Choosing the Right Loyalty Program – Customer Engagement for Fashion Retailers Part 3/3

November 20, 2014 1:07 pm Published by Loyalty Program

In Part 1 and 2 of Customer Engagement for Fashion Retailers, it was discussed how a strong social media presence and an engaging fashion blog can do wonders for building brand loyalty.

There’s no question that a good online presence can be engaging, personable and effective in expanding your consumer market, but if the majority of focus is going on your virtual business, you need to ensure your offline presence isn’t suffering as a consequence.

Loyalty ProgramIt’s easy to forget that although we live in a technology-fixated society, not everyone sits with their head buried in a laptop scrolling down social media newsfeeds or browsing online shopping websites. Many of your valued regular customers may not have access to wifi, a laptop or even a smartphone *gasp!*.

It’s essential that customer engagement exists both on an online and offline basis, so implementing an offline loyalty program is vital if you want to keep all your customers coming back.

65% of all businesses have some type of loyalty system in place, so if you’re part of the minority that doesn’t you need to get one, fast! Take heed of some of the most popular loyalty systems used by fashion retailers…

Loyalty Cards

Loyalty Program

Retailers find great success with loyalty cards. Who doesn’t love getting rewarded for spending money in their favourite clothes shop? The prospect of clocking up bonus points for freebies, discounts or gifts we could give to others can often justify the familiar pang of guilt we feel after an impulsive shopping splurge.

Loyalty cards are practical, easy to use and perfect for the minority of customers oblivious to online technology.

The obvious idea behind the rewards cards is that customers rack up points each time they spend in store, and in reaching a certain number of points – translates to a reward.

Rewards depend entirely on how far you’re willing to go for your customers. If you’re stuck for ideas, why not spy on some of your competitors’ rewards schemes and see if you can do one better!

Some popular points schemes are:

  1. Freebies: setting point targets and assigning freebies accordingly. For fashion retailers, accessories and jewellery can work quite well as free gifts as they’re generic, therefore appeal to the majority of customers.
  2. A grand prize – perhaps a store voucher, generous discount or exclusive offer when a high point target is reached.
  3. Monetary value – Example: For every €1 a customer spends they earn 1 point on their rewards card. 100 points could be the equivalent of €1 to spend against anything they wish in store – win, win!

Loyalty ProgramStamp/Punch Cards

If you’re a modest business, and rewards cards, point schemes and till integration sound like too much noise, it doesn’t necessarily mean you should rule out loyalty cards completely.

You can always keep it old-school and use a simple card and stamp based loyalty system. Receiving a loyalty discount after a certain number of purchases is certainly enough to keep customers coming back!




Loyalty clubs

Loyalty clubs are the most effective way of engaging with customers. Unlike loyalty cards, a loyalty club allows you to communicate messages directly with the customer, via text, post, email, app or whichever other medium Apple or Microsoft decide to invent before Christmas.

Regardless of how you do it, loyalty clubs allow you to inform customers of special offers, upcoming events, new season stock, promotions, sales, loyalty discounts, birthday discounts, “show this text” discounts… I’m sure you can think of a few more things you’d like to get out there over the holidays…

The beauty of loyalty clubs is that customers don’t have to be shopping in store for you to engage with them. Lapsing customers often need a little incentive to get them back in the door, so reminding them of your great offers, offering special discounts and keeping them up to date on new products couldn’t be more effective in regaining customers and driving footfall.loyalty Program

Customer Text Club

When it boils down to offline loyalty clubs, unfortunately choices are limited. Communication by direct mail is costly, time-consuming, and let’s face it, a Stone Age marketing method.

Why create a Customer Text Club?

  • Offers and rewards are sent directly to the customer’s personal phone.
  • SMS messages have a 98% open rate – effective targeting.
  • Bulk SMS platforms mean fast, convenient, inexpensive marketing.
  • Element of exclusivity – mobile coupons, “show this text” discounts increase urgency to purchase.
  • Measurable – ability to monitor conversion rates, opt-out rates.
  • Controlled – ability to send messages to a database of 100-100,000 at the click of a button.


Summing up Customer Engagement…

Loyalty Program



The fashion industry is a rapidly growing and competitive industry, so engaging with customers by establishing a strong online and offline presence is vital in setting yourself apart from the abundance of emerging competitors.

Maximum customer engagement for fashion retailers can be achieved through a valued loyalty program, the influence and personalization of a fashion blogger as well a strong and diverse social media presence.


You know how that saying goes…

Out of Sight, Out of Mind.

So keep your Brand in Sight.


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