Top Strategies to Create Tiered Loyalty Programs for Exponential Growth

If a customer isn’t in your long-term vision, it's difficult to retain them for a long time. In simple words, businesses must structure a systematic loyalty journey for their customers where they have something better to offer at each milestone.

What keeps a customer glued to a brand?

Deals and offers can bring in new customers and excite the old ones for a certain time. Spend-and-earn rewards may feel monotonous to customers after a while. What will truly keep them around is long-term engagement and consistent customer satisfaction.

Tiered loyalty programs do the job perfectly.

This post will discuss the top strategies to create successful tiered loyalty programs.

But before that, let’s discuss:

What are Tiered Loyalty Programs?

Tiered loyalty programs work like leveling up in a game. As a business, you can structure your loyalty program and create a journey for your customers through tiered loyalty programs. Tiered loyalty programs have levels or ranks with differentiated benefits. The more a customer spends or provides value to the business, the better the rank gets. Let’s say you were offering them good loyalty benefits at tier 1, but rewards and perks get even better at tier 2. The more they engage, the better the rewards get.

Top Strategies to Craft Tiered Loyalty Programs

Tiers help you create a well-thought-out ladder for your customers and provide them with a glimpse of what lies ahead. To get you started, here are the top strategies for creating successful tiered loyalty programs:

1. Name the Membership Tiers

Personalization is the key when it comes to drawing customers’ attention to your tiered loyalty program. Naming your tiers is a great way to engage customers and foster a sense of belonging. Let’s say, for a fitness app, tiers can be named fitness enthusiast, gym pro, workout warrior, or ultimate fitness guru.

2. Create a sense of exclusivity

It’s important to create a sense of exclusivity among your customers to get the most out of your tiered loyalty program. Each tier must offer unique benefits with some sort of upgrade from the previous. When good gets better, customers tend to feel exclusive.

3. Lure them into the hive

The sneak peek and the teasers always work to lure the customers to spend more to move to the next tier. You can send them emails revealing exciting rewards and upgrades when they move to the next tier. Share ways to ascend quickly and keep them engaged.

4. Use Gamification

Gamification can help your brand stand out in a cluttered market. You may use elements like progress bars, milestones, and spin-the-wheels to add fun and vibrance to your tiered loyalty program.

The key to excelling in tiered loyalty programs lies with expert loyalty management software. If you are looking for efficient loyalty management, Novus can help you craft seamless tiered loyalty programs.