In the dynamic landscape of consumerism, loyalty programmes have evolved into a $5.5 billion market, poised to reach $24 billion by 2028. As ubiquitous as smartphones, these programmes have become an integral part of the consumer experience, with a staggering 90% of brands now offering some form of loyalty initiative, according to Queue-It. The bedrock of successful loyalty programmes lies in their ability to cultivate and retain a devoted customer base.

According to a recent Harris Poll survey, nearly 4 in 5 Americans (79%) actively participate in loyalty programs, with 67% engaging with more than one. It’s a symbiotic relationship — customers relish the perks, while brands witness a 15% to 25% increase in revenue from their most loyal patrons.

Loyalty programmes are becoming increasingly popular in Nigeria, as brands recognize the benefits that they can offer to both customers and businesses. A loyalty programme is a marketing strategy that rewards customers for their continued patronage. This can be done in a variety of ways, such as offering discounts, exclusive products, or early access to sales.

To create a successful loyalty programme in Nigeria, brands have to do the following:

Offer valuable and exclusive rewards: The rewards that you offer should be relevant to your target audience and provide genuine value. They should also be exclusive to loyalty program members.

Make it easy for customers to join and participate: The sign up process for your loyalty program should be simple and straightforward. Customers should also be able to easily track their progress and redeem their rewards.

Promote your loyalty program: Let your customers know about your loyalty program and how they can benefit from joining. You can do this through your website, social media, and in-store signage.

Track your results: It is important to track the results of your loyalty program so that you can see what is working and what is not. This information can be used to improve your program over time.

Increased customer retention and repeat business: Loyalty programs can help brands to keep their customers coming back for more. When customers are rewarded for their loyalty, they are more likely to continue doing business with the brand.

Boosted customer lifetime value: Loyalty programs can help brands to increase the customer lifetime value of their customers. This is because loyal customers are more likely to spend more money with the brand over time.

Driven sales and revenue growth: Loyalty programs can help brands to drive sales and revenue growth by encouraging customers to spend more money. Customers who are enrolled in a loyalty program are more likely to make impulse purchases and spend more money than they originally intended.

Gained valuable customer insights: Loyalty programs can help brands to gain valuable customer insights. By tracking customer behavior and purchase history, brands can learn more about what their customers want and need. This information can be used to improve products and services, develop targeted marketing campaigns, and create a more personalized customer experience.

Strengthened brand loyalty and affinity: Loyalty programs can help brands to strengthen their relationships with their customers. When customers feel valued and appreciated, they are more likely to be loyal to the brand.

Discounts and rewards: Loyalty programs offer customers a variety of discounts and rewards. This can help customers to save money on their purchases.

Exclusive perks and offers: Loyalty program members often receive exclusive perks and offers that are not available to the general public. This can make customers feel special and valued.

Early access to products and services: Loyalty program members often have early access to new products and services. This can give customers a chance to try new things before anyone else.

Personalized experiences: Loyalty programs can help brands to provide their customers with more personalized experiences. By tracking customer behavior and purchase history, brands can tailor their products, services, and marketing messages to each individual customer.

A sense of belonging and community: Loyalty programs can help customers to feel like they are part of a community. When customers interact with other loyalty program members, they can share their experiences and build relationships.

Jumia One: The Jumia One loyalty program is a subscription service that offers members a variety of benefits, such as free shipping, exclusive discounts, and early access to sales.

Konga Prime: The Konga Prime loyalty program is a subscription service that offers members a variety of benefits, such as free shipping, exclusive discounts, and early access to sales.

PayPorte Rewards: The PayPorte Rewards program is a free loyalty program that rewards customers for every purchase they make. Customers can redeem their rewards for discounts on future purchases.

Loyalty programs can be a powerful tool for brands to grow their customer base and bottom line in Nigeria. By offering valuable and exclusive rewards, making it easy for customers to join and participate, promoting their loyalty program, and tracking their results, brands can create loyalty programs that customers love.