Importance of loyalty program in coffee business
The business must run for profits. The business also considers the needs to care for the customer if it is needed.
Lots of customers emotionally connect to the business based on the service provided to them. Customer is the root of the business.
The service provided by the coffee shop increases the loyalty of the customer. Loyalty is an important factor in customer retention.
The loyal customer will come to the coffee shop often. It is important to maintain customer loyalty for coffee business for regular income in the business.
Loyalty program in coffee business
The coffee shop business has a huge market. The business also has lots of competition in recent times. Because people preferring well-structured and hygiene coffee shops.
The customer loyalty program for coffee shop is very important to grow the business exponentially. This loyalty program increases the customer to bring a new customer.
This will popularize the brand largely. This loyalty program reduces customer acquisition cost largely. Now we can see the types of loyalty programs.
Visits Based Reward
The loyalty program works on number of visits made by the patron in a particular month. This loyalty program is a key factor to introduce the brand to the customer. to start with you have to advertise in mass media and social media.
You have to use all the points of contact to reach this loyalty program to the millions. The customer will receive the rewards once he visits the coffee shop. The transaction made by the customer each time should not be considered
Product Based Reward
The main aim of the maintenance of customer loyalty for coffee business is to increase the profit. This type of loyalty program is more suitable when introducing a new product.
The idea is to provide discounts or offers when the customer buys a particular product. These programs are also based on the number of products e.g. buy three coffees and get one coffee free.
Cash Back Program
The concept is simpler; the customer will get money on transactions of a certain amount. We have to maintain a loyalty account for each customer.
When a customer buys the coffee for a certain amount. The percentage of the money will be added to the loyalty account. For example, if a customer buys coffee for more than Rs 500 he will get 5% as the cashback in his loyalty account.
Customer retention is a challenge in this business. These loyalty programs make the customer engage their time in a coffee shop. We should do proper communication of loyalty programs in coffee shops in possibly.