Loyalty programs have multiple benefits for your dealership
Overall Benefits of Loyalty Programs
Loyalty programs are great incentives to entice consumers to try new products as well as build repeat business. To make a loyalty program successful, there are two key items that have to be addressed:
- Ease of use
- Useful incentives
A simple points system (or a similar system) is often helpful, because consumers are turned off by complicated ones. Your customers don’t want to have to complete an algebraic equation to determine how close they are to a reward!
If done correctly, consumers are likely to continue to use the service and, in turn, continue their patronage. You can offer the consumer an incentive based on the amount of dollars spent (i.e., points based on dollars spent) or on repeat purchases (i.e., a percentage off of future purchases). Either of these systems will bring in business and increase your bottom line.
According to the Nielson Global Survey of Loyalty, 75% of respondents worldwide stated that getting reduced prices (or products for free) made the greatest impact on loyalty program enrollments. The cost of the program plays into the enrollment, as well. Nearly half of the consumers said that if the program was too expensive, they had no interest in participating. However, if the program is priced right and the consumers receive a true benefit, the customers feel appreciated, and the old adage “a happy customer tells a friend” will certainly help to grow your business. This creates word of mouth advertising that is a valuable tool in your marketing strategy.
Here’s the bottom line. Loyalty programs that meet these requirements prove to the consumer that they are valued by a company and help to bring in new consumers.
Benefits of Dealer Loyalty Programs for Your Business
Loyalty programs also provide companies, like your dealership, with valuable data and analytics. When consumers sign up for a loyalty program, their purchases can be tracked. This helps companies anticipate market trends and target their consumers more specifically.
In fact, a loyalty program is one of the best tools available to dealerships today. Implementing this type of program into your marketing strategy can increase sales, dealership growth and your bottom line. By not having a loyalty program in place, you are missing out on potential data (and revenue!) that your competitor may be taking advantage of.
AutoAwards Dealer Loyalty Program
The potential for an increase in your bottom line driven by customer loyalty is unmatched by other tools in your marketing strategy. Our automotive loyalty program allows your consumers incentive-based programs based on parameters that are set to meet your needs. Customers will have your brand on the top of their minds with continued invitations to receive rewards for making purchases through your dealership.
Customer interaction rewards can include dinner gift certificates, reservations to exclusive events or certificates for discounts for future purchases at your dealership. Contact us online to discuss your automotive loyalty program or call 302-696-6000 today.
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 302-696-6000.