The POS Software Blog

The POS Software Blog

News from Tower Systems about locally made POS software for specialty local retailers.

CategoryLoyalty marketing

Small business retail marketing advice: discount vouchers help local small business retailers

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Loyalty points have different values in different businesses. They are an old-school approach to shopper loyalty. Tired. Out of date. Of questionable value.

Everyone understands the value of cash and cash is at the heart of the discount vouchers offered through POS software from Tower Systems for local small business retailers. Supermarkets have ruined the understanding of value of loyalty points for sure.

Here at Tower Systems, we know years serving thousands of local independent retailers that a good loyalty program is key to business success. We see it in our work every day. In our software we serve the need with our Discount Voucher tools.

Discount vouchers can be setup in a minute or two. No additional tech is needed. No plastic cards are needed. No customer sign up is needed. This makes Discount Vouchers an easy, low cost, low overhead loyalty solution.

The Discount Voucher settings can be changed easily too, making this loyalty solution for small business retailers a breeze.

Retailers can call Discount Vouchers  what they want! We’ve got customers calling them “Thank You Gifts,” “Bonus Bucks,” or even “Customer Rewards.” The beauty is, it’s your program, your name!

One retailer saw a whopping 20% sales lift in the first quarter in which they offered vouchers, especially driving impulse near the sales counter purchases. Even years after implementation Discount Vouchers deliver bankable results for retailers.

Through the settings you can ensure that using the vouchers is P&L positive for the retail business.

Discount Vouchers are all about instant gratification for guys – they tend to use their vouchers straight away, while girls tend to save them for a later treat (but before they expire, of course!). Oh, and retailers control when these vouchers expire.

Setting up your voucher program is a breeze! Our retail-experienced support team can have you up and running in minutes, and making changes is just as easy. Plus, you get fantastic control over your program and clear reports to see how your customers are engaging.

Here’s why discount vouchers are a game-changer in our experience:

  • You’re the boss! Name your vouchers anything you like, and change it whenever you fancy.
  • Set the rules! Decide how much the voucher’s worth, what it can be used on, and when it expires.
  • Transparency is key! Unlike confusing points systems, customers see the voucher as cash-in-hand. They love the simplicity and feel valued with a direct reward.

We’ve seen it work firsthand! In our own shops. Customers tell us they love the vouchers. We have seen them used. We see the impact in the business, the happiness experienced by customers.

With Tower Systems’ discount vouchers, you can:

  • Get one time shoppers spending more in their one and only visit.
  • Boost spending per visit – Customers love a good deal, and vouchers encourage them to splurge a little more.
  • Bring back those loyal customers – Vouchers are a great way to entice customers to return sooner and keep them coming back for more.
  • Attract new faces – Stand out from the crowd and grab the attention of new shoppers with enticing voucher offers.
  • Spark impulse buys – Vouchers at the counter can turn a browse into a purchase easily.

Our discount voucher solution is exclusive to us, the settings opportunities, the control levers you have, the benefits you can leverage in your business.

Discount vouchers are one of the most recommended facilities in our small business retail POS software.

The unexpected power of up-front rewards: our retail loyalty story

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Forget everything you think you know about loyalty programs. This isn’t a story about points slowly accumulating towards a distant reward. This is about a small business owner who discovered the magic of front-ended customer appreciation, and how a simple $2 voucher turned into over $1,500 in sales.

Intrigued? Let’s dive in.

We own a shop. yes, this story is about one of our shops. It’s a newsagency, but it’s not really, it is so much more than that. We focus on high-quality, unique items that go beyond the daily newspaper. While most customers are regulars, a significant portion are passersby – folks who wouldn’t normally consider us a destination.

One day, a customer browsing our greeting cards made a small purchase. Little did they know, their receipt held the key to a much bigger discovery. It wasn’t a points reward, but a discount voucher for nearly $2.

This seemingly insignificant gesture had a profound impact. Here’s why:

  • Location Advantage: Being situated near the parking lot meant foot traffic was already in our favor.
  • Strategic Product Placement: The customer was drawn in by the greeting cards, a deliberate choice to showcase our offerings.
  • The Power of the Voucher: The discount sparked curiosity, prompting them to explore beyond their initial purchase.

This unexpected $2 nudge led them to a locked glass cabinet filled with beautiful, collectible items (it doesn’t;t matter exactly what they are for this story) – what they were looking for as a special gift. The price wasn’t a barrier; they wanted something lasting. And just like that, a $500 item found a new home.

But the story doesn’t end there. Weeks later, the customer, who rarely visited the shopping centre, returned for another $500 purchase. This became a pattern, with them placing yet another $500 order shortly after. A single $2 voucher had directly influenced over $1,500 in sales!

The Secret Sauce?

It wasn’t magic. It was a structured, consistent approach to loyalty built on three pillars:

  • Smart Software: Our system automatically generated vouchers based on pre-defined rules, ensuring a seamless experience.
  • Engaged Staff: A brief, professional explanation of the voucher by the staff member added a personal touch.
  • Strategic Product Placement: High-margin products, like the collectible items, were strategically positioned to capture attention.

This approach disrupted traditional loyalty programs. Instead of delayed rewards, we offered an immediate incentive to explore. And it worked. People responded in unexpected ways, ultimately leading to increased profitability.

Can This Work for You?

We think so. The key is to have:

  • The Right Products: Offer unique, high-quality items that resonate with your target audience.
  • Strategic Placement: Showcase these products prominently to entice exploration.
  • A Winning Pitch: Train your staff to deliver a brief, professional explanation of the voucher program.
  • A System That Works: Invest in software that automates voucher generation and tracks results.

By prioritising upfront appreciation, you can turn casual browsers into loyal customers, like we did in our own shop. Tower Systemscan help you achieve this with their flexible loyalty program software. From discount vouchers to other creative options,they empower you to craft the perfect strategy for your business.

So, ditch the traditional loyalty model. Embrace the power of up-front rewards and watch your sales soar!

