When you think of Black Friday, you might think of your customers getting bombarded with different promotions and bouncing from store to store looking for crazy deals.
That doesn’t paint a picture of loyalty, but Black Friday is actually a very important time for loyalty.
Amazon uses Prime as a key acquisition tool on Prime Day each July, and retailers with loyalty programs should do likewise on Black Friday.
What is often lost among the news of Amazon’s massive sales on Prime Day is its significant uptick in new membership signups.
Here’s why retailers should seize the Black Friday season and focus on acquiring new members (as well as strengthening the relationship with existing members).
Black Friday is More Than Just One Day
While Black Friday technical falls the day after Thanksgiving, the accompanying “season” associated with holiday shopping starts much earlier.
By the time Nov. 1 rolls around, so many brands now offer early Black Friday deals to get their customers shopping sooner.
With 13% year over year growth and total sales of $136B in the U.S. this holiday season, this period comprises a crucial part of the holiday shopping season now.
For many retailers, it’s their busiest and most important time of year. And your loyal customers are chomping at the bit to get great deals and engage with their favorite brands.
Given the sheer numbers of consumers shopping at this time, retailers have a captive audience making it an opportune time to spark enrollment in your premium loyalty program.
Premium Loyalty Programs Can Step Up the Holiday Experience
While most retailers have loyalty programs today, premium loyalty programs appeal to the preferences of your best customers. And they drive higher engagement than traditional loyalty programs.
Nearly 70% of consumers agree their loyalty is more difficult for a retailer to maintain than ever before, while 88% agree retailers could do more to earn their long-term loyalty.
Premium loyalty members are twice as likely to use their programs than members of free programs.
These emotional connections your brand makes during the holiday season can last throughout the rest of the year.
Premium loyalty programs are important because they often become a part of your daily life.
When a loyalty program is powerful enough to impact your daily life, it is equally important for brands to do everything they can to attract new members.
At this time of year, a consumer with premium loyalty memberships in Prime, Barnes & Noble, CVS CarePass, Lids Access Pass Premium, REI, ShopHQ, and/or Lululemon could take advantage of some great instant benefits and deals!
During a shopping extravaganza like Black Friday, don’t forget to do everything in your power to acquire new loyalty program members who can impact your brand well beyond the holiday season.
What Should Brands Be for Premium Loyalty Members?
Many brands offer early Black Friday deals at this time of year to entice consumers. Last year, retailers spent a disproportionate 25% of their digital ad spend on the Black Friday shopping weekend.
That means your customers will be getting bombarded with ads and offers.
Eighty-seven percent of consumers who are satisfied with the special benefits offered by a retailer’s paid loyalty program will likely choose that retailer over a competitor that is offering a lower price.
That’s because your premium loyalty members know that they are already getting the best that your brand has to offer.
Typically, premium loyalty program members get discounts, cash back, and free shipping every time they engage with you anyway.
But, what can you be doing special for their program members that would significantly impact long-term loyalty?
Well, what are some of the things that you look forward to during holiday shopping?
- Earlier access to sales through premium loyalty programs
- Free gift wrapping
- Priority checkout
- Express return lines for customers
You want to give the best of your brand with a premium loyalty program. And if you can wrap that inside memorable experiences, you’ve struck gold!
Premium Loyalty Can Power Your Brand Year Round
If you already have a premium loyalty program in place, great. You’re one step ahead.
If you haven haven’t launched one in time for this holiday season, keep these key points in mind:
- Thirty-one percent of consumers say they have yet to join a paid loyalty program because the retailers they shop with don’t offer them.
- Not only do premium loyalty programs appeal to the preferences of today’s consumers, but they also drive higher engagement than traditional loyalty programs.
- More than half of all premium loyalty participants shop with that program’s retailer at least once a week.
The bottom line is that when you give your best customers the best of your brand all year, you’ll already be on their “nice list” when the holidays come around.
It’s not too soon to start thinking about the 2020 holiday season.
What does your current loyalty program offer members now and is it enough to retain their long-term loyalty?