, technical difficulties in the implementation of analytical processes, the unreliability of data, etc.

9) Closing the program. The question to which few people pay attention when starting the program due to the optimistic attitude at the beginning of the way. However, do not forget that any project has its own life cycle. May come when the program will stop being effective. It is necessary to determine in advance with critical indicators, upon reaching which the program must be turned out: will it be transformed into something new? If not, how will the personnel be disbanded? How will the database be used? These and other questions should be thought out in advance.

In addition, when developing and implementing a customer loyalty program, it is necessary to comply with "12 client loyalty laws":

• 1) Build the loyalty of the personnel: to please their employees, and they, in turn, please clients.
• 2) Apply Rule 20/80: Approximately 80% of revenues receive a company from 20% of customers.
• 3) Create loyalty stages and ensure that customers move from one to another: the client becomes a loyal company and its products and services gradually, step by step.
• 4) at the beginning to serve, and then sell: consumers believe that they come to you, because services are pleasant, productive and addressed to them personally; If this is not the case - they leave.
• 5) Carefully study customer complaints: worst, negative customer reviews about the company.
• 6) Being Responsive: The response speed is closely related to consumers' representations about good service. More customers are counting on 24-hour service.
• 7) To know what is valuable to customers: invest in research of customer loyalty, which will make it possible to understand how much the company will satisfy customer requests.
• 8) Returning lost customers: Return the old client 2 times more likely than persuade a new one.
• 9) Use various channels to serve customer well: customers often change communication channels, but everywhere await good service.
• 10) engage in training specialists with clients.
• 11) Collaborate with partners: controlling the entire supply chain in order to provide a high-quality service to the final consumer, to be out of reach of competitors.
• 12) Store information in one centralized database: data from all client contact points should be stored in one centralized client database.

These laws allow to avoid the most common mistakes, help better understand the consumer and most fully satisfy his requests associated not only with the quality of the goods as such, but with all that the process of acquiring goods or service accompanies - and therefore will deserve the commitment of the client and build Effective client loyalty program.

The client loyalty program cannot be held in a few weeks or months, this is a solution for building a long-term and effective strategy in relations with target groups.

On the modern stage Development, especially in the market of services, loyalty programs already acquired transformations and are in the transition stage, approaching the stage of maturity. Below will look at and give the definition and give the classification of various loyalty programs. Richard Barlow, the founder and executive director of the company providing advertising and marketing services in the field of loyalty gave such a definition of relations to which the company should strive in their work with customers: "Voluntary exchange of information and other useful interaction between the buyer and the seller with the expectation of mutual benefit " The greatest value of the permanent client cards for the company is that it allows you to obtain data that help to understand customer behavior. The information reported by customers when making or using a card increases the knowledge of them, allowing you to make more successful solutions in many areas of the company's activities.

The loyalty program is the formation of long-term mutually beneficial relationship Between the company and the client. Loyalty programs are wide space for creativity and activity of the company's employees, not only marketers and advertisers, and without exception.

The essence of the work on creating a loyalty program can be formulated as follows:

• - attract the consumer into a dialogue that will allow you to constantly receive information from it;
• - qualitatively process this information (database);
• - Create and report a proposal that is the most oriented need for the needs of a specific consumer;
• - Find out the consumer's response to the reporting offer and adjust information in the database.

The key components of loyalty programs are:

• - Client database (customer identification).
• - Communication complex with customers (customer holding).
• - Package privileges (material and intangible stimulation of the desired customer behavior).
• - Analytical core, allows you to predict how the client will behave tomorrow, as well as how his behavior will affect business indicators.

In the literature allocate several criteria for the classification of loyalty programs:

I. Depending on the client's promotion toolkit used;

II. Depending on the type of "entry" into the program;

III. Depending on the type of customer identification in VL;

IV. Depending on the object;

V. Depending on time and goals;

Vi. Depending on the methods of providing the service.

Depending on the toolkit used, all brand loyalty programs are divided into two groups: price and, accordingly, non-counsed.

Price programs, as a rule, include discount and bonus cards aimed at carrying out the buyer of repeated purchases, and therefore, and to increase sales by profitable offer.

The undoubted advantage of price methods is that they can be easily and quickly organized in a simple and accessible form. TO weaknesses The loyalty programs built exclusively on the price instrumentaries should include the short-term nature of this effect.

Loyalty to the brand by buyers can only be kept for the period of "shares". In addition, discounts that are often conducted are associated with consumers with a deterioration in the quality of the brand goods and an exaggerated price.

The purpose of non-price programs for the formation of brand loyalty is the establishment of strong friendly relations with the consumer in the long term by supplying it predominantly unique emotional and social benefits from communicating with the brand.

