HOW TO BUILD A LOYALTY PROGRAM THAT INCREASES YOUR REVENUE
FOR YOUR VAPE AND TOBACCO, SMOKE SHOP
The tobacco and vape industry is rapidly growing from a retail perspective. Currently, the market value of the vape and e-cigarettes is at 2.85 billion annually, with over a 55million vapers this year. This development has contributed to very stiff competition in the market, calling out to all smoke shop owners to keep up or get left behind.
As a smoke shop owner, you can up your game by implementing a bLoyal rewards loyalty program and be a step ahead of your competitors. bLoyal offers a pocket friendly, the customized loyalty program for businesses at all stages of growth. It has excellent tools and features for you as a smoke shop proprietor to maximize your customer’s lifetime value, retain your customers, and increase your brand awareness leading to an increase in revenue.
Importance of building a loyalty program
Increases customer retention, which lowers acquisition costs and increases revenue
bLoyal’s loyalty program creates a personalized relationship between you and your consumers, fostering a sense of trust and loyalty. It is customized to reward your loyal customers with gift cards, birthday cards, and personalized coupons which increase customer retention.
Satisfied customers will tend to tell their friends of the unbelievable offers and rewards they receive from their loyalty program lowering your cost of acquiring new customers-increased customer referrals.
Existing customers spend more
Customers enrolled in your loyalty programs are enticed with amazing offers, coupons, and discounts or reward points from your loyalty program. Depending on your program customization, reward points are awarded after purchasing frequently or products worth a certain amount. For example, you can award 10 points for every 1000$ dollars spent.
As a result, customers tend to go back and purchase more from their trusted smoke shop retailer to earn more rewards and discounts.
Tobacco customers are loyal longer because they have a slower churn rate
Unlike other industry consumers, tobacco industry customers have a longer customer lifetime value. Vapers have a significantly slower churn rate, and with the bLoyal loyalty reward program, your smoke store can retain customers indefinitely.
With the importance of having a loyalty program in mind, let’s look at how to create a good loyalty program for your vape and tobacco smoke shop.
5 WAYS TO CREATE A LOYALTY PROGRAM FOR YOUR VAPE AND TOBACCO SMOKE SHOP THAT INCREASES REVENUE.
Automate sign-ups via phone number or email at the register and online
Signing your loyal customers into your loyalty program is crucial in building a great loyalty program. You need to have a master record of your loyal customers and convince them to sign up for your loyalty programs.
For physical vape and e-cigars stores selling directly to your customers over the cashier prompt or using a merchant scan code is an effortless way to award loyalty points in real time. Customers can use your bLoyal private label web store loyalty program site, sign up with their phone number or email address, and join your loyalty program.
Automate rewards at the register
Offering giveaways to your customers after they sign up for your loyalty program effectively incentivizes your newly registered customers, making them enthusiastic about a long-term relationship with your brand.
Interacting with first-time customers is an opportunity to invest in a lifetime consumer.
Decide on your structure
Generally, there are three structures of a loyalty reward program for your vape and tobacco shop.
An item-based loyalty system rewards customers with points or discounts for every purchase they make on a particular product. For example, buy ten pods or cartridges and get one free.
Manufacturers can also use this system to offer rebates to distributors on certain products.
The spend-based loyalty system is the most recommended for vape and e-cigarette stores. It rewards customers with points according to how much they spend on the business.
You may choose to award customers points per dollar spent. For instance, 1 point per 10$ spent.
After earning x points, the points are automatically redeemed, or the customers can redeem them at their preferred time.
Unlike in other loyalty program structures, in VIP billing systems, customers sign up for your loyalty program on an automated monthly subscription basis to enjoy perks and benefits.
This system gives your loyal customers gifts like free shipping on vape products and early access to products and industry-related events.
Communication is vital in every marketing and loyalty program. It would be best if you legally created awareness of your vape and tobacco brand. Look at local laws to know what terms, words, and products you can market legally.
Having your customers opt-in on email and text marketing messages creates a one-on-one platform to market your brand to your consumers.
Automatic communications on your loyalty program notify customers of upcoming product promos and discounts in their purchase history.
Create a dashboard for reporting
Creating a merchant dashboard for reporting will help you understand your customer frequency, preferences, and customer promotional usage.
Having a clear and active dashboard also helps your smoke shop support team handle any consumer queries in real time.
Operating a dashboard may be tedious and time-consuming for busy tobacco and vape smoke shops. But, it’s best suitable for small and independent vape shops with slow traffic to handle loyalty transactions manually. Customers sign up for the digital loyalty app and make purchases normally, and the merchant updates each customer’s loyalty account online on the dashboard.
Knowing the importance and how to create a loyalty program is not enough. You need the best loyalty reward program to integrate your vape store and tobacco POS seamlessly and take your business to the next level.
bLoyal has the best loyalty program options that integrate with your online store and point-of-sales like Shopify and Clover, Korona, Counterpoint, and WooCommerce. Its best-of-breed tools are easy to use and let you build and customize a loyalty or subscription program for your vape and tobacco smoke shop in no time.
Email us today at firstname.lastname@example.org for more guidance or request a demo, and let us help you find the best solution for your tobacco and vape smoke shop.