Loyalty Program Tips According to Spinal Tap

By | November 3, 2023 | Guest Engagement

Happy 11/3! In one week, it will be 11/11, AKA Nigel Tufnel Day. In order to share our love of England’s Loudest Band and Loyalty Programs, we’re going to share a few pointers on optimizing your brand’s loyalty program, straight from past webinars featuring the strategists on our Strategy & Analytics team. So whether you’ve been a fan of Spinal Tap since their days performing at the Electric Banana or you’re a brand seeking the best loyalty advice from the team who pioneered digital guest engagement, we’ve got some loyalty program pointers that will impress you with their punctuality.

Were you hoping for a detailed report on loyalty trends instead of tips on optimizing your loyalty program set to “Stonehenge?” Check out our Loyalty Report: 2023 for the biggest loyalty data release of the year.

  1. Disconnect from Dollars

Just remember, when you’re designing a loyalty program, use the correct units. Making a big thing out of these units is a good thing.

This drives the focus away from the dollars being spent and focuses guest attention on the rewards they are earning.

2. Get guests to their first reward, fast

It’s important to wow your customers with your loyalty program’s exuberance, raw power, and punctuality.

3. Small and infrequent is better than large and frequent

Rewards are like drummers. It’s better to have the reward come fast like an explosion or a bizarre gardening accident that is better left unsolved.

4. Design core for the 50th-90th percentile

You want to appeal to your core crowd? You can make your rewards program completely black.
Like so black that is can’t be any blacker.

Or you can target the 50th – 90th percentile of visitors. These frequent and semi-frequent visitors are the ones who drive loyalty programs and revenue, making them the key target.

5. Don’t give away too much; aim for 4-8% of core program value

To quote the greatest hit of Spinal Tap’s precursor, the Thamesmen:

“Stop wasting my time
You know what I want
You know what I need
Or maybe you don’t

Do I have to come right flat out and tell you everything?
Gimme some money, gimme some money”

Don’t spend your entire budget on the core program, save funds for promos within your program. If your core program is $1 = 1 point and a reward is given at 100 points then the reward should be around $4-8.

6. Finally, reward good behavior

Spinal Tap’s manager, Ian Faith, carries a cricket bat as a “totemistic thing, even though it has come in useful in a couple of situations.”

While we don’t recommend a good, solid piece of wood in your hands when you work with your guests, a softer solution is simpler: when guests demonstrate the behavior you want, reward them.

Good night Springton, there will be no encores! Though if you’re interested in learning more about running an effective loyalty program, check out our e-book on Revamping Your Loyalty Program or contact our Strategy & Analytics team to see how we can help. Rock on fellow Spinal Tap lovers!

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The Author
Listening to the market, making recommendations for scalable product requirements, and developing useful content are the services that Pamela's group brings to Paytronix users.

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