Despite the large number of specific measures aimed at forming a loyalty to the brand, the following should be selected (Fig. 1.2.):

Fig. 1.2.

Price Programs:

Discount programs are one of the most common types of brand loyalty programs that are focused on providing consumer benefits in the form of a return of the paid value of the goods directly at the time of purchase.

Discount programs are fixed discounts and with differentiated / accumulative discounts.

The discount program of loyalty with fixed discounts is to provide the material benefit of the client as a saved percentage of the cost of goods or service directly at the time of purchase, and the discount value does not change depending on the size or frequency of the purchase of goods or services. To obtain a fixed discount, the client must have a special discount card.

Such programs form customer loyalty to a specific institution if the card discount for its owner is essential. In addition, these discounts as the number (amounts on checks) of purchases can be listed (accumulated) and subsequently to a certain maximum. Such a process provokes a client to re-purchase and take goods to certain marginal sums.

Despite the popularity of discount programs, it should be noted that at the expense of price discounts it is difficult to form a group of truly committed trademark of consumers: there will always be a competitor who will offer the price below and replace the client to its side.

Accumulative discount programs. TO main features This type of discount programs belongs that in them, in contrast to programs with fixed discounts, the benefit is not a fixed and unchanged value that does not depend on the customer's customer activity: it directly depends on how often and how much they were carried out consumer previous purchases.

In this particular situation, an element of the benefit of psychological participation in the game is appeared: more often and buying for a large amount - you get great benefit.

However, the benefit itself is qualitatively the same: discount, reduce the purchase price of goods, savings. In other words, accumulative discount programs are addressed to consumers, pursue mainly rational shopping motives.

Bonus programs for promoting brand loyalty.

The idea of \u200b\u200bbonus promotion programs is that when making a purchase, the consumer is gaining some conditional points (glasses, bonuses, points, miles). When accumulating a certain number of points, the consumer receives the right to exchange them on a specific product or service at its discretion. The more bonuses the consumer picks up, the more expensive gift it can purchase. Thus, the consumer is not only material benefit - an additional product or service, but also emotional - in the form of participation in the game and obtain the desired prize. In other words, in bonus programs of encouragement there are all three types of benefits, the motives of the participants of such programs are designated as "syncretic benefits".

This type of loyalty promotion program significantly increases the commitment to the brand from already existing customers, since the stimulation of the accumulation of bonuses occurs constantly, motivating the buyer to increase the added points, and therefore leads to a stable purchase of products and services of this company. Another advantage of using bonuses is information about the client base, which is gradually going to the company during the implementation of a loyalty promotion program. In addition to indisputable advantages in the formation of brand commitment, bonus programs have their drawbacks.

The main one is that in some cases they are able to form customer loyalty not to the company itself and its brands, but to a specific loyalty program. As a result, the consumer loyal to the program, and not to a specific brand, is able to easily change it to a more profitable on this moment, that is, go to the competitor's brand.

Independent programs.

Insuitable loyalty programs are the most promising type of brand loyalty promotion programs. If the price programs of loyalty seek to change the behavioral loyalty of consumers, then non-charges are aimed at forming a strong affectable brand loyalty, as they appeal to the feelings and emotions of buyers. When consumers are experiencing emotional attachment to the company, they will not consider proposals from other companies (maybe more profitable for the price) and switch to competing trademarks.

Such consumers for a long time will be faithful to the company, providing her long-term profit. There is a sufficiently large number of non-counseling customer retention methods. But among the whole variety, it is necessary to highlight consumer stimulation in active form ( competitive programs loyalty) and creating clubs of permanent consumers. Consumer stimulating measures in active form (loyalty competitive programs).

Consumer stimulation in active form combines all types of stimulation that require the active selective participation of the consumer. The gaming nature of the event is a powerful tool for influencing each individual, and the possibility of obtaining a free prize is a powerful incentive participation.

Producers of goods and trading networks are pursued by the main goal: to create an emotional predisposition of the consumer to a trademark to increase sales.

Clubs of regular consumers. One of the most promising non-price programs is a constant consumer club. D. Aacker in his book "Creating strong brands" allocates this type of loyalty programs, as which is able to bring loyalty to the brand on the "potentially higher level".

According to one of the leading foreign experts, in the field of development of the loyalty programs of the Butcher, the club of permanent consumers is - "Founded on the communication of the association of people or organizations, created and managed by the company in order to regularly contact the participants and offer a valuable privilege package for them The purpose of increasing their activity and loyalty to the company based on emotional relationships. "

Constant contact of the company with consumers within the club makes it possible to more consumer satisfaction, contributes to strengthening customer loyalty.

The concept of the club provides for the provision of exclusive privilege members (establishing preferential prices for goods, providing special services). But the main advantage is that club members get access to closer communication and even cooperation with the company and other members of the club.