Why have shoppers lost faith in points based retail loyalty programs and what can be done about it?

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For years, Australian shoppers have swiped their cards, collecting points with the promise of future discounts and rewards. But lately, that enthusiasm seems to be waning. In news stories and online forums, shoppers are talking down points based programs, often airing frustration at the lack of value and complexities using the programs.

Many retail programs have become stagnant. Plenty are same same. Here are some of the biggest culprits behind the decline of points-based loyalty:

  • Too Many Programs, Not Enough Value: We’re bombarded with loyalty cards. Keeping track of them all is a chore, and if a program doesn’t offer significant rewards quickly, it gets relegated to the bottom of the wallet.
  • Points that Disappear into the Abyss: Earning enough points for a decent reward can feel like an eternity. Opaque point structures and constantly changing redemption values leave shoppers feeling frustrated and undervalued.
  • Discounts, Not Loyalty: Many programs feel like glorified discount cards. Sure, a discount at checkout is nice, but it doesn’t foster a true connection with the brand.

The big factor against points based loyalty programs is the confusion as to what a point is worth. In one shop, a point may be worth $1 when you choose to spend it while in another shop it may be worth a fraction of that. Points are not the same anywhere.

A table alternative is discount vouchers from Tower Systems. This approach to loyalty uses currency, real currency – something everyone understands.

Here’s why discount vouchers are the loyalty program upgrade worth considering:

  • Immediate Gratification: Discount vouchers deliver instant value at checkout, keeping customers happy and coming back for more.
  • Targeted and Relevant: Unlike generic points, vouchers can be tailored to specific customer segments or purchase behaviours.
  • Flexibility is Your Friend: With Tower Systems, you have complete control over your voucher program.
  • Design vouchers with your branding, set the discount percentage or amount, and choose which products or categories they apply to.
  • Simple is Best: Unlike points that can be confusing to track and redeem, vouchers are delightfully straightforward.

Discount vouchers are a powerful tool to build customer loyalty. We have retailers in a range of channels using them with success today to encourage shoppers to purchase more per visit and to return sooner and more often to purchase again.

Discount vouchers offer instant value, cater to individual preferences, and provide valuable insights into customer behaviour. Tower Systems empowers you to create strategic voucher programs that drive sales, boost engagement, and leave the outdated points system in the dust.

How local small business retailers can win at shopper loyalty

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People understand cash, far more so than they understand points. What’s a pint worth anyway?

Look at supermarket loyalty programs. It feels like you need to shop forever to get enough points for something basic. But cash as a loyalty reward, people know what cash is worth.

Our smart POS software supports point, but it’s our cash based loyalty offer that gets the real attention.

Simple. Fast to setup. Easy to offer. Easy for customers to engage with. And, if done right, it pays for itself many times over.

Better still, there are awesome reports that help you understand how shoppers are behaving, how they are engaging with and responding to the cash discount showing on their receipt. These reports help you pull levers in the software to drive business growth.

You can call them what you like. In the software, we call them discount vouchers.

Discount vouchers genuinely differentiate your business.

  • You name the voucher anything you like and can change this at any time.
  • You set the rules on how the value of the voucher is calculated.
  • You set the rules on what the voucher can be redeemed for.
  • You set the rules on expiry dates.

Male shoppers are more likely to spend the voucher immediately and many customers use the voucher to purchase items more expensive than the items in the initial purchase made. Customers see the voucher as cash, often commenting that they like the direct approach better than a points-based system. They like the transparency and simplicity.

In our own retail experience, which sees us competing against major retailers in a major shopping centre, several shoppers have stated they prefer Discount Vouchers over the rewards programs of our competitors.

I you compare the Tower Systems POS software with POS software from another company, look at the loyalty side and work out how it differentiates your business, how it brings shoppers back soon and how it gets shoppers spending more.

With many retail businesses running points based loyalty programs, differentiating is key for businesses that want to stand out. This is why our discount voucher loyalty program is loved by plenty of our local indie retail business POS software customers today.

Retail business advice: leverage smart loyalty in your POS software to differentiate your local shop

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There are loyalty offers from big retailers that are supported with expensive attractive marketing and then there are loyalty offers from local businesses that deliver real value, appreciated value.

While the big business loyalty program gets media attention, it is usually the local business loyalty program that delivers what customers love most.

With many retail businesses running points based loyalty programs, differentiating is key for businesses that want to stand out. This is why our Tower Systems discount voucher loyalty program is loved by plenty of our POS software customers.

Oh, and you can actually call it whatever you like. We have customers who call these receipt-based vouchers Our Thank You Gift or Bonus Bucks or Customer Reward..

Discount vouchers genuinely differentiate your business.

  • You name the voucher anything you like and can change this at any time.
  • You set the rules on how the value of the voucher is calculated.
  • You set the rules on what the voucher can be redeemed for.
  • You set the rules on expiry dates.

Male shoppers are more likely to spend the voucher immediately and many customers use the voucher to purchase items more expensive than the items in the initial purchase made. Customers see the voucher as cash, often commenting that they like the direct approach better than a points-based system. They like the transparency and simplicity.

In our own retail experience, shoppers tell us they prefer discount vouchers, they like how easily they are understood, they like the saving.

To us, shopper loyalty programs should reward loyalty with a genuine reward, and they should do this in a way that nurtures more engagement with the business.

The relationship between shopper, business and loyalty program is circular, mutually beneficial, appreciated and valuable. This is how our program works.

Now, for retailers who like to copy big business with a traditional points based program, we offer that. It’s easy to setup and run. You control how points are accrued and redeemed. We have this in the software because we do not want to restrict what our retailers can offer in terms of loyalty.

We are grateful to serve thousands of retailers with loyalty offerings that help local retailers thrive.

Cash beats points when it comes to loyalty marketing in local retail

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Loyalty points are hard to quantify. But cash, we all understand.

