The data is in and the discount vouchers loyalty facilities in our Point of Sale software drive sales across retail channels.
When you see same store year on year growth of ten percent and more with the only change of significance being the introduction of discount vouchers the impact of the program is obvious.
While some retailers are having success with the old points-based loyalty program, some who have switched from that to discount vouchers are surprised at the almost immediate lift in sales as a result – indicating that shoppers were fatigued with the old approach to loyalty.
We think shoppers like an immediate reward and that’s what discount vouchers provide – the ability to tap into immediate savings by spending more right away and beyond what the shopper probably visited the business to spend.
The greater the basket value the greater the discount voucher opportunity. In one example recently in a garden central, a shopper spend just over $100.00 and received a voucher offer ing a $10.00 discount on their next purchase. They then bought an item priced at $175.00. This shopper was not a regular and unlikely to return. Sio, the business more than doubled the value of its sales to this shopper and the only cost was $10.00 gross and around $5.00 net – a low cost for valuable and satisfying engagement.
Our management tip for retailers today is to engage in a loyalty offering that is valuable for your customers. In the cases we have been seeing recently, discount vouchers is the right offer in a range of circumstances. Indeed, we have see it help businesses out-perform other loyalty programs / offers.
This is an easy marketing opportunity with which to engage – driving excellent outcomes. As it forms part of the base tower Systems software there is no capital or other cost in getting up and running.