The need to create regular consumer clubs arises in the markets where strong competition and many of the same type products. Currently in Russia, this situation is observed in the market retail sale fuel in the sector mobile phones, in publishing business.

The creation of loyalty programs in these areas of business is one of the key factors of the brand differentiation and the formation of a sustainable favorable attitude towards it.

Complex loyalty programs are based on the club of permanent consumers with periodic reinforcement of both price and non-price factors. That is, discount, bonus and competitive programs apply to clients only within the Club.

For more detailed consideration of the types of loyalty programs, we use a consolidated table, where comparative characteristic is given, taking into account their advantages and disadvantages.

Table 1.2.

Comparative characteristics of loyalty programs

Type of loyalty program	Dignity	disadvantages
Price: discount-accumulative, bonus	- Easy Rules Discount Accrues; - does not require large temporary and administrative expenses; - a certificate discount with high probability will make the customer return to the company; - It is much easier to manage and evaluate the results than the loyalty program based on points (bonuses) - allows you to create various suggestions for various customer groups	- Do not provide instant customer remuneration; - awarded, both profitable and not profitable customers; - This loyalty program can be quite expensive, depending on the threshold and discount size; -Can you delete non-permanent customers; - Easily copied with competitors
Price: Discount with instant discount	- simplicity for the client; - instant reward; - a flexible system of discounts (you can convince more product (services) on the proposed discount on site - This program is easy to manage and implement.	- The discount assumes that the usual price is too high, - It is difficult to complete the existence of such a program, - can remove non-permanent customers, - discounts significantly affect the profitability of one trading point
Inssentual loyalty programs: competitive, clubs of regular customers	- the basic principles of the program are quite simple for understanding consumers; - this program is quite difficult to copy, since the number of accumulated points and remuneration for them can be quickly changed, which allows you to provide a more competitive offer; - great opportunities for making each group of targeted clients of the relevant proposal; - charge additional points for the purchase by participants of the necessary names of goods;	- Enlarging the number of program conditions, as well as retail points in which it is applied - confuses buyers; - loyalty programs in which the accumulation of about 1000 points is necessary to obtain remuneration; all the advantages of the storage system of points are reduced; - depending on the target audience, interest in this loyalty program can relax;
- avoids discounts on products; - You can use a storage system for brands for which the discount is invalid; - This program can also be used to encourage employees; - This type of currency can be used and suppliers in order to support the loyalty program; - the ability to accumulate information about consumers, in order to carry out targeted product promotion; - The ability to benefit from the difference between the number of accumulated points and the number of points that can be exchanged.	-For about mining points (bonuses) requires considerable costs - very difficult to maintain the relationship between attractive consumer suggestions and management requirements for the establishment of the exchange rate; - an article is necessary for unforeseen expenses that may occur with excessive accumulation of points; - Most often costs exceed income.

Depending on the presence / absence of entrance barriers or conditions for the participants of the loyalty program, they are divided into: open or closed.

Fig. 1.3.

The loyalty program and the discount program in most cases are open type, and regular customer clubs - closed. In an open program, almost everyone can participate. Participation in the open program does not require any conditions. Using such a loyalty program, you can create a very large database. Not everyone can participate in the closed program. In order to become its member, it is necessary to go through a certain procedure, such as payment of an entrance fee or annual making of membership fees, filling out a special questionnaire, etc. Sometimes companies offer customers to fulfill certain conditions.

For example, make purchases for a certain amount, make a certain amount of purchases for a limited period. Such restrictions allow you to attract only the most important target audience to participate in the program. And open and closed customer promotion programs have their advantages and disadvantages.

Table 1.2. The advantages of open and closed programs that formulated S. Butcher are described.

Table 1.3.

Characteristics of loyalty programs depending on the input barriers for participants

Closed loyalty programs	Open loyalty programs
Membership contributions help cover the costs of the program.	The number of participants can be quite large.
Conditions required to participate in the program help to form a group of participants and focus on the target group.	A broader and complete database.
Limited access does participation in the program more attractive to consumers.	Potential customers and consumers of competitors can easily join the program.
The structure of the program participants is clearly defined, makes the company's further communication with consumers more efficient.	The full customer database after a certain analysis helps to segment all consumers of the company, which allows you to develop special ways of communication for each group.
	A large number of participants helps to achieve such a quantity, in which the costs of the program will become effective faster.
The necessary conditions for joining the program support at a constant level the number of participants helps reduce costs.
The program database includes only those customers whose interest in the company-organizer goods is very high.
Payment of membership fees increases customer expectations from the program and thus makes the organizers of the program to constantly improve the values \u200b\u200boffered to consumers.

Depending on the object, all loyalty programs in the B2C market are divided into: segmented and non-segmented.