Think about it. When did you look at the loyalty points in a retailer or airline program and try and figure out how much they are worth. Confusion suits them. We think it dilutes the value significantly.

A customer recently spent $87.97 at a shop in suburban Melbourne. They were an infrequent shopper there, but they were given a $4.40 voucher on their receipt.

The customer looked at the voucher and then back into the shop. A few minutes later, they spent an additional $165.00 on products. They said they might as well get these things here and save money.

The customer lives an hour from the shop and was only shopping locally because they were visiting a friend. But the $4.40 voucher was enough to encourage them to spend more.

The Tower Systems POS software offers integrated loyalty marketing, including points-based and cash-back rewards. The cash-back rewards are popular with retailers because they are easy to implement and track.

Differentiating your loyalty program can encourage shoppers to spend more and come back more often. The Tower Systems loyalty platform also offers a way for retailers to engage with local community groups and raise funds.

We believe that cash-back rewards are a better way to build loyalty than points-based rewards. This approach is a differentiator for local indie retail businesses.

Too often, small businesses think that copying what big retailers do is the smart way to go. But it’s not. Big retailers have the resources to offer complex loyalty programs with lots of bells and whistles. But small businesses can’t afford to do that.

The Tower Systems loyalty platform is a simple and effective way for small businesses to build loyalty. It’s used by retailers in Australia and New Zealand, and it’s helped them to drive basket depth and bring shoppers back sooner.

This loyalty program is easy to setup, and to fine tune based on experience. With no overhead and no external people to deal with, it’s so easy for local retailers to leverage local opportunities and Leeds in how they execute their loyalty offer.

If you’re a small business owner, we encourage you to check out the Tower Systems loyalty platform. It’s a great way to differentiate your business and build customer loyalty.

Retail management advice: Small Business Loyalty Programs: Don’t Mimic the Big Guys

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Many small business retailers copy the loyalty programs of big retailers, too many in fact. Here at Tower Systems, based on years of experience working with retailers and running our own shops, we think this is a mistake.

Big retailers can afford to offer generic rewards like points, which mean what anyway (?), but small businesses need to be more creative and offer rewards that are relevant to and understood by their customers.

Here are a few tips for creating a loyalty program that will wow your customers:

  • Make it personal. Don’t just offer generic rewards like points. Instead, offer rewards that are specific to your business and your customers.
  • Make it easy to participate. Your loyalty program should be easy for customers to understand and participate in. The last thing you want is for customers to get confused or frustrated.
  • Make it rewarding. The rewards you offer should be valuable enough to keep customers coming back. Don’t just offer small discounts or coupons. Instead, offer rewards that your customers will actually want, like free products, exclusive experiences, or early access to new products.
  • Make it understood. Cash is what people understand the best. A dollar is worth a dollar.

If you follow these tips, you can create a loyalty program that will help you attract and retain customers.

Here are some specific examples of loyalty programs that small businesses can offer:

  • Discount vouchers: This is a simple but effective way to reward customers. You can offer discount vouchers for a percentage off their next purchase, or for free shipping or other perks.
  • VIP card: This is a great way to show your most loyal customers some extra love. VIP cardholders can enjoy exclusive rewards, like early access to new products or special discounts.
  • Bundled package offerings: This is a great way to encourage customers to spend more money. You can offer bundled packages of products or services at a discounted price.

No matter what type of loyalty program you choose, make sure it’s something that your customers will actually want to participate in. If you do that, you’ll be well on your way to building a loyal customer base.

Here are more thoughts on loyalty programs for small businesses:

  • Be creative. Don’t be afraid to get creative with your loyalty program. The more unique and interesting your program is, the more likely customers are to participate.
  • Be flexible. Your loyalty program should be flexible enough to change as your business grows and evolves. Don’t be afraid to make adjustments to your program as needed.
  • Be social. Promote your loyalty program on social media and other channels to reach a wider audience.

By following these tips, you can create a loyalty program that will help you grow your small business.

Now, our preference is discount vouchers because we know they work, we see it in business data from many hundreds of local small business retailers. Shoppers love them, and spend as a result.

The loyalty program that shoppers and retailers BOTH love

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There are loyalty programs and then there are loyalty programs that actually work for both shoppers and retailers. And, yes, we have a conflict because we offer this type of loyalty program in our small business focussed POS software.

But, first, we also offer the traditional points based loyalty. Yes, it’s what most have. It’s old. People love it. But, what’s a point really worth? No one knows.

In our small business focussed POS software we offer another loyalty program, in addition to points. This is a smart program, one that helps retailers and customers benefit through mutual support and assistance.

In the current economic situation with shrill news reports about interest, rent and inflation, our loyalty program alternative helps shoppers save money and retailers attract more shoppers than usual. It’s a money maker for both, a differentiator, and real win!

They key to the success of our loyalty program loved by shoppers and retailers is that the reward is shown in money, currency, the amount available for people to spend in the shop. You can look at the voucher and know immediately the amount you have available as a reward. If you see 150 points it is likely you have no idea what they are worth whereas when you see $4.50 you know it is worth $4.50.

Our smart POS software works out the reward amount based on what you tell it. You are in control at all times and can make immediate adjustments. Setup can be done in a couple of minutes. Then, you have access to excellent reports that show how shoppers are using the loyalty program. Nothing to spend. Nothing else to do other than engaged with shoppers.

Discount vouchers genuinely differentiate your business.

  • You name the voucher anything you like and can change this at any time.
  • You set the rules on how the value of the voucher is calculated.
  • You set the rules on what the voucher can be redeemed for.
  • You set the rules on expiry dates.

Male shoppers are more likely to spend the voucher immediately and many customers use the voucher to purchase items more expensive than the items in the initial purchase made. Customers see the voucher as cash, often commenting that they like the direct approach better than a points-based system. They like the transparency and simplicity.

This loyalty program can help you:

  • Get customers spending more in a visit.
  • Bring existing customers back sooner.
  • Attract new shoppers to your business.
  • Drive impulse purchases at the sales counter.

