Client loyalty, online and in store, has become a common component of today’s commerce. For years, companies have been rewarding clients for purchases. Now, because of the “rewarded spend” mentality, people’s purchases are influenced by points and perks, and businesses are expected to offer loyalty programs.
The key to a loyalty system’s success is to build a culture around the system within your salon. Your website, your online booking, your point of sale software, and your staff should reflect your loyalty system. Too many times have we seen people launch a great loyalty system that nobody understands, employees are skeptical of (“Am I going to get paid if someone uses points?”), and has irrelevant or inconsistent marketing materials.
The goal of a loyalty system is to affect client behaviors. Giving away points for every dollar in service or retail spend is not what drives change. Rewarding points for referrals, trying a new service, or spending more than a set dollar amount, are examples of ways to achieve positive change. This kind of positive change will lead to an increase in your bottom line and overall growth of your business.
The other thing I recommend is to have a policy in place where points can only be redeemed for “whole items”. In other words, a client needs to have, say, 40,000 points to buy a $40 haircut. They can’t use 20,000 points and pay $20 for a half price haircut. Or, they may need 12,000 points for a $12 bottle of shampoo; they cannot use points toward partial payment or tip. Having a policy in place like this will make managing your client loyalty program easier and will encourage the guest to work on building their points, thus increasing their frequency of visit.
Lastly, I strongly suggest building a loyalty system that will not only help your business grow, but also become one you believe in. If you build a system that influences your clients’ buying behavior, the idea of providing a “free” haircut should not be of concern. Additionally, you want to pay your staff as if they received cash for their services, so they believe in, and are excited about, the loyalty system. If you build a culture around a client loyalty program that you believe in, your staff will be more inclined to speak to it, and the more likely it will become a success.