Segmented loyalty program - loyalty programs aimed at a clear range of clients (for example, women, children, selected age categories).

Unregulated loyalty programs, on the contrary, do not have special allocation activities and therefore they are intended for all customers without exception.

Depending on the time and objectives of the loyalty program can be divided into:

• 1. Operational;
• 2. Strategic (long-term).

Operating PL - a special kind of loyalty programs, first of all pursue the short-term goals of the company, such as:

• - withdrawal of the new product to the market;
• - receiving profit in a short time;
• - short-term increase in the frequency of visits to retail points;
• - Improving equity, etc.

Such programs are often motivated to make purchases or use the service.

Unlike operating pl, strategic programs are introduced for long-term contact with the client. The objectives of such programs are:

• - brand promotion;
• - raising the level of image of the brand and the company as a whole - the solution of the problems of the company;
• - maintaining public relations;
• - Building a "dialogue" with the client through the accumulation system of privileges and various newsletters, both by telephone and by electronic network.
• - maintenance of the client base, etc.

Depending on the method of providing a loyalty program service: individual and coalition.

Fig. 1.4.

Individual programs are created by the company in themselves and only for their customers. The consumer makes purchases in the store or network of stores of the company and gets in the form of remuneration products of the same company.

The program itself consists of several parts, including the reception of new members, the client's shopping tracking system, constant communication with it and remuneration for participants. But the introduction of such a program requires large financial investments: equipment, personnel and other expenses.

Coalition loyalty programs are the most promising type of accounting and bonus systems. In them, discounts and bonuses can be obtained in various participants in such a system. In this case, together with participating companies and clients, the third party appears in the system - the organizer of the coalition program of loyalty, which can be one of the participants in the coalition program of loyalty or to be an independent organization.

The first type of operators first creates its own promotion program in order to keep the customers already available, and then other companies are joined to them. The independent operator of the coalition program of loyalty creates a program for encouraging customers, and, without tie it to a specific business and a specific customer base.

When implementing your own CRM (Customer Relationship Management) - enterprise systems can only work with its customers. The coalition program of stimulating consumer activity, among other things, makes it possible to take into account consumer preferences in different aspects of consumption, establishing feedback with the client and tracking its purchases.

Additional effect is to attract new customers, the exchange of a client base with other partner enterprises is achieved through the coalition nature of the program. This approach creates unprecedented opportunities to customers to implement their bonuses, choosing from a catalog of various prizes, depending on their interests, and the participants of the program significantly expand the number of loyal clients create information bases His customers get the opportunity to work with them. The organizers receive profits due to operating activities. Thus, this approach is objectively beneficial to all its participants.

The scheme of interaction of the participants of the program, where one of the coalition partners is as follows: Usually, loyalty programs are developing for a particular trading company that perform the functions of the anchor and groups around themselves boutiques, restaurants, car services and other trade and service enterprises.

Experience shows that the client cannot be loyal to an anchor coalition program, to one bank or one insurance company, one restaurant or one boutique. Its needs can satisfy only the pool of companies corresponding to its expectations and his style of life. The only question is to correctly form this pool and offer the consumer the privilege package.

The scheme of interaction between the participants of the program, where one of the partners of the coalition is operator, it looks like this:

Fig. 1.5.

Co-branding program of loyalty is a program that allows not competing companies interacting mutually beneficial, releasing joint multiface groups (gift and (or) loyalty cards), which are required to receive in all points of sales of companies - project participants. A significant difference in co-branding from other types of loyalty programs is that this technology is based on the interaction of two or more brands.

IMPORTANT, for the development of such loyalty programs, has a compliance of a branding card with consumer requirements. If the map allows you to satisfy all customer requests to maximize, it will be used more often.

Successful joint programs of banks and retail chains are able to give a tangible financial result.

Trading networks also record a significant increase in the average amount of one-time purchase when paying for a branding card. Despite the existing risks and difficulties, the direction of such programs is strategic in bank marketing.

Depending on the type of customer identification, the loyalty program is divided into:

Fig. 1.6.

The main difference of such programs is to use special electronic cards, thanks to which you can identify the client, its actions, change in behavior. If loyalty programs that are not included in their card tools, but can provide "communication communication" with the client, then personalized programs provide such an opportunity that allows you to make advertising messages, follow changes in the client base and are important for the company conclusions regarding Further marketing actions.

In conclusion, we give a comprehensive, generalized classification scheme different species Loyalty programs:

Fig. 1.7.

