We understand it can be hard to know how best to pass on a discount to your customers, making sure the right people use them and become brand loyal. Below we discuss some of the most popular ways for businesses to offer a discount.

3rd party discount club

Loyalty and membership programmes or discount clubs are a good free marketing and sales promotion solution that enables brands to pass on an exclusive discount in a controlled manner. Discounts on the brand are only available to a closed group of people meaning the value you are giving them feels exclusive. It’s an excellent way to pass on an exclusive discount and encourage customers to create spending habits with your business, become regulars and eventually brand loyal. Loyalty and membership programmes or discount clubs are generally a free marketing tool for businesses; all you have to do is offer an exclusive discount for the members of the discount club. It is an excellent way to raise brand awareness and because it is a controlled, free marketing option there is minimal risk involved.

Discount cards

This is a widely recognised media in sales promotion used to pass on an exclusive discount to customers. Any company whatever their size or marketing budget can encourage return business through this technique, from independent hairdressers to multinational chains. This is a strong way to encourage a repeat purchase to a targeted section of consumers who are already likely to have experienced your brand.

Popular high street rental store Blockbuster worked with The Rocket Marketing Group  to develop a 2 for 1 Movie & Game Rental Card which is initially being given to members of Rocket’s Entertainment Club. The Blockbuster 2 for 1 Movie & Game Rental Card is also available for other agencies to buy from Rocket so they can use it for other partnership marketing offers/ staff incentives etc. It benefits Blockbuster as it drives loyalty to their stores throughout the UK rather than competitors. For the customer it feels like an exclusive discount because they have to show the Blockbuster 2 for 1 Movie & Game Rental Card in store when they make their purchase. The card is distributed to an initial active membership base of over 30,000 people so the targeted captive audience is considerable, heightening the chances of marketing success.

Rocket also promotes similar products like the Paris Pass and London Pass that offer discounts on multiple products/services like public transport and attractions. Plus the popular 2-4-1 Beautiful Britain which gives members of The Home & Garden Club access to some of Britain’s most beautiful gardens.

Loyalty rewards

Everyone likes to receive something for nothing so to reward a customer for using your products/services is a good way for them to gain a positive association with your brand. An exclusive reward such as a free product or even something like a free flight to Europe helps members to feel that they have received added value for purchasing a brand. A good example of this is when members of The Big Savings Club are offered a number of free rewards including a free flight to Europe for taking a trial of the club. This sales promotion technique entices people to extend their membership and also gives them a positive experience of the brands involved and the experience of using the club. In effect they get a free flight to Europe for being loyal to the brands within the club. This reward is provided by the savings club but is linked as a reward to the brands within the club. A free flight to Europe is only one of the rewards brands could offer to customers, there are also smaller ones that don’t offer as much added value but can act as unexpected special treat, such as a free mini beauty treatment.

Similar models also include points collection discount cards such as Nectar, customers can build up their discount by being loyal to their brand and those associated with them. Though this is a variation the end result is the same.

Discount voucher

Discount vouchers are another popular sales promotion technique and can be distributed in a number of ways. Some of the most popular include offering an exclusive discount through in store promotions, e-shots or loyalty and membership programmes. Discount vouchers or coupons did have a stigma attached but in recent years but as the credit crunch hit Britain they’ve become mainstream again. Giving discount vouchers away in store is a good way of rewarding existing customers and making sure they remain brand loyal but can fail to entice new customers. E-shots have been used more and more over the last few years but can be passed on to too many people and encourage too much redemption from bargain hunters. Loyalty and membership programmes give discount vouchers to a large closed group of active members who have specific interests such as entertainment or DIY. Discount vouchers distributed in this way not only appeal to existing customers but also to a selected closed group of potential new customers. To distribute the voucher through a loyalty and membership programme or discount club is a free marketing solution as the voucher is produced by the club for its members.

If you would like more information on free marketing through loyalty and membership programmes and discount clubs or exclusive rewards such as the Blockbuster 2 for 1 Movie & Game Rental Card and free flight to Europe please Contact Us today.

Offers correct at time of publication and subject to terms and conditions.

When will consumers start enjoying the shopping experience again? The British Retail Consortium has recently reported that consumer spending increased 6.3 per cent from April 2008. With sales figures up on this time last year, can we see this as an indicator that the general guilt of spending any money unnecessarily has subsided? And is there anything businesses can do to make the public love shopping again?

Stephen Robertson, Director General, British Retail Consortium, said: “The best sales growth for three years is good news but let’s be cautious. A sunny Easter that fell in April this year is the key reason why overall sales are up compared with last year when Easter was in March and miserable. Sales of garden goods, outdoor leisure, clothing and food did well but other non-food sectors missed out on the seasonal boost and the total spent on food rose less than food inflation, indicating the amount sold dropped.

Following a tough winter, there’s some pent up demand but there’s no reason to think customers suddenly feel flush or eager to spend. With unemployment set to grow through the rest of the year, mounting jobs worries will hold back spending for some time. It would be great if the historically weak performance of the last twelve months was behind us but we shouldn’t celebrate yet.”

Businesses have done a lot to try and entice the public back into spending and it is working to some extent but there are limitations to the success consecutive sale periods can have. It can damage overall consumer loyalty, devalue the brand and the rewards can rarely match what a loyalty and membership programme can offer?

When the objective is to make consumers feel rewarded for buying and/or remaining loyal to a specific brand, a loyalty and membership programme can do this extremely effectively. The other advantage is that marketing a brand in this way incurs no cost for participating businesses; all they have to do is offer an exclusive discount for members. A business’ customers who are members of the loyalty or membership programme receive extra free rewards which give added value to the exclusive discounts they receive from the business.

The Rocket Marketing Group operates a number of loyalty and reward programmes and the largest of these is The Big Savings Club. The Big Savings Club features businesses offering exclusive discounts, from a variety of sectors including Shopping, Entertainment, Travel, Health, Fashion, Kids and Motoring. When a customer joins this club they are given seven free rewards which they can redeem along with the discounts offered by the featured businesses.

Rocket feel that consumers should really start to love shopping again when they receive the exclusive discounts and free rewards contained in The Big Savings Club. The rewards include a Free European Flight, Sail to France for Free, Free UK Hotel Accommodation, Worldwide Accommodation for a week for just £200, 2 for 1 Golf, City Cruise and £400 off a Holiday to Florida.

Contact Us if you would like to discuss how a Rocket Marketing Group loyalty and membership programme and free rewards can make consumers love shopping at your business.

Offers correct at time of publication and subject to terms and conditions.