The growth and reputation of a company depend on the quality of products or services they are offering. Therefore, brand value plays an important role in retaining and maintaining a good customer database. Counterfeiting is an age-old problem that imposes a serious threat to a business. Counterfeit goods hamper the company’s reputation and make you lose your loyal customers. That is why the customer loyalty program is an essential step that various companies must consider.
Globalization has changed the face of business, and with the surge of e-commerce, the entire face of supply chain management has been altered drastically. A recent study has revealed that more than 33% of the population depends on e-commerce rather than procuring locally. Due to this sudden yet rapid change, counterfeiting is also improving, and new techniques are being used daily to produce fake goods. With the rise of digital counterfeiting companies, organizations use QR code reward programs to combat digital theft.
What Is QR Code Reward Program?
We all have seen and are accustomed to QR codes. These are special encrypted messages present within the body of any product which can be scanned to know the details. A QR code program uses cryptographic code that is not visible to the naked eye. It is added to a product to test its authenticity. For example, while purchasing a package from a store, you can easily scan it by using your smartphone to determine its whereabouts. When you get a package after ordering it online, it is recommended to scan the QR code to know its authenticity. This QR code generally uses 512 encryption and uses a combination of cryptography, artificial intelligence & blockchain to check its authenticity.
Digital counterfeiting is overlapping the physical market, and companies are losing thousands of loyal customers and suffering huge monetary losses every year. Online hackery has become an easy target to make huge profits. Although counterfeit is common across businesses worldwide, digital forgery is crippling the economy. As a result, brands invest in loyalty rewards programs to retain high-value customers. According to a survey, it was stated that 84% of customers are satisfied with loyalty programs and tend to stick to that particular brand.
What Is a Customer Loyalty Program?
A customer loyalty program is like an incentive that a brand offers to its existing customers to retain them. These programs are specially designed for the existing customer base so that they feel interested and stick to your brand. Apart from finding new customers, it is also essential to retain and maintain exhausting ones in this highly competitive & saturated market, so engaging your clients with new and innovative loyalty rewards programs is crucial. Sometimes new consumers also feel interested in these programs and enroll themselves as existing ones.
Every brand goes through a slow season. And starting a loyalty plan during the slow season has shown to boost the business upto a great extent. In addition, offering exciting deals during the slow season or introducing a loyalty reward game will give your business an instant makeover.
Loyalty programs also enrich your mailing list and help you drive a mail campaign in the future. For example, to enroll in a customer loyalty game, clients have to provide their mailing details and contact info, which is important data for future marketing. This data can be utilized from time to time to send offers and updates or can be used for email campaigns for a special event in the future.
Thus customer loyalty programs are essential to boost sales, attract new customers, and retain the existing ones. Furthermore, in this era of digitalization, where counterfeiting is one of the biggest concerns for brands to sustain their growth & reputation, certain measures must be taken to combat it. Therefore, a loyalty program is a useful tool to help you grow further.