Thus, buying loyalty can be defined as a positive attitude of the buyer to a particular product, brand, shop, service, etc., which, although a consequence of significant factors for the buyer, lies more in emotional sphere. The problem of creating a loyal customer today is in the center of attention of marketers. In order to stimulate customers and be in accordance with their requirements, as well as to minimize losses, namely, losses in the number of clients, and increase the amount of sales, it is necessary to develop a loyalty program, the main content of which and the mechanism of its implementation will be considered Further.

Everyone regard marketing as attracting customers. Something like advertising. Marketing \u003d advertising. They attracted customers, they bought.

All satisfied: the company's head, customers themselves. Only the fact is that it has long been proven, sale permanent customer 5 times cheaper than new. And this is the problem of most managers.

They do not think how to keep the client, although for this there are simple and unobtrusive marketing tools. For example, a loyalty program for customers.

Marketing and discounts

Although no, I'm wrong. Managers and marketers think like. But usually, the maximum of what they think are discounts.

The very tribal discounts and, moreover, the more discount, in their opinion, the higher the likelihood of holding the client.

Definitely there is truth. Just now they forget that they mean discounts in business and how much it hits their markup. And all this as a result is very far from the working system of customer retention.

And how to keep ...

Let me introduce the classical situation in any business as an example when the client asks you to give a discount and at the same time it hints thinly that if you do not give, then the consequences may be irreversible.

Bad option:

- And give discount?
- We have no discounts.
- Then I will go buy away from competitors!
- Well, I will make you your personal discount of 5%, but only anyone about it.

A good option :

- And give discount?
- Yes, when buying in the amount of 10,000 rubles, you get a 5% discount.
- Well, then I buy.

The best way :

- And give discount?
- Sure. Moreover, the more you buy us, the more you have a discount. When buying for 10 000 rubles, you will receive a 5% discount, and when you buy 20,000 rubles you get a discount of 10%.

"Nuuuuu, good, then then this is a coat for 22,000, then it will turn out to be to cost 19800.
- Yes that's right.

I think you have now learned the model of the loyalty program for customers, which employs more than half of small businesses in Russia. And now the time to change your business and stop being similar to 99% of competitors.

If you do not have a loyalty program for customers, it's time to break the system and start it immediately after reading the article, especially since you will learn chips and lifehaki that work in modern realities in Russia.

And even more so if you exactly as I described in the examples, urgently correct it!

And if you are a lucky one, and you don't have it, I congratulate you, but still strongly recommend reading the article to understand what add / improve your loyalty system.

Three tasks - one road

So. What is the customer loyalty program? Briefly is a way to motivate your customers with three main tasks, which forget most of the managers when developing it:

1. To keep customers (you will go to the organization b, if in the organization and you have a maximum discount?!);
2. To increase sales (you buy another 2 000 rubles to get a discount of 8%?);
3. To (remember before everyone went to Latula or Ile de Bote with other people's cards to buy with a maximum discount?).

And on the fact, all customer loyalty programs are spinning around two simple actions (I would even say, arithmetic actions) - write off or charge, that is, plus or minus, that is, a discount or accumulative program.

It is them that now we will look at and get to the thought "What is better - discount or bonuses?". If you do not want to read the article Next, check the video:

https://youtu.be/3jp6wqqqbz08.

In general, loyalty programs are more than 4, but today we will study only these 4. And still prepare that during reading the article you will have thoughts to change well / poorly working old on the new one that you will learn literally for 3 minutes.

Discount program loyalty

As I already wrote earlier, it is the most common of loyalty programs, and not only in Russia, but also in the world in principle.

It is expressed either in uniform, or in a cumulative discount. As a rule, this is a discount card that gives a certain discount in percent when purchasing a certain discount. Why defined?

Because discount cards are either fixed or with a storage discount.

The accumulative discount is due to the following function - when buying on certain price thresholds, the client has an increase in percent as a reward for loyalty to the company.

Some are sophisticated and invent the conditions that if the client does not appear with them, for example, once a month, it drops to the step below and this happens next while it does not come to come and never comes again.

Pros :

• Customers love discounts. In Russia especially. In conditions of this time, very particularly.
• Such a program is simple and understandable, so it is easy to organize and control.

Minuses :

• Now any person usually has at least 2-3 discount cards Companies of one sphere.

  And usually the amount of discounts everywhere is the same. Therefore, in competitive areas, you can say "loyalty" rather as a word than a really working tool;

• As soon as the client ceases to grow in the process of conquesting the maximum discount, his interest is to progress in purchases also begins to fade;
• The most important minus of discounts - they are given from net profit (example below).

Let's give an example about the loss of money from net profit due to discounts. Suppose you sell some product for 9,000 rubles. Your markup is 30% discount - 5% or 450 rubles. It seems to be a little, but!

You have the cost of goods / service that you will not go anywhere, and accordingly you give a discount with your net profit.

