Your customer loyalty program is one of the core factors that determine how qualified your customer retention is. While the expectations and wants of customers are likely to be harder, the usage of mobile loyalty apps shall benefit you a lot that you can not imagine unless you have a mobile loyalty app at present.
You should overview why you should digitalize your customer loyalty program via a mobile loyalty app in this article.
Your organization is more encouraged to build a mobile loyalty app for promoting customer retention, according to the following statistics:
Table of Contents
A Key Aspect Of Customer Retention
- Marketing Metrics found out that the feasibility of selling to an existing consumer is 14 times higher than the feasibility of selling to a new consumer.
- According to Forbes’s survey, 72% of senior managers agree that customer engagement is one of their top priorities.
- Antavo’research has estimated that the loyalty management market will reach $15.5 billion by 2025.
To engage customers for a long-term relationship, your organization must have customers keep your brand in their minds. This is the key benefit of a mobile loyalty app that your organization can count on. In general, your organization has a mobile loyalty app, which means that you already have a competitive advantage.
In the Global Customer Loyalty Report 2022 of Anvato, 56% of program owners are satisfied or very satisfied with their loyalty program, claiming that it benefits sales, provides excellent ROI, and is well-liked by customers. These statistics shall draw a future picture in which loyal customers are the heart of your organization’s success. So, you should take action from now to enhance customer retention; in addition, a mobile loyalty app can be your powerful partner in this process. With push notifications features, you can recall your customers for the latest news about offerings. In this case, the notifications of the mobile loyalty app should be set up in suitable frequency without spam.
The Necessity Of A Mobile Loyalty App
- Over the past year, 66% of companies in the research of Apptentive and SurveyMonkey, did not have a mobile app and found a decrease in the level of customer loyalty.
- In the next three years (2022-2025), 71.6% of companies in Antavo’s research plan to modify their current loyalty program.
From those statistics, creating a mobile loyalty app is not considered an optional choice, but one of the must-have tasks. According to the above customer loyalty statistics, there is no doubt about the necessity of mobile apps in retaining customers. With an app, your customer loyalty programs can be carried out in many interesting ways and encourage their engagement.
It is hard to build a perfect loyalty program, but your program must guarantee flexibility and popularity. It means that all capabilities can be easily updated or modified.
Moreover, in Apptentive and SurveyMonkey’s research, If a firm asks for feedback, 93% of respondents indicated they are at least somewhat willing to provide it. While a large number of consumers are willing to give their feedback, many companies do not ask them for feedback on a regular basis. As a consequence, there are tremendous losses in the growth of organizations. To prevent your organization from losing huge benefits in this term, the usage of a mobile loyalty app is more likely to be vital than ever. The data from your customer feedback allow you to create innovative interactions with the current loyalty program.
While customers surf from your mobile loyalty app, your app shall record the database of customer behavior and demographics. From that, the loyalty app can personalize product offerings, which are highly matched with customers looking for.
The Advantages Of A Mobile Loyalty App
- The profits can be up to 125% due to a 5% increase in customer retention. (Bain and Company).
- The research of Emmet & Mark Murphy indicates that the benefits of a 2% increase in customer retention are the same as cutting down on cost by 10%.
There are a lot of motivations for customers to use loyalty programs within your organization. Customer loyalty statistics of CaptainUp figure out that 54,7% of customers using loyalty programs want to save money. While the majority aims to save up money, the others are keener on the rewards than discounts (37,5%). These facts also prove the importance of setting features within a mobile loyalty app.
As far as the above customer loyalty statistics, customers’ motivations are discounts and rewards. Traditional loyalty programs seem not attractive to the contemporary consumer anymore. As a result, this is your organization’s signal to transform the current loyalty program. To bring back diversity and better experiences for consumers, a mobile loyalty app must be the first thought in your mind.
Should Utilizing A Mobile Loyalty App Be Optional?
- According to Bond’s report, 57% of members prefer to interact with loyalty programs through mobile devices.
- To manage their rewards, 31% of consumers in Excentus’s report (up 20% from last year) utilize their loyalty program’s mobile app.
- 62.1% of respondents state that their loyalty program supported keeping customers engaged throughout the Covid-19 pandemic in the latest Antavo report.
Here is the fact that the first thing people do after waking up in the morning is open their mobile phones. For a long time, mobile phones have become indispensable devices in our daily life. If your organization wants to easily engage with customers, a mobile app can be the supreme tool that helps you achieve your set goals.
Last but not least, the Covid-19 issue is the most problem that totally damages the business all over the world. However, due to the transformation of loyalty programs, many organizations still achieve positive outcomes in sales and ROI. Those statistics show how emergency your organization should create mobile loyalty apps to benefit your business from now.
Read more: VitaDairy App Case Studies – You can see how a brand takes care of their 200K+ customers via a mobile loyalty app.
All in all, customer retention should have earned more “spotlights” within any organization. Despite the enormous benefits of mobile loyalty apps, many organizations do not consider more time to transform their traditional loyalty programs and maybe ignore this aspect. This could be a big red flag for organizations to enter the digital world.
Are you still doubtful where to begin your journey to set up mobile loyalty apps? At TESO, we have qualified specialists on staff who are always eager to help. Hitting up our expert’s calendar and book a meeting call for more information: https://calendly.com/quynh-tesosoft/business-meeting?month=2021-10