All of this is about a win win – for customers and for local retail business owners. Since 2013 this loyalty program has been in good and wide use, and loved.

Small business retail advice: loyalty points are out of date and misunderstood, it’s time for change

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While the majority of retailers run with loyalty programs that accrue points / charms and similar of dubious value, Tower Systems POS software customers can offer $$$ off.

Okay, we support loyalty points for those who want that. But, tons of our customers use our fresh approach to loyalty, and they love it for the  shopper engagement it nurtures.

The discount vouchers (that’s what we call it but you can call it what you like) from the Tower Systems POS software work. In garden centres, jewellers, bike shops, newsagents, toy shops, pet shops, produce stores, stockfeed businesses, firearms businesses and more, the vouchers are bringing shoppers back and guiding them to spend more.

The vouchers are a positive game changer for retailers, a differentiator that are making a terrific difference in businesses competing with others stuck in the world of old-school loyalty through points.

How do we know?

Retailers tell us. Retailers call and email us saying thank you for the voucher facilities in the software and the business implementation training that helps them leverage the vouchers to incremental revenue for the business.

Plus, we use this ourselves in busy shops that we run.

This fresh loyalty solution is a bankable facility, one that is adding genuine value to retail businesses.

Every retailer has the capacity, through the Tower Systems POS software, to set their own rules around how the discount vouchers work and are used. They can turn them on and off at will and immediately.

They can drive engagement by product type and even by customer type. The flexibility is tremendous and the levers in the POS software powerful and valuable.

Yes, this is business differentiating POS software. The results are bankable.

Using the vouchers small business retailers competing with big businesses can expect shopper loyalty to increase as they appreciate the value of an amount they understand. We hear about this regularly from customers.

Customers love that they do not have to download an app or sign up for an account to start accruing value on vouchers. They love the simplicity, ease and speed of how the vouchers work. These are keys to success for the business too.

The discount vouchers work across age groups too. Young and old love them and understand them. This is another key of their success.

If your retail business is in a challenging competitive situation, the discount vouchers could be the game changer you need to break out as the business people return to again and again for the way you appreciate their business.

Take a look for yourself, the Tower Systems POS software is packed with business building benefits you can leverage.

Planning for shopper loyalty success with POS software from Tower Systems

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Having a plan for cultivating shopper loyalty is key to every retail business.

Too often, however, retailers are tricked into thinking points based programs cultivate shopper loyalty. We think shoppers see through opaque loyalty programs.

We think they want more, genuine appreciation and encouragement.

While the Tower systems POS software offers points based loyalty solutions, it is our Discount voucher approach to loyalty that retailers rave to us about. They tell us it if these facilities that are driving measurable growth in traffic and sales.

By giving our POS software retail business customers a choice in loyalty programs they get to make the assessment as to what is best for their business situation. This flexibility is a reactor on customer loyalty for us at Tower Systems.

In this video, our CEO we provide an update on the value and flexibility of our discount vouchers. He takes yo behind the scenes on reporting available as to the performance of the vouchers in the business.

The discount voucher facilities in the Tower Systems POS software are differentiating, valuable and loved … by shoppers and by retailers. We are grateful to the hundreds of local small business retailers who have made these discount voucher tools as good as they are. Collaborating with so many on this has been a joy.

17 years ago us: Me too loyalty systems are lazy

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17 years ago on this blog we wrote about loyalty. Our views then stack up today, we think.

ME TOO LOYALTY SCHEMES ARE LAZY

With both supermarket chains pushing their fuel discounts heavily many small business retailers are joining similar schemes connected to independent fuel outlets. It seems to me that these small businesses are copying the giants because they fear it is the only they can compete – by offering the same.

This is nuts.

Fuel rebates are so common that I don’t trust them. There is no point of difference any more. I don’t trust that it is a discount off an already fair price for fuel. I don’t trust that there is any element of reward in the offering. Okay I am probably in the minority – a space for cynics. However, the reality is that Australia now has 6 or 7 fuel discount offers.

The other aspect of the fuel offer which does not make sense to me from a small business perspective is that I say thanks to a customer for shopping with me and reward them by saying, hey, go buy some fuel and there’s your reward. Why can’t I offer a reward from my own product offerings? It seems to me that I have more control and more to gain by offering reward from in house.

In house rewards allow me to be more flexible, they can be used to encourage a higher spend from the customer and they make me work smarter within my business.

Fuel discount programs being offered (pushed) on small businesses have a cost and drive traffic elsewhere and that’s where I have big problems. They are the easy way out. In the case of newsagents, offering fuel discounts as part of a loyalty strategy drives consumer traffic to retail outlets which compete with newsagents. Surely there is more to gain by rewarding newsagent customers by offering discounts on newsagent product?

Coles and Woolworths control the fuel outlets they are driving consumers to. They have purchased and established these outlets in response to consumer research. Small business does not have the same needs to move traffic cooperatively between their businesses and fuel.

Small businesses are better off rewarding from within and with a view to generating incremental business within. The win is better in your pocket.

In our Tower Systems POS software we offer retailers flexibility in terms of loyalty solutions: the old-school points approach, the coffee card type approach, discount vouchers that give shoppers off for genuine loyal engagement, and more. Core to our loyalty offer is flexibility.

The best loyalty solution for local small business retailers

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If your local retail business competes with big businesses and online businesses, you are likely copying them and their approach to loyalty. Points are the common approach. The world is obsessed with points, chasing them, collecting and trying to spend them.

But who knows that they are worth?

Each point is not the same whereas each dollar is a dollar everywhere.

The Tower Systems POS software offers a points based loyalty solution embedded in the POS software – for businesses that like to copy big business. The businesses that like to innovate, be different and stand out, however, use the discount vouchers facilities in our POS software. In these facilities there are no points accrued. rather, loyal shoppers accrue dollars. See how:

With hundreds of local small business retailers using the Tower Systems discount vouchers we have good data to speak to when encouraging local retailers to embrace the opportunity.