Thus, 450 rubles you actually lose not with turnover, but with your net profit, which, for example, is 2,700. It turns out, at the output, taking into account the discounts you earn 2250.

Total discount size (if you recalculate on net money) It turns out at all 5%, but as many as 17.5%. And this is already, agree, essentially. Of course, this will not be so noticeable if your markup will be 100-200 percent, but what if the discount is more?

Bonus program loyalty

In this program, the client no longer receives discounts. They magically turn into bonuses. But the principle is the same.

Making a purchase for a certain amount, you get to your account / card a certain percentage of bonuses from the transaction amount, which you can take the next purchase (even exchange for free goods).

Bonuses themselves can be in any form: scores, stickers, rubles. Yes, even though the fictional currency of the store (not the worst option, by the way).

Pros :

• If you are meant by repeated purchases, the system can work for quite a long time and successfully without unnecessary problems;
• To accumulate a decent number of bonuses, the buyer must buy constantly or for large amounts that the business owner is extremely beneficial;
• Bonuses may have a burning property, which means it will be an additional stimulus to come to you and spend them;
• Not all customers come to spend the bonuses, so you can say, you leave this money in my company and in the end sell at all without a discount.

Minuses :

• If the purchase is a single or very expensive / rare, then such a loyalty program is not suitable. The client simply has no interest in it to participate, as it will not come to you anymore;
• If you make cunning / complex rules of the loyalty program, buyers may get confused or at all understand it, which will completely destroy all the idea of \u200b\u200bits creation;
• It is more difficult to control than discounts, so it may even be necessary for special software.

What a second one fast way increase profits in any company? Thought over the first? Do not think - this is raising prices. The second is to go from discounts on bonuses.

Remember our example about goods in 9000 rubles and a 5% discount? Let's apply it to bonuses. All the same.

You have accrued the client 5% on his bonus card at the first purchase, to use which he will be able to purchase. We believe.

1st Purchase - 9 000 rubles
2nd Purchase (also) - 9 000 rubles
Bonus from the first purchase (lies on his map) - 5% or 450 rubles.

Thus, 2700 (first purchase) + 2700 (second purchase) - 450 (written off bonuses from the first purchase) \u003d 4 950 (your net profit is minus a bonus discount). Total discount from your profits was 8.5% against 17.5% in the first case.

Particularly attentive should have noticed that from the second purchase of guests would still receive another 450 rubles at the expense and it turns out, as a result we will issue the same 17.5 percent. And they will be right.

Only if you return to the advantages of this system, we must remember that half people will not come, half of the bonuses will burn and these bonuses stretch the client to come again.

And also responding to your question immediately: "And what will happen if we cancel the discounts and introduce bonuses, this is all customers run away?". There will be nothing! Yes, some part will go, but its departure is compensated by an increase in your profits.

Oh, calm, only calm

In general, it is not dangerous. We checked repeatedly. And by the way, the part that will leave are the most unreliable and small clients who are ready to go to the other end of the city, if they find goods / service for 10 rubles cheaper. No need to focus on such.

Although, of course, to then not be guilty that your company stopped making a profit, I still make a correction.

And I have a request for you. No need to ask customers: "What would you choose: discounts or bonuses?". The client will always answer discount.

So our psychology is arranged - "Good now, badly later." Therefore, take yourself for ... will be the will of the will, cancel the discounts (if any) and enter bonuses.

Lifehak. If you want to get a ready-made loyalty program, I advise you. " Very cool functionality and flexible settings. And in promotion "Inscale" - 10% discount.

Multi-tiered loyalty programs

This is quite simple and at the same time a complex system. The larger the person spends money in your company, at the more the more interesting group of customers he falls and the more interesting bonuses he gets.

For example, it can be some additional free services (free shipping, an enlarged guarantee and other).

That is, spending more moneyThe client enhances itself in status. Often such loyalty programs are used in banking, insurance or airlines.

Pros :

• Such a program is built on pride, as the more people will spend, at the more interesting group it will fall, which has a positive effect on the desire of the client to spend more;
• Ideal for the segment of the VIP and Double-VIP people (double-WIP).

Minuses :

• He is also minus, and plus. This system is ideal only for expensive goods and services;
• We need very strong bonuses when achieving a plank;
• It is quite difficult to implement and track. Again, special software needs.

Paid loyalty program

Or getting some bonuses / privileges / buns for subscription. That is, the client pays money (as a rule, a fixed subscription fee) and resulting in privileges.

It can be an increased service, additional services, Access to some closed resources and the like.

Pros :

• Very easy to organize;
• Ideal for goods that buy often;
• The client buy access to such a loyalty program, but often do not use it (that is, "free money");
• You can work out the cost of bonuses so that they are most beneficial for you from the point of view of money.

