Trade and Channel Loyalty Programs are universally accepted to be efficient drivers for long term loyalty. But many times, clients look for ways and means to achieve short term tactical objectives as well. By keeping a few pointers in mind while designing a loyalty program, short term tactical objectives can also be addressed through them. In this article, we explore the various ways to do it.
Typically, loyalty programs have a base points structure which is linked to the value of the transactions. On top of this one can have the following bonus points structure to drive short term objectives.
- Focus Product
- There can be additional points given on the transaction of identified focus products. These can be new product launches, liquidation stock, seasonal SKUs, etc. Points structure can have focus products included throughout with the actual products changing every month or quarter. This structure ensures boosting sales of identified products.
- Limited period offer
- During lean times or festive periods, one can run additional points scheme on all transactions. We witness this in many industries where these kind of offers generate huge growth in sales especially during high demand periods. Specifically, double points during the launch as Muhurat bonus or preceding Diwali as Festive bonus are very popular with the trade in many industries.
- Target linked schemes
- For key quarters or peak seasons, it helps to give specific targets to the trade partner so that everyone knows what to gun for. The reward can be in terms of additional points or special prizes such as Gold vouchers or Foreign trips.
- Lucky Draw offers
- Nothing excites the trade partners more than a chance to win disproportionate rewards. Lucky draws tend to create high levels of excitement and need lower investment as only the lucky few will get the rewards. Lucky draw offers can be run on top of loyalty program using the same communication channels and procurement teams.
All these offers can be run on overall sales or on specific products to drive their sales. There is an important collateral benefit of doing this kind of activities as well. Loyalty programs with fixed points structures tend to be forgotten by the partners after a while. These special offers create excitement and partners tend to look forward what is the next offer that’s going to happen. This helps in ensuring top of the mind recall of the program.
We at Channelplay have considerable experience in running engaging Loyalty Programs which include all such schemes. If you want us to help you design loyalty programs for your partners, please leave an enquiry in the form in the following link and we will get back to you promptly.