Here is a video explaining how a Loyalty Rewards Program can be implemented on an E-Commerce website:
NOTE: It's applicable only for those merchants who have an E-Commerce-only implementation.
Characteristics of an E-Commerce Implementation
- Purchase Type: Made by end customers on the website only. Customers may browse the website on mobile phone. No other channels or physical stores or apps.
- Redemption Type: Customers will redeem their rewards on the website only.
- Technology: Standard E-commerce carts like Shopify, BigCommerce, Magento, Salesforce Commerce, Demandware, Prestashop, 3dCart, Miva, etc. Or a Custom Cart Implementation.
- Program Design (Marketing): Decide on design type, activities, rewards, tiers, referral program
- Customer Facing Elements (UI/Marketing): Dashboard look and feel, Email notifications, Onsite notifications
- User Experience: Process Flow (Marketing): Navigation links, Rewards, Redemption, Returns
- Program Visibility (UI/Marketing): Explainer page, Links on website, Onsite placement, Promoting referrals via Email
- Program Configuration (Marketing): Entering the program design components into the admin console
- Program Live Launch Testing (UI/Marketing): Launch testing, pre-launch check list
- Post-Program Promotion (Marketing): Import members, import older purchases, email to user base, promotions calendar
3-Phase E-Com Implementation
- Phase 1: Loyalty Essentials (+2 weeks): You basically get the program launched with minimal complexity as fast as possible. You can start with Points for Purchases, have a Referral Program and give points for sharing on Facebook, Twitter and Pinterest. Then as a reward you can give a simple $ off coupon.
- Phase 2: Loyalty Complete (+2 weeks): You can start to add bells and whistles to complete the program and promote the program aggressively to customer base. Here you can add points for reviews, add custom activities or business rules for awarding of points. In terms of Rewards you can consider probably giving a free product in exchange of points.
Just to keep in mind that all this may need some custom setup and may require some involvement of the IT team.
In terms of promotions you can have a page introducing to the loyalty program and buttons/links on the homepage leading to such a page. You can also have an email blast introducing the program and you can also import older customers letting them know of the newly launched program.
- Phase 3: Loyalty Advanced (+4 weeks): This will most definitely need some custom work and the idea is to fine tune the program to maximize engagement and revenues and deeper integration to streamline user experience. You can start incentivizing for custom activities that you really want users to do. You can then allow users to redeem points dynamically at the checkout page and use webhooks to apply coupons directly to the user's account.
Then in term of the promotion, you can start showing points available to customers at different places on the website. You can create various marketing promotions based on business rules and create email campaigns to promote the program.
Please refer to the attached file for the checklist: https://drive.google.com/open?id=1VQkyqB67zHRuOD-ALuWyBAjBQ8bAm8b6