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How to grow a BigCommerce loyalty program with personalization

Sep 15, 2021 / by LimeSpot Team

Building a continuous revenue stream is a major goal for growing BigCommerce stores. We all know how much more cost-effective it is to sell to existing customers. BigCommerce store owners have quickly realized the potential of loyalty programs in increasing their overall customer lifetime value leading to a surge in loyalty program popularity.

 

A successful loyalty program encourages repeat customers to keep spending and helps attract prospects too. But does your BigCommerce store need a loyalty program? Let's find out.

What is a customer loyalty program?

A customer loyalty program employs a point system to reward customers. These perks aim to increase customer engagement and enhance customer experiences. 

In loyalty programs, customers are awarded discount codes, store credit, and free products in exchange for their points. Discounts might come in the form of percentage discounts, or otherwise flat-rate discounts (like $20 off). Other perks offered by ecommerce loyalty programs may include coupons, giveaway entries, and early access to unreleased products. 

Get our ebook: The ultimate guide to personalizing buyer experiences

Why do BigCommerce stores implement loyalty programs?

Loyalty programs foster customer engagement and improve customer experiences, but what else do they bring to the table? Well, loyalty programs are greatly valued by BigCommerce stores because they help merchants steer their efforts towards the most profitable segment of your target audience.

Loyalty programs reveal customers that are, well, loyal to your store. It pays (literally) to focus your efforts on them.

Merchants with a steady stream of customers want to drive repeat purchases

Customers that purchase from your store repeatedly have a higher customer lifetime value compared to ones that only buy off you once. So, loyal customers are unsurprisingly highly profitable for your business. Instead of spending money on ever-increasing ad costs, you can market to existing customers in your database at no extra cost.

 

Keeping your repeat customers happy is vital because you’ll retain their trust and encourage them to continue buying off you. Plus, customer retention costs are significantly lower than customer acquisition costs. 

Merchants have lots of competition and want to retain as many high-value customers as possible

With more D2C brands popping up every day, BigCommerce merchants are in constant competition for high-value customers. These are the customers that make repeat purchases and value your products consistently. In a competitive market, customers have many options, so retention becomes more difficult. 

 

Loyalty programs help you retain your biggest spending customers, guaranteeing a continuous revenue stream. By rewarding customers for their loyalty, they have incentives to stick with your brand. Plus, brands with loyalty programs receive the added benefit of word-of-mouth marketing.

Merchants want to build Amazon-like levels of loyalty

Amazon is an industry leader in the ecommerce world. Amazon Prime, the best loyalty program in the business, is one of the reasons why Amazon has so many repeat customers. Building the right loyalty program can help you achieve a stream of repeat customers. 

Merchants want to increase average order value (AOV)

Providing your customers with incentives like discounts, store credit, and free merchandise can increase their interest in your store. Consequently, it can lead to high volume sales – elevating your store's average order value (AOV). 

Why you need personalization in your BigCommerce loyalty program

Adding a personal touch to your loyalty program shows customers you value them, and gives you an edge over the competition. 

Find the "aha" moment that gets users to sign up and scale it

There’s no guarantee that customers will be interested in your loyalty program, to begin with. That’s why it’s so important to find the “aha” moment – the final touch that gets your customers engaged. 

 

Examples of the aha moment include:

 

  • Your loyalty program offers free or discounted shipping
  • Customers can save money by subscribing to a pre-determined number of monthly orders
  • Customers can get their friends involved to save even more money

 

Until you figure out what your “aha” moment actually is, consider using a pilot program to test your loyalty program out. Once you’ve settled on a program with reasonable potential, roll it out full-scale.

 

You can use channels like Facebook and Instagram to target ads and increase brand awareness. You can also get customers to sign up for it through WhatsApp, SMS, and email marketing. Or you can get them to scale the brand awareness through referral programs where successful referrals translate to rewards. 

Offer rewards based on user activity

Earlier, we mentioned that point-based loyalty programs award points to customers based on their activity. The more active a user is, the higher points they have. Giving various milestone rewards to loyal customers helps keep your customers interested.

 

Want to make your program even more effective? Make the rewards redeemable and personalized.

