The New B2B Buying Journey Series: Customer Loyalty Programs

Customer loyalty programs have typically been seen only in the B2C space, but just like customer experiences, B2B buyers are now expecting more from their vendors. You owe your customers loyalty as much as they owe it to you and a B2B loyalty program is a competitive differentiator that’s NOT price-driven.

Customer Loyalty Programs for Relationship Building Having a customer successful loyalty program gives you a tool that not only provides valuable customer data but also creates more opportunities for you to gain contact with customers and nurture your relationship between transactions.

66% of marketing executives believe customer loyalty programs are a way for their consumers to show how loyal they are to their business yet... 73% of B2B consumers feel customer loyalty programs should be a way for brands to show how loyal they are to them as a customer 60% of B2B consumers report they have never had an experience with a brand that made them feel special Reward Loyal Customers The cost of acquiring new customers is 5 to 10 times more than the cost of retaining a current customer, so building customer loyalty is one of the more effective B2B eCommerce marketing strategies.

B2B consumers are often looking for long-term partnerships which makes this dynamic a perfect foundation for implementing a customer loyalty program.

This is an excerpt of the information available within “The New B2B Buying Journey: 6 Digital Trends to Drive Sales.” Download the entire on-demand webinar .

Effective B2B Loyalty Strategies In order to develop a meaningful B2B customer loyalty program, you need to dive into your customer data and analyze their buying habits to create a “best-fit” loyalty program strategy.

Tier Incentives Tier incentives can engage customers right from the start. by prompting them to purchase more and become repeat customers. You can start with primary rewards to encourage customers to sign up for your program and offer more valuable and attractive rewards to existing customers as they increase their purchasing volumes. A tiered customer loyalty program rewards those who purchase more - increasing overall motivation and at the same time matching compensation more closely with revenue contributions.

Transaction-Based Immediate Discounts Transaction-based discounts echo the B2C approach but still work well for B2B. After completing an order, customers are offered a discount that can be applied to the current or a future purchase. This reward method is typically used to encourage clients to join your loyalty program.

Referral Programs Referral programs are probably the most popular and easiest to implement. Word-of-mouth marketing is just as important (if not more important) in B2B as it is in B2C. Reward customers who share your name and recommend your loyalty program to others. Since membership requires direct business, one referred client can mean additional revenue and increase your customer lifetime value.

Member Events As a rule, B2B customers tend to build long-term and sustainable relationships with partners and suppliers. Arranging member events allows you to take advantage of face-to-face communication and gives businesses a great opportunity to recognize their clients in person, strengthen ties, and learn about their product experiences first-hand.

Partner with 3rd Parties and Resellers Establishing strategic partnerships with companies that provide complementary products or services allows you to position your business as a one-stop shop for your customers and increase engagement opportunities. Creating customer loyalty programs for your distributors and resellers is another great strategy to help build a strong distribution network and increase brand awareness.

TL;DR Done right, customer loyalty programs can replace blunt instruments of discounting and heavy promotions with precision instruments that reduce monetary discounts while expanding customer benefits in many other ways. Thinking creatively about how customer loyalty enables businesses to benefit from enrollment will help with customer retention and ongoing customer acquisition.

This six-part blog series takes a closer look at the components of a B2B eCommerce buyer's new journey. To read more, visit our blog .

B2B buyers now have much higher expectations. Let us help you expand your reach and improve efficiencies. Smart Solutions is 100% dedicated to your success.

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