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Lessons in Loyalty: Rewarding Subscription Programs

Carolyn Schnare Chief Content Officer, Liquid Barcodes

06/10/2024

Subscription programs ensure recurring revenue, guaranteeing customers visit frequently for pre-paid products. 

In the ongoing exploration of loyalty programs, this article focuses on the next step in the Customer Connection Cycle: Rewarding Subscription Programs

According to a report by WestMonroe, the average U.S. consumer spends $273 per month on subscription-based services. If you haven’t already, it’s time to get in on that action.

 

Step 5 in the Customer Connection Cycle: Rewarding Subscription Programs

In the last several “Lessons in Loyalty” articles we explored creating and running a successful loyalty program. Recently, we have been covering rewards in these articles, specifically subscription programs.

First, we looked into loyalty program foundations with the 3 E’s (having easy, empowering, and engaging programs) and the 3 C’s (clear, compelling, and consistent promotions and communications). Then we talked about solidifying the customer relationship by giving an overview of the Customer Connection Cycle, covering recruiting members into your loyalty program, member engagement strategiespromoting the program, and finally in-store excellence. Now, we will talk about rewards.

Rewards can come in several currencies such as stamps, points, or as paid subscription programs.

We’ve written a lot about subscription programs over the years and this introductory article will get you interested to learn more.

Last summer, we published a series of articles on beverage subscriptions and have several case studies on our customers’ successful programs.

 

Rewarding Subscription Programs Create Extreme Loyalty

One of the hottest trends in convenience and food retailing is subscriptions. Subscriptions reward customers and transform the entire shopping experience. Beyond stamps and points rewards that customers earn, subscription programs offer customers the luxury of “unlimited” products each month.

Customers will be drawn to the program’s simplicity and irresistibly clear, consistent perks. Subscription programs are seamless, rewarding experiences that keep customers coming back. It is guaranteed recurring revenue, too!

 

CCC Reward

10 Tips for Rewarding Subscription Program Success

1

Effortless and Unlimited
A prepaid subscription offers recurring revenue and convenience, letting customers enjoy unlimited products like coffee or car washes. Redemption is streamlined with QR/barcode validation.

2

Create Promo Codes
Use promo codes for social media and local distribution to attract new subscribers. Offer limited-time deals to encourage immediate sign-ups.

3

Reward New Subscribers
Encourage sign-ups with incentives like discounted or free initial months. Prevent abuse with a quarantine period and surprise bonuses to retain subscribers.

4

Upsell to Existing Subscribers
Offer upgrades to higher tiers with clear benefits to increase satisfaction and revenue.

5

Referral Program
Implement a referral system with incentives like free months to engage subscribers and reward them for bringing in new members.

6

Multi-User Plans
Offer plans for groups, such as friends, family, and businesses to enhance loyalty.

7

Automate Payments
Ensure a seamless, automatic payment system that renews every 30 days. Use trusted payment methods to maximize retention. Be mindful of making cancellation simple to stay within potential legislative requirements.

8

Prevent Churn
Monitor patterns to prevent cancellations. Use seasonal rebates and limited-time offers to retain subscribers.

9

Collect Feedback
Use exit surveys to understand why customers leave and improve your program. Make it easy for them to restart their subscription.

10

Protect Against Fraud
Limit access to a subscription from multiple devices to prevent abuse, such as restricting to 2 devices per phone number every six months.

 

Subscription Program Retailer Success Stories

Car wash and beverage subscription programs have grown exponentially in popularity in the U.S. convenience market, following global success at companies like Circle K. 

Enmarket in Georgia proudly offers customers monthly subscription car washing options with its state-of-the-art Marketwash mobile app. The goal is clear: to provide customers with a frictionless and contactless car care solution, setting enmarket apart as a leader among the top convenience retailers.

 

enmarket wash

 

Loop Neighborhood also offers car-conscious Californians access to a speedy, economical car wash subscription program using creative in-store and social media promotions to spread the word.

Loop app

 

 

The Customer Connection Cycle Explained

This informative video explains more about the Customer Connection Cycle in this edition of the Liquid Barcodes Convenience Retail Loyalty Playbook video series.

 

Achieve Loyalty Excellence

Large or small, retailers have found that having a functional, sleek, easy-to-use loyalty app is the optimal way to stand above the competition.

Developing a distinctive loyalty program is essential in the dynamic landscape of convenience retail, where challenges abound. The Liquid Barcodes Convenience Retail Loyalty Playbook is your hands-on tool to make this happen.

We developed the Liquid Barcodes Customer Connection Cycle framework to illustrate how to strategically engage customers through various channels, converting them into loyal program participants. The framework uses proven loyalty mechanisms to ensure customers return sooner, becoming habitual purchasers. 

Recognizing the significance of a strong customer base in driving revenue, the key principle of the Liquid Barcodes Customer Connection Cycle is simplicity, ensuring your program is easy to understand, join, earn, and redeem. It’s not just a proprietary approach; it’s our shared strategy to elevate your loyalty program and drive your business to success.

Click here to download the first few chapters within the Liquid Barcodes Convenience Loyalty Playbook.

Loyalty Playbook Preview

Liquid Barcodes is a leading global loyalty and digital marketing technology partner specializing in the convenience and foodservice industries. The proprietary, cloud-based technology platform allows retailers to create and manage their digital marketing campaigns with the “customer connection cycle” process to engage, promote, and reward customers’ activities in realtime across digital and media channels.

