Study: Loyalty Programs Boost Customer Interaction, Sales

Posted on February 22, 2011 in Print Marketing, Printing Industry News

Study: Loyalty Programs Boost Customer Interaction, Sales

Business marketing – be it for a small startup or a massive conglomerate – essentially boils down to two basic strategies: customer acquisition and customer retention, each with their own styles and methods of contact.

However, many small businesses often overlook the value of retaining customers through direct mail, email or other public relations measures. A new survey by Experian Marketing Services has found that members of customer loyalty programs are much more likely to open, read and even purchase items through marketing or promotional emails than non-members.

That being said, other marketing materials such as direct mail postcards, flyers and brochures will also likely increase retention rates and customer interest. The challenge is in convincing customers to join a loyalty or membership program.

"Knowing which customers have a propensity to be loyal brand advocates is critical to every business today," said Rachel Bergman, senior vice president and manager of Experian CheetahMail, a segment of Experian Marketing Services. "Given the highly competitive nature of the industry, marketers that engage customers with programs that motivate and reward loyalty will yield significant returns."

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