Using the Science of Habits to Create a Successful Loyalty Program
There are many theories as to why some loyalty programs succeed while others either fail or exist on autopilot without generating ongoing customer engagement. The science behind habitual consumer behavior offers insights that loyalty marketers should leverage when designing and implementing loyalty programs. Successful Loyalty Programs Drive Habit Formation Creating a successful loyalty program isn’t just about offering members cool perks and rewards. It’s about tapping into the behavioral cues, routines, and rewards that will create a habit to drive repeat purchases over and over again. Amazon Prime is a notable example. With two-day shipping and free returns, Amazon is daring shoppers to make their purchases elsewhere. A habit has been formed to check Amazon first and, as a result, businesses across industries are searching for ways to compete with shoppers who price-compare in-store. How did this habit form? To start, we must understand that humans are innately lazy and our brains…