Liquid Barcodes loyalty platform is powering loyalty programs for industry partners across several global markets, by offering unique subscription and mobile payment programs, machine learning, personalization, gamification, loyalty, and other capabilities.

Learn more about Liquid Barcodes at LiquidBarcodes.com.

 

About the Author

Carolyn Schnare, Chief Content Officer, Liquid Barcodes

Carolyn Schnare has been involved with the convenience retailing industry for two decades with extensive knowledge of customer engagement and marketing, sustainability, and community outreach. Before Liquid Barcodes, Schnare worked at NACS (National Association of Convenience Stores) in a variety of roles from event production to membership and most recently as Director of Strategic Initiatives and host and producer of the popular industry podcast, Convenience Matters. Schnare currently anchors the popular Future of Convenience podcast, produced by Global Convenience Store Focus media group.


Blog post

Lessons in Loyalty: Rewarding Subscription Programs

Subscription programs ensure recurring revenue, guaranteeing customers visit frequently for pre-paid products.  In the ongoing exploration of loyalty programs, this article focuses on the next step in the Customer Connection Cycle: Rewarding Subscription Programs According to a report by WestMonroe, the average U.S. consumer spends $273 per month on subscription-based services. If you haven’t already, it’s […]

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Lessons in Loyalty: Rewarding With Points

Rewarding with points provides customers with timely purchase tracking to motivate loyalty and increase spending.   In the ongoing exploration of loyalty programs, this article focuses on the next step in the Customer Connection Cycle: Rewarding with points. There are a few ways to reward loyalty and to track customer purchases. One of them is […]

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Cheers to Beers: Old Irish Pub Rewards for Frequent Customers

European restaurant chain Old Irish Pub rewards customers with digital stamps for buying drinks, offers games and more! 

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Lessons in Loyalty: Rewarding With Stamps

Keep customers engaged and happy with loyalty program stamp rewards. 

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Lessons in Loyalty: In-Store Excellence

Executing a personalized loyalty strategy ensures each store visit is efficient and includes moments of gratification.

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Lessons in Loyalty: Powerful Promotion

Promote a rewarding loyalty program that prioritizes personalized value to ensure members feel valued, and appreciated.

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Lessons in Loyalty: Engage Members

An important component to having a successful loyalty program is to develop a powerful plan to engage with your members.

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Lessons in Loyalty: Recruit Loyalty Program Members

The first step in a successful loyalty program is to recruit a robust, loyal membership base with an effective recruitment strategy. In the ongoing exploration of loyalty programs, this article focuses on the pivotal first step in the Customer Connection Cycle: recruiting members. Establishing a robust and loyal membership base is paramount, and this article outlines […]

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Lessons in Loyalty: Customer Connection Cycle

The Liquid Barcodes Customer Connection Cycle Explains Six Key Components to Operating a Successful Loyalty Program

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Lessons in Loyalty: Easy, Empowering, and Engaging 

Invite higher sales with a loyalty program that is easy, empowering, and engaging.

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Lessons in Loyalty: Clear, Compelling and Consistant Programming

Engage customers with a compelling loyalty program that is clear, compelling, and consistent.

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Increasing Customer Engagement With Loyalty Programs

From basic discounts, points, and perks, to more advanced strategies like subscriptions and mobile payments, loyalty programs allow retailers to compete in today’s fast-paced retail landscape.

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Beverage Subscriptions Improve Foodservice Sales

Implementing a beverage subscription program will boost customer spending on foodservice items.  Consumers visit convenience stores to do three main things: get gas, use the restroom and buy a drink. As prepared food becomes the norm in convenience stores, give your customers an offer they can’t resist with a beverage subscription program.

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An Introduction to Subscription Programs

Subscription programs ensure recurring revenue by recruiting customers and enhancing the overall foodservice offer Subscription is a big buzzword referring to any recurring or prepaid program that is delivered or available on a regular basis. 

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Maxol Wins Customers and Awards With Loyalty App

Irish retailer Maxol celebrates a year of success with their award-winning loyalty app. Maxol’s loyalty app has been rewarded for excellence with the prestigious “2023 Loyalty Launch of the Year ” award at this year’s Irish Loyalty & CX Awards.

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What Is C-StorePay?

Liquid Barcodes’ proprietary C-StorePay makes paying for fuel, in-store merchandise, and subscription programs convenient for customers, reduces credit card fees for retailers, and integrates easily into existing loyalty programs Announced in October 2022, the revolutionary Liquid Barcodes C-StorePay product rose to the top of retailers’ 2022 wish lists at the NACS Show, even achieving a […]

Liquid Barcodes

Put a rocket under your loyalty program

With our loyalty platform, we help design and operate world-class, tailor-made subscription and reward programs that make sure your customers always come back.

Book a Demo →

We are trusted by global brands.

Convenience retailers all over the world have engaged and rewarded consumers with our tailor-made loyalty programs.

To our case studies →

Liquid Barcodes
Liquid Barcodes
Liquid Barcodes
Liquid Barcodes

Convenience retailers all over the world have engaged and rewarded consumers with our tailor-made loyalty programs.

To our case studies →

Liquid Barcodes
Liquid Barcodes
Liquid Barcodes
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