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Member acquisition is a key driver for successful loyalty programs. While research shows that existing members provide the lion share of revenue for your brand, you still need to attract a steady stream of new prospects that you can nurture into tomorrow’s loyal members.

Offering an immediate incentive upon joining attracts more members to your loyalty program. For example, you can offer new members double points upon enrollment, a half-off discount or a “buy one get one free” offer. Nothing motivates consumers to spend like an incentive. You’re demonstrating that you appreciate their business and that your loyalty program offers value.

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Stay connected with your members. Take every opportunity to engage, whether you are sending birthday bonuses or offering seasonal discounts. Keep them updated on where they stand. If you remind members that they are a single purchase away from redeeming a reward, they’re much more likely to complete a purchase.

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With tiered loyalty programs, brands have expanded opportunities to increase loyalty, engagement and spending with members who have demonstrated willingness to spend with you. Tiered loyalty programs drive engagement among your most desirable members. Structure the rewards to provide more value as members climb tier levels, promoting increased spending.

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A key success indicator for a loyalty program is a low churn rate - that is, the percentage of members “at-risk” of leaving your loyalty program. Reducing churn is vital because it directly impacts your total revenue. Acquiring new members costs significantly more than retaining existing members, so implement retention strategies to re-engage members before they lapse. Remind them you’re there with a friendly email that offers points or a discount. Re-engage and incentivize customers, reminding them that you’re ready and waiting to welcome them back.