For years, retailers, especially independent and small business retailers, have been told to follow retail giants and reward loyal shoppers with points that can be redeemed for gifts and discounts.

Dutifully, many small business retailers acted on this – but without a thought-through strategy to achieve the best outcome for the business.

Without a financially rewarding outcome for a business, a loyalty program is worthless.

This is why retailers, in any retail channel and in any retail situation – high street, shopping mall, rural and or regional – need options in terms of shopper loyalty rewards.

While a points based program is useful, it could be that the business will benefit from a different approach.

Good POS software will offer flexibility. This flexibility can add thousands of dollars to the bottom line performance of a retail business each year.

Change the game: front-end loyalty

By using an approach we at Tower call front-ending loyalty, retailers can achieve more from first-time and infrequent shoppers. Front-ending loyalty brings a reward to the front in an effort to engage shoppers in additional purchases sooner.

Too often loyalty has been all about total spend over a year whereas above average spend in just one visit can be more valuable to a business.

It’s an approach that can encourage those who do not shop with you to purchase something else right away, to get the value of the cash discount offered.

Regular shoppers can spend the cash discount right away or come back within any time limit you set.

We started trialling this front-ending loyalty strategy in February 2013 in several retail businesses. We did it using the Discount Vouchers facilities in the Tower Systems software.

Building the basket

From the first day we saw shoppers changing behaviour.

One chap came in to purchase a specific item. When he was handed the receipt the voucher was pointed out to him – offering $2.00 off his next purchase. He was not a regular and so spent the $2.00, and more, right away on another item. He received another voucher and purchased a third item. In all, he spent three times as much as the original purchase – all because of the Discount Vouchers he received.

Around 33% of all vouchers redeemed are used the day they are received. This shows customers building the basket – adding to their purchase that day as a result of the voucher. This makes each visit more valuable to us.

Bringing shoppers back

Around 33% of redeemed vouchers are used within seven days of issue and the remaining 33% are redeemed up to four weeks after issue.

Here’s another real story: A month after we started trialling this new approach to loyalty, a customer came in and used a voucher she had picked up a couple of weeks earlier. She was happy to get $5.00 off a $45.00 item she wanted. This resulted in another voucher so she bought another item for $29.95.

This customer said she would be back. Two weeks later she was.

You control the business rules covering how vouchers are issued and redeemed. You control your financial exposure at all times.

Like any good loyalty program, you need good levers with which to drive shopper engagement and to deliver the benefits it needs to justify the investment.

The Discount Vouchers facilities in the Tower software have this.

How local small business retailers can be a big retailers in the shopper loyalty stakes

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Rewarding shopper loyalty in retail businesses has become industrial in scale, which means it is less personal, and more about the retail business than the shopper.

Too many local small business retailers think the best way to compete with big business loyalty offerings is to copy them, which means offering points to shoppers that they can then use somehow in the business.

What are points worth?

That’s the million dollar question. or, maybe, the million point question.

Because … in one shop a point is equal to a dollar, in another, it takes 1,000 points to equal a dollar, while in another it takes 10 points to equal a dollar for selected items in the shop but not everything they have available.

No wonder shoppers are confused as to the actual value of loyalty points. They are confusing.

While our awesome local retail POS software serves a points based loyalty offering, because our POS software customers wanted that, we also have an awesome, and better we think, loyalty solution that is $$$ based, that shoppers understand, and love – we say love because we have seen and heard shoppers say this. Better still, we see shoppers love our $$$ based loyalty solution through their spending patterns.

What we offer in our POS software loyalty solutions is flexibility, transparency and easy engagement.

You can have your Tower Systems POS software loyalty solution live in minutes.

It costs nothing to setup.

What you invest in it is 100% your call.

What shoppers get from it is 100% your call.

It’s a standard part of our POS software – you don’t have to pay us or anyone to participate.

Shoppers don’t need to register, which means more will engage.

This is about driving sales, as that’s key in any retail business.

Sure, likes are nice and follows are great and having plenty of members in a loyalty program makes your chest puff out … b u t  what really matters, what matters the most in any shop, in any retail business, is the business you put through your register and it is this business, what you sell and what you make from all that, which pays the bills, pays your people, pays you.

The Tower Systems approach to shopper loyalty through its local retail POS software offers a points based solution. but, better still, is the $$$ based offer that any customer can understand and with which any customer can engage, including those one-time customers you will never see again – those customers can do 2, 3, heck, even 4 transactions in a single visit. That’s what we have seen when retailers turn on our awesome POS software loyalty solutions.

Tower Systems makes POS software for local specialty retailers like jewellers, garden centres, bike shops, pet shops, newsagents, toy shops, sewing shops, homewares shops, gift shops, firearms dealers, adult shops, bookshops, farm supply businesses, mobility scooter businesses and pool maintenance and supply businesses.

It is this specialisation, this service of local small business retail that helps us provide solutions for shoppers who do shop local and who can be loyal, providing wonderful and valuable business to the local high street retail economy.

With so many retailers offering loyalty points, shoppers are confused

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A loyalty alternative in the Tower Systems POS software is loved by retailers and shoppers. While the POS software also manages points based loyalty, it is this other approach that retailers love as it offers them a pitch through which they can differentiate their business.

Here’s a 12 minute video we shot a few days ago about this: 

Loyalty is something through which local retailers can compete agains big business, yet too many play follow the leader and offer points based loyalty.

What is a point worth? Seriously, what is it worth? You can’t say as every business has their own currency, their own value for a loyalty point. Some are clear about it, while others keep the value in the shadows. This is why shoppers are skeptical about loyalty points. What are they worth anyway. Seriously.

Using the discount vouchers facility in the Tower Systems POS software, you can call it what you like bay the way, you can encourage more value from single visit shoppers as well as regulars. There are smart facilities embedded in this software to serve a variety of retail settings.

