An Ultimate Guide To Run the Best Loyalty Program for Salons

by Deepa Bagga

Customer loyalty

Convert every visitor into a repeat customer by following these effective and easy-to-execute tips to create a strong loyalty program

What will the Best Loyalty Program look like in a salon?

Picture this scene for a moment! A customer walks into your store, gets a hair service- spa and cut probably along with some smoothening, and walks out. What did you do? You just got them to pay the bill, and they thanked you for a wonderful treatment. At the checkout, they couldn’t stop appreciating their hair, and you knew you had a customer who felt good.

But, instead of letting your customer go with a raving review, why not encourage them to come back again and again. Well, this is what a strong loyalty program can do for you.

As a salon owner, you might be aware that customers keep needing salon services every now and then. How about engaging them with a customer incentive program that rewards them for coming back?

If you are still confused about why your salon needs a loyalty program, take a look at these benefits and you will have your answer!

Top Loyalty Program Benefits for a Salon

The question you are probably asking us and yourself is why you need a loyalty program.

1. Increased Customer Retention and Engagement

We just showed you how you can turn a regular visitor or a one-time visitor into a repeat customer. Show them the rewards they will get from joining the program, and you will have repeat customers that will bring more business to you. Customer engagement and retention goes a long way. Higher the customer retention, more the customer loyalty.

2. Strengthens Brand Recall

As a salon owner, you want more people to recognize and visit your salons. This can happen only when you begin your brand’s loyalty campaign and start sending communication to the loyal customers. Every time they receive a communication from your business, they will connect better and your business will eventually be at the top of their minds

3. Better Salon Days

Every salon experiences a dry day. However, when you are running your loyalty program, you have a good base of loyal customers. You can engage them with messages that will motivate them to come down on a slow day and get a discount/freebie. Use your customer database to engage better.

4. Maximize Revenue

Designing effective, relatable, and fun loyalty marketing programs helps in increasing your brand awareness and retaining the existing customers. As your customer retention rate goes high, your sales go high as well, resulting in an increase in the revenue. You have to trust the fact that repeat customers spend more than the new ones and even improves your customer loyalty.

Tips for a Winning Loyalty Program

1. Integrate your POS

It is important you integrate your point-of-sale to automate collecting customer data into the program. You don’t want to add every single customer who has visited your program manually.

With the automated capturing, you will get all the data that the customer provides at checkout. It will also help you know your customers better. For instance, the data will let you know what customers love most, what kind of services they opt for on a regular basis, and what they enjoy at your salon.

It will help you create effective rewards for the program, and maximise participation. Through loyalty program platforms like Reelo, you can integrate POS effortlessly and capture & reach every customer.

2. Add Interesting Reward Stages

As a salon owner, you might have to think through the rewards that will entice the customer. For instance, a free hair wash with hair cut or even styling with hair cut can make them visit the salon for the hair cut. If you are going to take the basic troubles off their hair cut, they will enjoy the hair sessions more.

You could even offer a 10% discount on the services they take.

A tip that we generally offer is that you should go for a 7-20% discount for the reward stages. This way it will stay profitable to you and the customers will find it valuable.

Make sure to add multiple stages so that customers accumulate the points and redeem the rewards. Basically, the process should be fun and seamless for the customers. A loyalty rewards platform like Reelo can make it easier for you to design your loyalty program, set your own rewards, and send it to your customers with personalised messages.

3. Make Redemption Easy

One of the most difficult aspects related to a loyalty program is the redemption of the reward. Often customers find it difficult to redeem their rewards, which leads them to move away from loyalty marketing programs.

You need to ensure that redeeming a reward is easy and accessible. With Reelo, you can remove all the hassle, create customer loyalty programs, and make rewards easily accessible to you.

4. Educate your Staff

A loyalty program is successful only when everyone who is customer-facing understands the rewards program. Make sure the staff knows how the loyalty rewards program works. Ask them multiple questions like a customer would. It will help you know how much they understand. You should also show them how they can redeem the rewards in the POS. Once you are sure the staff understands, you know the customers would know and understand the program too.

Summing Up

It is important to promote your loyalty program to the right people. The more you let customers know of the program, the more people will actually participate. Try and make the rewards as personalised and in sync with the customers as possible. This will increase repeat customers for your business too. A loyalty program is good only when the customers start participating and redeeming the rewards. Try Reelo for free and start designing your own loyalty program!

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