Did you know that it can cost between 5 and 25 times as much to acquire a new customer as it does to keep an existing one? If you didn’t, you’re not alone. Most marketing advice focuses exclusively on topics like growing your audience and expanding your reach.
And while both of those things are certainly important in building your business, not enough is said about the importance of cultivating brand loyalty with your customers. In today’s article, I’ll be outlining the 5 most innovative Loyalty Program Apps in the US.
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According to Shopify, over nine-tenths of online companies now operate some form of the customer loyalty program. Loyalty programs are an effective customer retention tool, incentivizing and engaging users to maintain or increase their spending behaviours.
With the belief that it costs a fraction of the price to reconnect with existing customers than reach out to new customers, brands are getting increasingly creative with their loyalty schemes.
With that in mind, we explore five of the most effective loyalty program apps for Americans in 2023.
- Amazon Rewards (Visa Card)
- Caesars Rewards
- Starbucks Rewards
- Sephora Beauty Insider
- The North Face (XPLR Pass)
Amazon Rewards (Visa Card)
Amazon Rewards is one of the most exciting rewards open to consumers that religiously use Amazon’s services. The Amazon Rewards Visa card is a great way of getting more for your spending with the world’s biggest e-commerce platform. Even if you don’t have Amazon Prime membership, it’s possible to get 3% cash back on all spending using your Amazon Rewards Visa card.
This cash back percentage is also offered for spending within the Whole Foods Market. You’ll even get 2% cash back on spending at gas stations, bars, restaurants and chemists, with 1% cash back committed on all other transactions. Amazon Prime members can get up to 5% cash back on Amazon and Whole Foods Market purchases too.
Caesars Rewards
This rewards program is renowned worldwide as being the number-one loyalty program in the casino industry. Aimed at regular visitors to Caesars Entertainment-owned properties, this scheme allows guests to accrue rewards credits for everything they do. Whether it’s your hotel accommodation, the restaurants you dine at or even the casino games you play, every cent you spend will help to reward you down the line.
The strength of the Caesars brand also helps this loyalty program shine. But its app is an award-winner, making it possible to book rooms, restaurant tables, theater tickets and more. It looks like Caesars is going nowhere from the US gaming scene anytime soon if its new sportsbook venture is anything to go by. The Caesars Sportsbook – underpinned by William Hill’s sportsbook technology – is increasing its exposure stateside. It’s already become one of the top five sites for no deposit casino bonuses for first-time users, with bonus funds triggered immediately upon sign-up.
Starbucks Rewards
SOURCE: Photo
Coffee giant Starbucks has a rewards app that’s considered one of the most successful on the planet, let alone the US. In fact, the Starbucks Rewards app was one of the first rewards schemes developed into a native mobile app. The clever aspect of the app is that customers earn reward “stars” for purchasing coffees through the app.
It might sound insignificant getting customers to purchase through the app, but it’s more beneficial than you might think. For starters, Starbucks benefits from building a treasure chest of customer preferences and behavior data, all of which make it easier for Starbucks to promote targeted ads and incentives to the right demographics. Starbucks Rewards is proof that rewards apps can be an effective way of collating a centralized point for consumer data.
Sephora Beauty Insider
Sephora operates one of the most successful loyalty programs on the planet. Its Beauty Insider scheme contains over 25 million members at the time of writing and rising – 17 million of which are in North America alone. In fact, Sephora’s membership is so valuable that it consists of four-fifths of the brand’s total sales volume.
On the outside, it looks like being a rather bog-standard loyalty app, with rewards points collected for every Sephora purchase. However, the creative aspect of Beauty Insider is that customers get the flexibility to spend their rewards points however they see fit. They can provide discounts on products, pay for gift cards for family and friends, and even be redeemed for exclusive access to Sephora events and VIP experiences.
The North Face (XPLR Pass)
Outdoor adventure clothing brand The North Face also has a clever loyalty app called XPLR Pass. Like Sephora, this is also designed to give customers greater flexibility and personalization over the benefits they can redeem. Loyalty points are accrued for every transaction, as well as quirky perks like checking in on social media at set locations or simply downloading and installing the North Face native app.
The brand uses the data it has on each customer to try and personalize and recommend unique benefits for each person to use on outdoor pursuits and travel experiences that interest them the most. XPLR Pass members also get first dibs on limited-edition clothing and accessories. All of which help to provide an air of exclusivity.
These loyalty programs are further proof that new customers can be quickly converted into loyal customers from the moment they engage. Forward-thinking rewards schemes put the power in the hands of members.