This is a perfect small business win, an easy and fast way to differentiate from big businesses that typically have a one-trick approach to loyalty – points that they can make look one way while they act another way. The dollar value showing on a receipt is understood and actionable. Points, well, what do they mean? How can you access them? How do they compare to other points? These are questions customers have.

It always surprises us to see how much money big businesses spend advertising their points based loyalty programs. it feels like they spend more than the programs themselves actually deliver.

By keeping loyalty simple and understandable you have a better opportunity for shopper engagement. This is a money in the bak opportunity that we have installed in many retail settings, with success.

Tower Systems serves specialty retailers with specialty POS software. The loyalty tools, points and discount vouchers, are available in all versions of our POS software.

We are grateful to our community of 3,000+ customers for their encouragement and guidance as we continue to evolve our software.

Small business retail advice: how to use POS software loyalty tools to encourage shoppers to spend more in a visit and come back sooner

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In a retail shop using our POS software last week we saw first-hand how the unique loyalty tools in our small business POS software helped a customer spend close to $300.00 when they originally visited the shop to purchase a $25.00 item.

The customer was grateful to have found items that were on their shopping list but that they had not considered purchasing from this shop. This bus where the smart loyalty tools kick in, they get the shopper considering beyond the one destination transaction. They give the shopper a reason to look up and look around.

Check out this video in which we discuss our loyalty tools and how retailers and shoppers interact with them.

Shopper loyalty is something to nurture, with care, as it sits at the core of local small business retailer success.

Discount vouchers genuinely differentiate your business.

  • You name the voucher anything you like and can change this at any time.
  • You set the rules on how the value of the voucher is calculated.
  • You set the rules on what the voucher can be redeemed for.
  • You set the rules on expiry dates.

Male shoppers are more likely to spend the voucher immediately and many customers use the voucher to purchase items more expensive than the items in the initial purchase made. Customers see the voucher as cash, often commenting that they like the direct approach better than a points-based system. They like the transparency and simplicity.

In our own retail experience, which sees us competing against major retailers in a Westfield shopping centre, several shoppers have stated they prefer Discount Vouchers over the rewards programs of our competitors.

We are confident that Tower Systems’ Discount Voucher facilities can help you:

  • Get customers spending more in a visit.
  • Bring existing customers back sooner.
  • Attract new shoppers to your business.
  • Drive impulse purchases at the sales counter.

Buy X Get Y Free

The “buy x, get y” pitch is a common offer in retail businesses, especially those that sell everyday items such as pet food, magazines, garden mulch and other consumable items.

In the Tower Systems software loyalty facilities you have access to a powerful and configurable BUY X GET Y facility. You can use this to track shopper engagement and ensure proper rewarding of the free product at the right time. This is an excellent tool for driving shopper loyalty without the usual manual overhead of clipping cards or managing other processes. You can also report on the reward at the right time back to the supplier to ensure you are compensated for giving away the free product. Indeed, you have various detailed reporting options.

The BUY X GET Y facility has been developed with retailers in several channels as well as with suppliers to those retailers to ensure it meets the requirements of both business participants.

The total loyalty package in the Tower Systems software is comprehensive, flexible and tuned to offer retailers choice through which they can serve their own situation with confidence and success.

How the Tower Systems POS software helps local small business retailers nurture loyalty in shoppers

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Stamping a loyalty card in a coffee shop, gift shop, pet shop, toy shop and other settings can be a thing of the past thanks to terrific tools in the smart POS software from Tower Systems.

Here is a new video we shot a few days ago explaining how to set this up in our software and how to drive sales through it…

What Tower Systems offers in terms of nurturing shopper loyalty is not new. It is something the POS software company has done for many years. And, it is something the company continues to evolve in service of better solutions for POS software retailers.

For years, retailers, especially independent and small business retailers, have been told to follow retail giants and reward loyal shoppers with points that can be redeemed for gifts and discounts.

Dutifully, many small business retailers acted on this – but without a thought-through strategy to achieve the best outcome for the business.

Without a financially rewarding outcome for a business, a loyalty program is worthless.

This is why retailers, in any retail channel and in any retail situation – high street, shopping mall, rural and or regional – need options in terms of shopper loyalty rewards.

While a points based program is useful, it could be that the business will benefit from a different approach.

Good POS software will offer flexibility. This flexibility can add thousands of dollars to the bottom line performance of a retail business each year.

The Tower Systems Point of Sale software supports multiple loyalty options that include: a traditional points based approach, interfacing to the respected Vii Accumulate loyalty platform, interfacing to the equally respected Transactor loyalty platform, interfacing to Flybys NZ and offering a unique and flexible front end loyalty solution.

Having so many options available provides Tower Systems retail partners with commercially valuable flexibility.

The loyalty platform selected by a business depends on the needs of that business. A business that chooses POS software without broad flexibility will be limited in what they can achieve for their business with their software.

Offering flexibility as well as certainty provides loyalty solutions that local small business retailers can embrace and love, and their customers can love.

Black Friday sales for retailers using POS software

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Embedded in the Tower Systems POS software are smart tools for leveraging Black Friday sales opportunities and more. These are tools that have multiple levers, multiple opportunities for retailers with which to compete with online retailers and big businesses.

Black Friday sales can be won by being smart and engaged, going beyond the usual straight discount. There is where the POS software from Tower Systems can help small business retailers differentiate.

Thanks to the seamless Shopify link, selling online to win Black Friday sales is achievable too with minimal business investment.

With the Black Friday sales a few days away, Tower systems has been busy offering advice and help to small business retailers, to help them make the most of the opportunity in 2020. We have been doing this based on experience in past years and as a result of our work across plenty of retail channels in physical stores using our POS software as well as online.

Black Friday and Cyber Monday and now key selling opportunities for retailers and our job as a POS software company is to offer our retail business partners opportunities to leverage these opportunities as much as they are able in-store and online.