Minuses :

• If the value (perception) of the paid subscription will be lower than the price, then the entire program may fail.

Let's just say this is the coolest and strong loyalty program. The one for which money pay you, but let's be realistic.

So that this happens, you need to be a very popular company on our sales area.

How to choose a loyalty program for customers?

This is very important moment. Since the manager or marketer always perceive its own business, so let's say, "in pink glasses" (this is a fact that is also relevant about us), then it is very difficult for them to understand what his client wants.

Yes to implement everything as in folk Songs - "Eat the fish, and the frying pan does not wash." Duck what to do?

1. Bentally, but you will have to put yourself in the place of the buyer. Let's imagine that you have a wholesale organization.

   What do you think want your favorite (for you) client? Accumulate bonuses to exchange them for something free? Or does he want (and got used) to receive discounts here and now?

   Therefore, stand on the side of customers, analyze your range of goods / services and find the answer to these questions.

2. Ask buyers who already buy something from you what they want (but remember the stop question: discounts or bonuses?). You can place a survey on the site, in social, networks or in your office.

   As a rule, the answers will be from the "Prices below, more discounts". But sometimes there will be adequate people who can suggest interesting ideas, This lies the essence of this action.

3. Make a competitor analysis and define one of two strategies:

   3.1 Go to the other side. If the client gives a progressive discount, up to the most maximum, then it may be better to abandon discounts at all and go to the bonus program, simply with very interesting prizes.

   3.2 Simulate it and improve it. Just remember that everything can be ambiguous.

   After all, it may be calculated by the competitor, introduced the discount program of loyalty, now it does not earn anything at all and flaruses from it at night, and you did not analyze this and decided to copy it.

4. And the last step, when you thought about everything other than ourselves, ask the same question as in the first point, only already myself: "What do I want?" Or "what is beneficial to me?".

   Sometimes it is better to make a system with discounts, and sometimes with bonuses. As already wrote above, there is always a factor in the market that can change everything.

   Therefore, consider with what scheme your company will grow in profits (or in your case may make sense to grow in circulation to capture the market share now).

Well, finally, several Lifehakov, which will make your loyalty program for customers even more interesting:

1. If you decide to go to a discount loyalty program, then make it progressive.

   Having bought for 10,000 rubles - a discount of 5%, 20,000 rubles - a discount of 7%, 50,000 rubles - 10% discount).

   The more the client buys, the bigger discount he gets. The only, discounts should not be simply crazy on a permanent basis (from 20%), it can play a cruel joke and scare away buyers.

2. If you can't shop or store, and you consider the bonuses manually, then rather go to ready-made solutions that do not cost huge money.

   For example, on such as Plazius (for catering) or bazaaronline (for retail stores). They already have everything you need. You only need to connect them, calculate the amount of bonuses, based on their marginality, and run into the case.

Briefly about the main thing

The video is finally, how stupid can look like a picture as a whole, when you complicate too complicate and feel it myself :)

https://youtu.be/yiio7gxoaiy.

And a small result of the article: If you just want to start the customer loyalty program because you need to increase fast profits, then ... no, she will not help you and you do not need it.

The loyalty program for customers is just one of the marketing tools that can make your buyer buy (sorry for tautology) more often and more, but in the long run.

And one more farewell - do not complicate. I remember from one client in the catering, we decided to introduce a bonus loyalty program.

We counted it probably from a month. Well, just very long. He constantly called me and offered a new mechanics. Confusing me, and myself, and still the future guests of your institution.

As a result, I spat and introduced the following conditions: 20 percent from each check was accumulated on the next visit. As soon as the guests are accustomed to the new system, we started to complicate it gradually.

Modern economic theory has developed several approaches to understanding how to develop a program with which it would be possible to keep consumers and increase their loyalty.

On another classification, all programs are divided into price and independent. A number of authors under pricing understand the programs based on the impact of PA rational behavior. Independent programs are programs that affect primarily emotions. In particular, R. Plis to the price programs belongs to discounts, bonus programs, and in non-regional-clubs of loyal clients, which are based on the provision of its members of some benefits and benefits, inaccessible to the majority of customers, including providing certain price benefits.

The most common classification of loyalty programs is based on the form of remuneration, and according to this criterion, all programs are divided into material and psychological. Materials are based on price instruments (discounts, gifts, coupons), and intangible combination and emotional, and material benefits.

In the analytical review, "the current state and prospects for the development of loyalty programs in Russia" of RosBusinessConsulting company is given the following classification (Fig. 7.3).

Analysis of existing loyalty programs allows you to highlight certain criteria For which they can be classified.

