Loyalty Programs: What They Are And How To Manage Them

Why are loyalty programs important?

Loyalty systems are becoming more and more common in the beauty industry. As salons, clinics and spas collect data about their clients and then send them interesting content that they think will engage and appeal to their clients this, in turn, should allow for deeper relationships to be forged.

It isn’t an easy endeavour to establish new clients for your business, in fact on average it costs 10 times more for your business to find new customers then it is to retain exisiting ones. Therefore it is important that you are able to keep those clients loyal and engaged.

Plan your own loyalty program

The first step is to decide if you really need a loyalty program, and if you really have the resources (time, staff, etc.) to manage it properly. It doesn’t have to be complicated, but it does require some effort to start up and maintain. If the answer is yes, we recommend that you follow these steps and ask yourself the following questions to implement it correctly:

1. Who are my clients? What communication channels do they use to inform themselves (Email, SMS, Whatsapp, facebook, ordinary mail …)?

2. What information can I give you that interests you? News, promotions, invitations to “beautyparties”…?

3. How do I collect the data I need to send clients content?

a.Do I ask them directly and personally when they come to the centre?

b. Do I ask for them in a section on my website?

c. Do I create a contest in which to participate have to leave some contact information?

The answers to these questions will help you to create your own custom loyalty program. It is ok to start you loyalty program from scratch it will take time to build, but by updating/expanding the database and with feedback from your clients on how to improve. You should be able to grow a powerful database that keeps your business growing.

If you have any questions, you can contact us here.

And remember…

In order to make use of the data you collect, you can have a look at the Data Protection Law to be clear on what is permitted. Hall & Willcox has provided a concise summary of the laws here.

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