Our Black Friday sales opportunities include bundling, BOGO offers, hampers, straight discounts, bonus product offers, post sales discounts and more. There are plenty of opportunities for helping small business retailers to have a terrific Black Friday opportunity this year.

It is easy for small business retailers to say Black Friday is not for me. We disagree, there are many opportunities that we see. It takes planning and engagement and this is where the options available ion our POS software come to play to help drive sales outcomes.

From our help desk team members to our marketing team to our leadership team, we are able to help small business retailers to win terrific business in Black Friday and Cyber Monday sales. Our goal is to help many retailers new to Black Friday to have a terrific experience.

Black Friday is a good example of how we help beyond our POS software by itself. We have in the software tools that help achieve this. We back this with advice and support. We do this from the context of our own retail business ownership and management experience – reaching beyond what’s traditional for a software company.

A marketing tip small business retailers can leverage into additional revenue, easily

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Use this unique facility to drive sales in any retail business and nurture optimism in the business and among customers.

It’s a bold claim. A true claim though in that we have the evidence to show that what we talk about here works, and works well, in hundreds of retail businesses.

Loyalty points are dead. Big businesses killed them, made them useless.

While our specialty retail POS software has a loyalty points program you can use, it is our smart discount vouchers that retailers in our community of 3,500+ retail; businesses love. Discount vouchers are part of broader loyalty tools we offer.

Note, we call them discount vouchers – you can call them what you like. The facilities give you leverage that you can employ to encourage shoppers to spend more and shop with you sooner.

Here’s a video from June this year in which we show how vouchers work and provide examples of the value they offer the business for little or no cost.

Here is a video we shot in August this year where we look at discount vouchers in more detail and explore what it looks like inside the business.

We use discount vouchers in retail businesses we operate and have done so since we first released the functionality in February 2013. They work a treat, delivering net beneficial value at no cost to the business.

The fundamental question for any retailer is do you want to grow your business? The answer, of course, is yes. Discount vouchers provide the means through which you can do this. It starts by changing the conversation, by offering something your competitors do not offer and, most likely, cannot offer.

By changing the conversation you drive a different shopper expectation and that helps shoppers see your business through a different light.

People like being rewarded for doing what they would do anyway. Through fine-tuned levers, you are able to nudge their engagement to go beyond what they would do and you can factor the cost of nudging into your pricing.

Across plenty of retail channels, discount vouchers deliver commercial benefits for retail business. Plus, they offer a community group connect that further enhances their value to the business as well as to the local community.

POS software loyalty solutions for small business retailers

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The Tower Systems POS software offers  several proven loyalty software solutions for driving shopper engagement.

  1. Thank you voucher. You set the rules and term. Tis works best for shoppers who shop with you infrequently.
  2. Loyalty points. Tried and true. Old-school. But people love it. Data driven.
  3. MultiBuy. Like the coffee card, but better.
  4. Plus, a mixture of all 3 if you want. yes, the best of everything, easily setup in our POS software.

When it comes to delivering shopper loyalty solutions, our POS software has you covered, tailored to the needs of small business retailers.

For years, retailers, especially independent and small business retailers, have been told to follow retail giants and reward loyal shoppers with points that can be redeemed for gifts and discounts.

Dutifully, many small business retailers acted on this – but without a thought-through strategy to achieve the best outcome for the business.

Without a financially rewarding outcome for a business, a loyalty program is worthless.

This is why retailers, in any retail channel and in any retail situation – high street, shopping mall, rural and or regional – need options in terms of shopper loyalty rewards.

While a points based program is useful, it could be that the business will benefit from a different approach.

Good POS software will offer flexibility. This flexibility can add thousands of dollars to the bottom line performance of a retail business each year.

The Tower Systems Point of Sale software supports multiple loyalty options that include: a traditional points based approach, interfacing to the respected Vii Accumulate loyalty platform, interfacing to the equally respected Transactor loyalty platform, interfacing to Flybys NZ and offering a unique and flexible front end loyalty solution.

Having so many options available provides Tower Systems retail partners with commercially valuable flexibility.

The loyalty platform selected by a business depends on the needs of that business. A business that chooses POS software without broad flexibility will be limited in what they can achieve for their business with their software.

From a voucher to points to a free gift, our Tower Systems POS software helps small business retailers stand out, to bring shoppers back sooner and to guid them to spend more. This is good business for small business retailers and we are grateful to help.

Awesome POS software loyalty tool helps local small business retailers differentiate from big businesses and online

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Points are dead in retail loyalty rewards. They have dubious value. Everyone offers them. They serve the businesses more than the shoppers.

While our awesome specialty retail POS software offers points based loyalty, it is our other loyalty offer that retailers and shoppers love. It’s unique, based on real value, able to be setup for no cost and is easy to adjust as the business needs change.

Better still, this unique and game-changing approach to loyalty offers one-time or rare shoppers an opportunity to spend more in a visit, making that one-0time list more valuable to the retailer. It encourages greater spending. It shows the way.

Big businesses don’t copy this unique approach to loyalty because it does not work for their selfish business model. It is differentiating for indie retailers, especially local retailers who are competing with big businesses.

Tower systems pioneered this fresh approach to loyalty in 2013. We have tweaked the loyalty tool in pour POS software since, keeping it fresh and ensuring that it serves the needs of our retail partners.

In competing with online, this loyalty tool is an easy winner. It appreciates the shoppers in-store in a way that online cannot do. It encourages, respects and appreciates those in your shop today and that alone can be the trigger to get them even more engaged with your shop.

It is that simple and successful. We have hundreds of success stories with this tool.

Points are dead if you want your business to compete. Tower Systems offers tech built into our POS software and we back this with business training and advice on implementation. It is genuinely a game changer, a unique loyalty solution fort small business retailers.

Loyalty systems have been around in retail for decades. Too often, small business retailers copy big business, and fail.

A good loyalty system will get shoppers spending more, doling more than is usual, and doing this at little or no cost to a retail business.

A good loyalty system will be loved by shoppers.

