Automotive loyalty programs deepen customer relationships - AutoAwards
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Automotive loyalty programs deepen customer relationships

Value of Automotive Loyalty Programs: Looking at Research

Independent research has repeatedly shown the value of loyalty programs – and, for a quick visual, take a look at’s infographic. Highlights include:

  • 75 percent of companies in the United States with a loyalty program generate a positive ROI
  • 83 percent of customers agree that loyalty programs cause them to continue a relationship with companies
  • 67 percent of returning customers spend more money than brand new customers

Meanwhile, another article in shares eight reasons that your company should start a loyalty program. Reasons include that a quality loyalty program is not as expensive as you might estimate. Plus, since studies have shown that retaining an existing customer is much less expensive that obtaining a new one (many say it’s seven times less expensive!), “even the resources you utilize in a loyalty program will most likely pale in comparison to the expense of finding new buyers.”

Loyalty programs also help your customers to feel valued by your company – and, when people feel valued, it’s only natural for them to share that experience with friends and family. So, these programs can kick-start the process of free (and very effective!) word-of-mouth marketing. These customers can in fact be transformed into brand evangelists.

Here’s another reason to start this type of program: it serves as a market research tool. Once you understand why a particular demographic buys in the way that it does, you can create a strategic marketing plan to entice more of that demographic to choose your company.

Plus, this article points out, once you start a program, it becomes self-sustaining because “the more a client purchases, the more rewards he or she receives, thus inspiring him or her to continue purchasing. Continuously updating the rewards will keep your customers engaged, but the work it takes to perform this will be overshadowed by the growth your company experiences.”

If you’re interested in even more reasons why loyalty programs make good sense for businesses, we encourage you to read the entire article.

Important Step: Choosing the RIGHT Automotive Loyalty Program

AutoAwards by Nucar Consulting was founded in 1991. So, for the past 25+ years, we’ve been helping dealerships to grow as their customers earn exclusive rebate points and rewards based on customized program parameters. Unlike nationally sponsored credit card programs, this custom incentives program is designed to continually invite and consistently reward your best customers for remaining loyal to your business, not the competition and not the factory.

Discover more about our automotive loyalty program:

Ready to get started? Contact us online to discuss your own automotive customer loyalty program or call 302-696-6000 now!

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AutoAwards Team

Since our founding in 1991, AutoAwards has been widely recognized as the industry-leader in automotive and marine loyalty marketing, earning longstanding relationships with many of the industry’s most successful dealer groups and OEMs. AutoAwards understands the #1 predictive factor for dealer growth and profitability. Customer loyalty is the most successful way to build revenue. AutoAwards has always recognized the need for top notch, highly creative, effective loyalty strategies in large and small businesses alike. Contact us online to talk about dealer loyalty or call (800) 405-4227.

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