When most people think about loyalty programs, they consider frequent flier programs or hospitality-based schemes, rather than loyalty programs based in the DIY/Hardware sphere. At first glance, these loyalty programs may not have the same allure or glamour of receiving business class upgrades, or a free mochaccino. However, they still play an integral part in their industry and profoundly influence other sectors.
To DIY or not to DIY, that is the question
DIY or Hardware retail is a unique industry with its ability to market not just to B2C clients but also to have a vast share of its business in the B2B realm. This allows DIY/Hardware to not just appeal to your everyday construction contractor, but your gardening enthusiast and renovation hobbyist.
For these reasons, directed marketing strategies need to be formulated to be able to address the requirements of these specific customer segments, as well as drive customer retention with fulfilling customer experiences.
All these factors are driven by successful customer and transactional data which can only be truly collected through a successful and efficient loyalty program.
It can not be overstated that customers should not be treated as a commodity to be mined, but rather as individuals with various tensions that need to be resolved.
- Shortening the Buying Cycle
By allowing your customer base to participate in your loyalty program, you can offer different styles of loyalty mechanisms to keep them coming back to your store. These can vary from points, coupons, cashback, or even tiered programs (this is a great option for B2B contractors!) Depending on what specific DIY/Hardware retail you participate in, a tailored loyalty promotion engine needs to be optimized for your marketspace, allowing you to meet your customer requirements, as well as rewarding their loyalty in the most effective way.
- Complimenting your most loyal customers with benefits
Providing added benefits or perks with your loyalty program is a powerful incentive to drive customers into your stores, whilst making them feel a part of an exclusive experience. The psychology of this point can not be underestimated as customers who feel they are a part of an exclusive club need to be positively reinforced. This can be achieved by the addition of free shipping/delivery, free tea/coffee while shopping, free consultations, and the list go on!
- Developing a strong customer relationship
Consistently harboring and maintaining strong levels of communication with a loyal customer base is quintessential to building strong customer relationships. This is true of the B2C segment, but more so in the B2B/Contractor market as these relationships are vital in maintaining a long-term business. To achieve this, the utilization of targeted sales or product information through the medium of mobile applications or communication channels (such as push notifications, emails, or telephone checkups) is a powerful method by which the customer feels remembered and appreciated.
- Integrating technology across different platforms
The utilization and integration of Artificial Intelligence and Machine Learning into loyalty programs are at times an expensive, but also a powerful tool. By assessing the cumulated customer and transactional data that loyalty programs receive, logarithms can be created to market or suggest products to loyal customers based on their profile, which in turn can have a powerful impact on a loyalty program’s ROI as well as necessitating the needs of your loyal customer base.
- Tapping into the emotional core
The DIY/Hardware industry or also known as the home improvement industry can really tap into the emotional needs of your customer base as certain purchases are human needs, but rather driven by hobby, and hobby and heart go hand in hand. Sentimentality is a powerful motivator and should not be underappreciated, especially when it comes to home improvement and gardening. It is your customer’s home which directly affects their life.
Nothing is better than a loyalty program that taps that sentimentality by surprising and delighting customers by providing rewards or experiences that other competitors do not provide. Rewarding them intelligently for their participation in your program through specific experiences (exclusive tips, premier events, birthday gifts, etc) further develops this powerful emotional force.
For more information on how you can elevate your loyalty program, don’t feel free to contact us!