A good loyalty system offers shoppers flexibility.

A good loyalty system has little or no management overhead.

A good loyalty system reveals insights about your business that are helpful, impactful and revealing.

A good loyalty system helps you grow your business, helps you make your business more valuable.

This is about Loyalty 2.0 – a fresh approach to shopper loyalty for small business retailers.

What we offer embedded in our Tower Systems POS software is an awesome solution, ready for use in any type of shop.

Smart POS software helps garden centres drive sales between major seasons

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Garden centres are often seasonal business with shopper traffic and sales peaks at predictable times of the year. They are also businesses that attract more first-time shoppers than many other retail businesses.

The seasonal traffic peaks and first-time shopper visits present opportunities that are not leveraged as much as they could be in garden centres.

Change the game: front-end loyalty

By using an approach we call front-ending loyalty, garden centres can achieve more from seasonal growth and first-time shoppers. Front-ending loyalty brings a reward to the front in an effort to engage shoppers in additional purchases sooner.

It’s an approach that can encourage those who do not shop with you to purchase something else right away, to get the value of the cash discount offered. It’s in our Garden Centre POS Software.

Regular shoppers can spend the cash discount right away or come back within any time limit you set.

We started trialling this front-ending loyalty strategy in February 2013 in several retail businesses including a garden centre. We did it using the Discount Vouchers facilities in the Tower Systems garden centre software.

Building the basket

From the first day we saw shoppers changing behaviour.

One chap came in to purchase a specific item. When I handed him the receipt we pointed out the voucher offering $2.00 off his next purchase. He was not a regular and so spent the $2.00, and more, right away on another item. He received another voucher and purchased a third item. In all, he spent three times as much as the original purchase – all because of the Discount Vouchers he received.

Around 33% of all vouchers redeemed are used the day they are received. This shows customers building the basket – adding to their purchase that day as a result of the voucher. This makes each visit more valuable to us.

Bringing shoppers back

Around 33% of redeemed vouchers are used within seven days of issue and the remaining 33% are redeemed up to four weeks after issue.

Here’s another real story: A month after we started trialling this new approach to loyalty, a customer came in and used a voucher she had picked up a couple of weeks earlier. She was happy to get $5.00 off a $45.00 item she wanted. This resulted in another voucher so she bought another item for $29.95.

This customer said she would be back. Two weeks later she was.

You control the business rules

Like any good loyalty program, you need good levers with which to drive shopper engagement and to deliver the benefits it needs to justify the investment.

The Discount Vouchers facilities have this.

You control the amount of each sale you are prepared to give away on the voucher.

You control the products the voucher can be used for.

You control how long the voucher is live for. We suggest 28 days but I have some retailers setting this at 90 days.

Helping your garden centre business

With big box stores like Bunnings and Masters offering their corporate loyalty programs, it’s important for garden centres to offer a genuine point of difference.  Discount Vouchers offer this.

While their approach is very corporate, your approach can be more flexible and more focused on early rewards. Over the months of trialling we have seen changes shopper behaviour, it gets them spending more with you.

We are confident this fresh approach to loyalty is a game changer for any garden centre business. The control you have enables you to easily manage the cost and the value you gain from the program.

This really is a new approach to bringing shoppers back sooner and getting them to spend more with you.

POS software loyalty 2.0 for small business retailers

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Loyalty systems have been around in retail for decades. Too often, small business retailers copy big business, and fail.

A good loyalty system will get shoppers spending more, doling more than is usual, and doing this at little or no cost to a retail business.

A good loyalty system will be loved by shoppers.

A good loyalty system offers shoppers flexibility.

A good loyalty system has little or no management overhead.

A good loyalty system reveals insights about your business that are helpful, impactful and revealing.

A good loyalty system helps you grow your business, helps you make your business more valuable.

This is about Loyalty 2.0 – a fresh approach to shopper loyalty for small business retailers.

Discount vouchers have been in our POS software for more than six years. They are one of several valuable shopper loyalty tools designed to drive revenue and return shopper visits.

Yet, discount vouchers are the most misunderstood.

Setup is easy. It takes a few minutes. Change is easy, with changes taking effect immediately. Management its easy thanks tp three awesome reports. Pitch is easysince you can call them whatever you like, what is appropriate to your business.

The mistake most retailers make is overthinking. Stop that! Set Discount Vouchers up and see how your customers respond. Adjust accordingly.

In our experience, on average, only 20% of vouchers handed out are redeemed. Those offered with the least rules achieve the best commercial outcome for the retailer.

Remember, the $$$ opportunity on the discount voucher is a good reason to review pricing, to factor in the cost of voucher redemption.

So…

  1. Choose what you want to call them: Discount Voucher; Bonus Bucks; Thank You Gift; Come Back Again Gift; Appreciation Voucher; Pass It On $$$.
  2. Set your settings. Know they can change as you learn more.
  3. We suggest a 28 day expiry.
  4. Have the voucher value show as $$.
  5. Let vouchers be redeemed for as many different products as possible.
  6. Go!

ADVICE ON PROMOTING DISCOUNT VOUCHERS.

Every time a voucher prints, present it to the customer by placing it on the counter facing them with your finger next to the amount and say, while maintaining eye contact, hey you have a voucher here for $x.xx that you can use in store in the next 28 days. Well done.

Make sure that everyone working at the counter knows that the success of vouchers depends on their pitch.

Now, if they complain about the low voucher value have a response like hey it’s appreciation that almost no other business around here will show you.

Guys are more likely to spend the voucher right away.

Girls are more like to collect vouchers and put them together, which we recommend you allow.

What you want to see when you have out a voucher is for them to lift their hear and turn to look back into the shop, thinking of what they could buy.

GOOD LUCK!

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To find out more about our awesome POS software and support fir indie specialty retailers, please call our sales team on 1300 662 957 or email them at sales@towersystems.com.au.

Tower Systems is an Australian POS software company serving 3,500+ specialty retailers in Australia and New Zealand.

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