Emotionally connected customers stay with a brand for over 5 years on average.
Critics of loyalty sites say that they do not help “incrementality” and often incentivise discounts on customers who would make a purchase anyway. But the author suggests that loyalty sites could still prove valuable for marketers, as emotionally connected customers stay with a brand for an average of 5.1 years.
Brands could earn customer loyalty by linking with cause-based sites like iGive.com, which gives a percentage of their sales to a charity of the customer’s choice. Marketers can also associate with sites that offer miles like airlines to leverage the existing networks of these sites and push up their sales.
Loyalty sites can create high-value customers who make large purchases by offering them incentives. Financial ownership sites like Masterworks.io provides customers with innovative incentives, but instead of earning points or rewards they earn company shares.
[5 minute read]