5 Ways You Can Use Loyalty Programs to Reduce Abandoned Cart Rates

Do you know how often a potential customer abandons their cart before checking out? Why not try Loyalty programs to bring customers back to your site? A solid loyalty program will help in reducing a big chunk of your cart abandonment rate. You might have launched a loyalty program. But, still, you didn’t capture enough sales?

When handled right with an appropriate strategy, loyalty programs will result in a reduced cart abandonment rate. This article looks at five best ways to reduce the abandonment rate with a fantastic loyalty program. It helps you to stop your customers from bouncing back from your store without purchasing. 

5 Ways You Can Use Loyalty Programs to Reduce Abandoned carts on Your Store 

Every eCommerce shopper visits an e-commerce store for many reasons. Apart from the intent to purchase, many reasons make them visit an e-commerce store. Likely, there are myriad reasons why a store visitor abandons their cart without completing the checkout process. 

Your visitors may think something like, 

  • I don’t feel like registering
  • I need to pay more for shipping
  • The price is too high
  • I don’t want to purchase

When these are the thoughts of your visitors, let us make it simpler with loyalty programs. Let us discuss the ways to convert those visitors with the loyalty programs. 

1.Encourage registration by promoting Loyalty membership offers

You can use this way exclusively for visitors who do not feel like registering in your eCommerce store. But, the challenge here is, no customer wishes to share their personal information. Even research says so. Around 23% of customers abandon their carts to avoid the registration process in the eCommerce store. 

loyalty program

To skirt this issue, you can bring in a guest checkout option like the above image. The guest checkout options throw many benefits to the customers who register in it. The customers registering as a guest will get, 

  • Tracking purchase history
  • Product recommendations based on previous purchase
  • Setting customer behavioral profiles
  • Receiving feedback
  • Higher engagement

Added, the good news is that loyalty programs also encourage customers to register. Loyalty program memberships will always require a customer to register to earn and redeem the program’s points. It seems pretty straightforward. 

You can incentivize your customers to create an account that helps them earn more points out of the loyalty program. They also get access to coupons, free shipping, and other exclusive discounts. Foreseeing the benefits, the customers would probably create an account in your eCommerce store. 

2. Provide “Free Shipping” For Brand Advocates Of Your Loyalty Program

According to Business Insider, 23.5% of customers leave their carts due to high shipping costs. At times, displaying the shipping costs earlier itself may reduce the cart abandonment rate. 

But, how can you use the loyalty program here? Announce “free shipping” for the customers who have earned specific loyalty points. You can also give free shipping to your potential customers who have been shopping with you for years. By doing so, you can convert them into brand advocates.  

free shipping

A loyalty program always encourages the current customers to refer new referrals and earn more points. In this case, you can make your loyalty program work in three distinct ways. They are, 

  • Advocate Only rewards – Only the referrer gains a reward when his referral 
  • New-Customer Only rewards – Only the invited customers can earn a reward typically 10% off or probably free shipping for their first purchase
  • Dual side rewards – You can reward both the referrals and the referrer with free shipping or any discounts that they are longing for

Free shipping on the first purchase for the loyalty members is the least expensive way to make them stay on your website. You can give them new opportunities and rewards to remind them that they are more valuable to your store. 

3. Come With Unexpected Rewards For Unexpected Costs

I am sure you might have come across customers who want a product to purchase at a reasonable price. When they visit your store, they may encounter a high price and think to abandon the products in their cart. Due to a single expensive product, there are high chances of complete cart abandonment with other products. 

rewards program

No, there are not a few customers. Almost 48% of the customers abandon their carts due to high prices or expecting free shipping or rewards. How can a loyalty program make a difference here?

Actually, in two ways!! Yes, here it is!!

Offer Free Shipping: We can take Amazon’s loyalty program as an example here. They have been giving free shipping for their loyalty programs under a $99 annual fee. They will also get free two-day shipping throughout the year!! Splendid, right? Not only Amazon, but you can also implement this concept in your loyalty program now!

Offer attainable loyalty points: On the product page or checkout page, you can showcase the customers’ loyalty points or make them understand the benefits they earn out of the loyalty program. The greatest benefit displayed on the checkout page may convince the buyer to proceed with their checkout. 

In the end, the loyalty program always gives customers a high chance to save money. This is why customers love to enroll in the loyalty programs of the eCommerce store. It is also essential to communicate with your customers through different mediums and know about your loyalty programs. 

4. Converting visitors into customers using the loyalty program 

You might have seen customers who were not intending to purchase. Instead, they might be researching a product and its reviews in your store. This is a common one. People out there tend to indulge in many stores to compare the prices of the product they wish to buy.  

I agree! Convincing this group of people is quite challenging. But, we know that they are either researching for a product or hunting for a bargain. In that case, you can click the ticket to gain business from them. 

But, how? 

Where can you grab the attention of those people? Make sure you are using exit-intent popups to let them know about your loyalty programs. People with a bargaining mindset will always fall for attractive loyalty programs. Offering multiple rewards and discounts will change their mind about purchasing the product from your store. As simple as that!! 

website discount

You can also display a lot of positive reviews about your products and the loyalty programs. According to a statistic, almost 55% of customers take customer reviews as an essential thing to conclude their purchase decisions. Think how valuable a customer’s review can be!! 

And, here comes a bonus tip for using loyalty programs effectively in reducing the cart abandonment rate. 

5. Make Your Customers Feel Special Using This Loyalty Program

It is normal to have more customers. But, making the customers stay with your store for an extended period may seem challenging. 

To make customers believe in your store, make them feel special. Nothing much!! Celebrate the most referred customer on your social media platform. Offer them more rewards with unbelievable discounts. It brings instant bliss to all the viewers of the post and your target audience too. 

ecommerce loyalty program

It highly motivates other customers to take part in your loyalty program and earn rewards. Apart from rewards, the current generation has stuck with virtual fame. Thus, you can use this as an aid to make them popular along with your product.  

Apart from it, you can also collect feedback about your loyalty program. Pick up feedback and make it ideal feedback or “feedback of the week” and post it on your social wall. It grabs the attention of more people and increases your brand awareness too. Try it.

Wrapping Up 

Now, you have got the most remarkable ways to use your loyalty program effectively. It is always essential to make sure your visitors have been informed about your loyalty program’s benefits in every possible dimension. You do not need to provide products at a cheap rate. Instead, you can make it affordable through rewards and discount codes. 

What’s next? 

Time to implement it and experience a strategic improvement in your loyalty program graph. You can also rely on the best WordPress cart abandonment plugin to take care of the loyalty programs and abandoned cart emails. Hopefully, the article will help you have a flawless loyalty program to reduce your store’s cart abandonment rate. Happy selling!!

Author’s Bio:

Monisha Thangavel is an ardent writer and a blogger carrying years of experience in different realms including eCommerce, Tech, and SEO. Her brevity rich writings flash a light upon the uncovered yet important points about WordPress and eCommerce plugins. Apart from content, Monisha spends her free time learning calligraphic writing.

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