1. Programs that differ in the number of partners. Loyalty programs can be coalition, specialized (monobranding) and co-branding. Coalition programs are divided into coalitions with an independent operator - programs implemented on the basis of the "prize model" in order to maximize the profit of the program operator, and programs with an anchor partner, which is the program operator. Specialized programs are created exclusively for their own use. Co-branded programs are carried out on the basis of the international payment system; It includes two participants: a company with a well-known trademark and financial organization (bank). These programs can use two encouragement schemes: in the first bank acts as a plastic card issuer and often as an operator, in the second - offers its own loyalty scheme. In the first

Fig. 7.3. Classification of loyalty programs according to RosbusinessConsulting

cases of banks or payment systems allow you to accumulate points or receive discounts when using the card when paying for goods and services. When starting a co-branding program, banks often use a different scheme, the so-called cash-Back: Thanks to this scheme, the client returns a certain percentage of the bank to the bank from the purchase. For example, paying in the store with credit card And spending $ 100, you can get 1 cent. Such programs in the West are common in larger quantitiesWhat we have in the country. It is easy to explain and lacking obstacles to the use of a card in everyday life, and the widespread prevalence of enterprises supporting settlements in leading payment systems.

Savings program loyalty Keep. The Change Bank Bank. Of America allows card holders to preserve the cash difference between the number of funds spent on the debit card and the nearest whole number of dollars. These funds are listed on a special customer deposit account. The program has tremendous popularity, and has already attracted new customers to the bank. Now about 30% of all program participants are new bank customers.

One way or another, the loyalty cards created by the Bank or with the participation of the Bank are closely related to payment systems, which emits the bank. The loyalty program on the basis of the payment system may be autonomous, and may on the contrary, implying to acquire encouragement by the client subject to the use of a specific bank card, a specific payment system within a certain loyalty program. It is worth noting that the bank is ideal for entry into the coalition program of loyalty. Since, in contrast to other areas of business, where the implementation of the loyalty program would require the creation of special clubs, emissions of cards, technical re-equipment and other difficulties, the bank should only turn to the use of the usual financial instrument - a bank plastic card.

2. Programs that differ in the conditions of entry. Under this criterion, all loyalty programs can be divided into two types - closed and open. The preference for one or another type depends on the tasks of the program, the selected target audience and private features. The organizers of the closed loyalty programs require the clients of making membership fees and filling the introductory questionnaires, thereby seeking to highlight customers into certain target groups. Often, the client must meet the right to participate in the loyalty program, the client must meet certain criteria. This allows you to thoroughly focus on the main target group and avoid engaging in the program of lovers to get started at someone else's account.

Open loyalty programs do not require satisfaction with any conditions, but as a result, many customers who do not bring profits are often involved in them. The creation of such programs is ideal if the estimated defined target groups are too large or potential customers and clients of competitors are also included in the main target groups. At the same time, the absence of any conditions for participation in the program makes it more attractive and convenient for many customers.

• 3. Programs that differ in the objectives of exposure. It is worth highlighting three types of programs: programs of attraction, retention programs, customer behavior changes. This typology can be considered sufficiently conditional, since the program of loyalty from the point of view of the impact on the company's audience always pursues several purposes, since the loyalty marketing itself is awarded to a greater degree of consumers.
• 4. Programs oriented to a specific audience. Depending on the nature of the target groups and the focus, programs calculated on end consumers (programs B2S.), entrepreneurs (programs B2B) I. distributors (programs B2D.).

Considering the loyalty programs from the point of view of the specifics of the audience, three conditional groups of programs can be distinguished: programs in the suite segment ( luxury. PROGRAMMES), programs for the middle class and calculated on consumers who prefer discounts and chain stimulation, discount programs.

• 5. Programs that differ in geography of action. Any loyalty systems are divided into international, National, Regional and local. Signs of classification to the appropriate category are obvious and aroused out of the name. The international loyalty program is valid on the territory of several countries, the national system - on the territory of one country in two or more regions, regional - in the territory of only one region, local - in one area, city or more small territorial education.
• 6. Programs using and without the use of identifier / differing in the type of technology platform. According to this criterion, all programs can be divided into the following: without Id (identifying) elements; Visual Id elements; Embossed information; record on the magnetic strip; barcode; Smart Technology, Visual Cards, RFID and NFC technologies and, biometric technologies.
• 7. Programs that differ in the type of reward / the mechanism of encouragement. There is no other opinion about how loyalty programs in the type of rewards are divided. Fundamental principle Any program is the mechanism of its implementation, which is based on the scheme of identifying the intensity of participation in the program and the corresponding encouragement, which may consist of several types or combinations of loyalty rewards. In addition, elements of loyalty programs may include various promotions and promotional campaigns.

Thus, loyalty programs can be classified, on the one hand, according to a standard for most marketing funds, the criteria, on the other, the features of the creation and implementation of programs add a number of specific features in their distribution.