Provide personalized experiences for customers based on loyalty status

There are many types of customer loyalty programs – one of them is tier-based. It lets you segment your customers based on their loyalty level. The higher the level, the better rewards they get. It is better to focus on these high-value customers. 

 

You can use a monthly report of your top customers or a quarterly list of your best customers to find the most loyal customers. Then you can easily focus on them and give them personalized rewards experiences

The best BigCommerce loyalty apps

Loyalty platforms are an excellent way to increase your customers’ repeat spend. The business world realizes this too, and there are many applications available now to host loyalty programs. 

Here's a list of the best BigCommerce loyalty program apps available right now.

Smile.io

Smile.io is a free app available in the BigCommerce app store. With Smile.io, you can launch your store's powerful loyalty program in just a few minutes. The app lets you integrate marketing tools with just a click. Plus, you can view the real-time rewards panel right from your store’s dashboard. Smile.io is available in English, French, Spanish, German, and Portuguese. 

LoyaltyLion

LoyaltyLion is a data-driven loyalty and engagement platform that powers ecommerce growth. Unlock real insights to build a better understanding of what drives longer-lasting customer relationships, and use those insights to connect and accelerate your existing marketing efforts.

Gratisfaction

Gratisfaction is a one-stop-shop for loyalty programs, referral programs, giveaways, sweepstakes, and reward platforms. You can use the app to set customized loyalty programs up and activate multiple types of referral programs. These features allow you to rewards customers and boost sales and engagement. Did we mention it's free?

Lootly

Lootly is a customer loyalty software and referral app available on the BigCommerce app store. This app has 12+ ways to earn points, so you can choose the best strategy for your store. In addition, users can customize the VIP tiers and employ different referral programs to turn existing customers into brand ambassadors. It comes with a free 7-day trial period. 

Loyal2

Loyal2 is a small-store-friendly loyalty app on the BigCommerce app store. It has a free plan. With this app, merchants can access loyalty dashboard, referrals engine, members database, transactions database, customer data, promotion engine, point register, and more. 

Get our ebook: The ultimate guide to personalizing buyer experiences

How to offer personalized loyalty experiences with LimeSpot for your BigCommerce store

LimeSpot is an ecommerce personalization app on a mission to "transform the customer buying experience." As a leading AI-merchandising platform, LimeSpot helps BigCommerce merchants drive sales and build personalized experiences for every shopper.

Personalized shopping experiences

LimeSpot lets you personalize each customer's shopping experience right from the start. The platform’s AI technology tracks and learns your customer’s intent and purchasing behavior across various digital touchpoints. With LimeSpot, merchants can personalize their performance marketing, homepage, emails, ads, CTAs, images, text, and videos. 

Real-time audience segmentation

LimeSpot lets you segment your audience according to predefined or custom templates. If you’re looking to create custom targeted segments, the platform allows merchants to use their own data too. With real-time audience segmentation, store owners can personalize content and collections – yielding the best customer engagement opportunities. 

 

This means you can create custom segments using your loyalty program data to create unique experiences for different tiers of your loyalty program. For example, people in the top tier of your loyalty program might see a different hello bar promoting a secret discount code, or they might get early access to a sale.

Integrations with loyalty apps

LimeSpot facilitates seamless integrations of your store with loyalty apps like Smile.io and LoyaltyLion. It also lets merchants automatically add LimeSpot-driven product recommendations on mobile apps and desktop storefronts. You can then view all the potential bonus and reward points on the upselling and cross-selling recommendations by LimeSpot. 

Upgrade your loyalty program today

While there are many benefits of a customer loyalty program, you need to establish a successful one to reap all the rewards.

 

Improving customer experiences and learning about your target audience helps merchants optimize their loyalty programs. 

Take your loyalty program to new heights with LimeSpot, an AI-driven product recommendation platform that drives sales. Outdo your competitors with data-driven insights into enhancing your customer experiences.

Topics: BigCommerce, Personalization

LimeSpot Team

Written by LimeSpot Team

LimeSpot is an AI driven personalization platform proven to lower acquisition cost, improve customer experience and increase merchant revenue. Thousand of ecommerce brands worldwide trust LimeSpot to create optimal customer experiences. "Request a demo" or "contact us" to learn more.