Four Reasons Why A Channel Loyalty Program Fails

1. Four Reasons Why A Channel Loyalty Program Fails

2. Loyalty program is one of the best keys to serve the customer in the best way, and retain the existing customers for long. In today’s time, almost every employer introduces the channel loyalty program in different ways. Some get successful, where others don’t create much difference. These programs are designed where companies receive support from channel partners to expand business growth. When the customers receive the benefits out of their investment, they show interest in the brand features and feels positive while connecting to the brand. Customers who are already engaged in a loyalty program; explain the benefits they are getting out of the entire investment. Overall, a customer loyalty program presents the win-win for the employer and the customer. However, designing and announcing the channel loyalty program requires a lot of hard work, observation, trial, and all the perspective must be check beforehand. This PDF aims to focus on some pitfall you should avoid while introducing your channel loyalty program: Lack of Commitment:

3. A loyalty program decides the overall revenue of the company’s investment. The program idea should be discussed and internally tested before actually announcing it to the public. To ensure a loyalty program work, it must be well planned, have stockholder buy-in and promoted extensively. It is recommended to have a dedicated, experienced program manager who oversees the loyalty program. Drawback and benefits must be studied deeply, so the chances to get the program reduced to a significant extent. Lack of Personalization: Suppose the brand announces a complex supply chain that features distributors, dealers, influences, sub-dealers, and retailers. In that case, it is essential to ensure to customize the reward and incentives for each segment. It is necessary for the brands to have clarity about the behaviour they seek to encourage; it could be different for a distributor than a reseller. Program Structure: Recipient of a loyalty program is the customers. You need to decide that the program is structured in a simpler way, so it could

4. get clear to each customer to use it. Ensure the sign-up procedure for the program is hassle free. Strategies for Effective Channel Loyalty Program: Right from defining the program goals to steps of execution to the result must be defined and discussed within the organization properly. A loyalty program is usually a long-term deal, except when it is introduced for the specific festival or day. So, you should apply the effective strategy to plan your program, so the result is lucrative for the company and the customers.