On the occasion of your customer’s birthday, gifting them something thoughtful will ultimately reflect on how valuable your brand considers your customers to be. Small yet prominent gestures help in increasing the customer’s lifetime value and also as stated from a survey, a simple personalized birthday mail along with a surprise gift can increase the transaction rate by almost 481%. A study by Experian’s Survey showcases that personalized mails generate over 342% more sales than normal promotional emails.
Benefits of Birthday Rewards
All customers are by nature value seeking. As much as customers enjoy small gestures that make them feel appreciated and important, they also equally expect special treatments on birthdays and consider it as a bare minimum for being a loyal brand advocate. This not only adds a great personal touch to the business and buyer relationship, but also equally reflects on the brand’s dedication towards its customers. The four reasons outlined below will clearly state why Birthday Rewards are imperative
- Invokes a feeling of Importance and Appreciation: Customers love being recognized and appreciated. Rewards and gifts play an important role in enhancing customer business relationships. Special occasions like Birthdays are no exception. Birthday rewards positively affect a customer’s perspective of a brand, and helps build brand affinity along with loyalty.
- Enhance your loyalty reward program: Customers need to be assured a seamless shopping experience from pre-sale to post-sale. It is a never ending process that needs to be achieved consistently. Rewarding customers on birthdays along with sending personalized emails can be a great way to excite and entice customers, rather than always following the same conventional reward program that grants rewards to everyone based on no exclusive occasion.
- Boost Retention: Rewarding customers on their birthdays will help in customer retention as data states over 84% of customers are more likely to stay with a brand who opts for the customer centric approach and goes out of the way to surprise customers and make them feel special.
- Accelerate Sales and Revenue: Ultimately the entire process helps in the increasing of sales and revenue. Birthday rewards are not only proven to be efficient for retaining customers and increase brand credibility, it also helps to boost sales and revenue, as a research conducted by Frederick Reichheld states that an increase in retention rate upto just 5% has the potential of positively impacting revenues by almost 25-95%.
5 Ways to surprise your customers with Birthday Rewards
- Implement creativity and make the gifts feel more personal and enticing- If your business already has a loyalty or a reward program, then your customers are pretty used to getting discount coupons all the time. If your brand plans on surprising customers with discount coupons on their birthdays, it is imperative to ensure that the gifts feel personal, otherwise it won’t really make much change in the emotional radar.
- Introducing a reward campaign exclusively for customer birthdays– Personalization is undoubtedly a great way of showing customers that the bond that is shared is personal and precious, but truth be told, it is also an intricate process that requires heavy data tracking and comes with no assurance that it will work exactly like how it was planned. Hence brands can introduce a reward campaign for customers who have their birthdays, and give them the opportunity to get favored treatment for their birthday month.
- Build emotional bonds with birthday reward – If you are willing to take an extra step and gift customers with something that is not only of high monetary value but wrapped beautifully with a handwritten note, especially addressing to the customer and elucidating on how privileged the brand is to have him or her as a customer, it is most likely that the gift will not only be memorable but will also most certainly be extremely close to the customer.
- Experiential Rewards beat everything- On planning to give your customers an exclusive and unforgettable memory on their birthdays, it is best to invest in experiential rewards. Send out lavish invitations to your customers on their birthdays to join a brand event in a deluxe restaurant to meet his or her favorite celebrity.
- Make this a part of your Loyalty Program- In case you want your brand to draw more attention to the exclusive services that you are offering to customers on their birthdays, you can add this attribute to your loyalty program. Mention it in your brand’s website but don’t disclose the gifts that you are planning on giving. The key is to keep the customers anticipating. Birthday rewards could be in the form of extra points offered on purchases or an exclusive coupon to shop online or on the mobile app.
Examples of Brands that offer Birthday Rewards-
- Starbucks– On the occasion of birthdays, Starbucks rewards customers with free drinks that they get to choose from the brand’s wide range of drinks menu, from the Funnel cake Frappuccino to the very popular Edward Drink. If you are in the mood for something to eat, Starbucks has got you covered there as well. Starbucks allows customers to redeem tasty, exclusive treats on the occasion of birthdays, without having to spend a single penny. Merging this attribute to their reward program, all that the customers need to do is, register themselves to the reward program, prior to at least 7 days to enjoy special treatments on birthdays.
- Sephora- The most easy and the cheapest way to get your hands on Sephora’s exclusive birthday rewards can be made possible by making a visit to the brand’s physical store. The brand has made their birthday reward program a huge success by deciding on exclusive gifts distinctively, different for every year. Irrespective of the fact, that details about the program and hints on the product that will be given can be researched about on the brand website, but Sephora does a brilliant job in keeping the gifts unrevealed unless or until they are handed over. This way the customer eagerly anticipates for what they will be rewarded with exclusively, keeping the surprise and the excitement intact.
- ULTA beauty- The brand has paved the way for massive success by granting every customer 2x Bonus Points, exclusively throughout their entire birthday month. Now that’s an offer customers could hardly let go off. The brand doesn’t only use its channels to send customers personalized messages on their birthdays, but also grants customers the privilege to redeem points to buy free gifts through the ULTA beauty mobile app. Members of the Platinum and Diamond tier will not only be granted the aforementioned perks but will also be given additional surprises too!
For over 10 years, Annex Cloud has been the worldwide leader in technology and service solutions that transform customer loyalty experiences for organizations, extending valued customer engagements, and tracking valuable customer information for marking strategic decisions. Powered by the comprehensive and scalable Loyalty Experience Manager™ solution suite, Annex Cloud customers capture and use zero and first party data to seamlessly deliver hyper-personalized experiences across the entire customer journey – from awareness to purchase to retention, loyalty and advocacy. Brands have benefited by our best practice recommendations which also include the strategy to surprise and delight their customers by offering birthday rewards and perks. The company is recognized by industry respected organizations like Gartner and Forrester and integrates with over 100 market-leading technologies. Get in touch with us today!