Customer loyalty isn’t just a feel-good metric—it’s a revenue driver. But if you’re like most brands, your loyalty program isn’t delivering the results you expected.
The good news? That can change today. By implementing the right email automations, you can immediately double (or even triple) the revenue your loyalty program generates.
Let’s break it down.
Why Most Loyalty Programs Fail
If your loyalty programs do not yield any results at all, don't feel bad; you're definitely not alone. In fact, 90% of brands fail to generate enough revenue to make their loyalty programs worthwhile. Here's why:
1. Low Repurchase Rates
Don't expect a loyalty program to work magic in such situations where your products have no natural re-purchase by customers. Before you invest in loyalty, first ascertain why customers are not coming back. Poor quality product? Bad customer experience? Lack of complementary products? Solve those issues first.
2. Overly Complicated Programs
Many brands overcomplicate their loyalty programs with too many tiers, confusing points systems, and unclear rewards. When customers don’t understand how to use a program, they won’t engage with it. Keep it simple.
3. Lack of Awareness
Your loyalty program isn’t a ‘set-it-and-forget-it’ initiative. If you’ve only sent one email about it and never mentioned it again, customers won’t remember it exists. You need ongoing communication to keep members engaged and excited.
The 6 Essential Loyalty Program Email Automations
The key to turning your loyalty program into a revenue machine? Automation.
With these six Klaviyo email flows, you can put customer engagement on autopilot and watch your revenue soar.
1. Loyalty Program Invite Flow
If you're not getting new customers to join your loyalty program, you'll never see it succeed. This flow invites new and returning customers to join, highlighting key benefits and incentives as a way to grow your loyalty program. Want higher conversions? Try offering a small incentive—like bonus points, a discount, or a freebie—for signing up.
Key Elements:
- Clear explanation of perks
- Simple call-to-action (CTA) to join
- Optional sign-up incentive
2. Loyalty Program Welcome Series
Once a customer joins, keep them in the loop—not in the dark. This series welcomes them, reinforces benefits, and provides an easy-to-follow guide on how to earn and redeem points. Without this flow, many members forget they ever signed up.
Key Elements:
- Warm welcome message
- Breakdown of earning/redeeming points
- Reminder of any sign-up bonuses
- Multiple emails to reinforce engagement
3. Loyalty Tier Upgrade Flow
Customers love feeling like VIPs. When a member graduates to a higher tier, this automation congratulates them and introduces their new unlocked perks. Make sure to go beyond generic “early access to sales”—make the rewards feel premium, worth it, and exciting.
Key Elements:
- Congratulatory messaging
- Highlight exciting new perks
- Encouragement to continue engaging with the program
4. Points Balance Reminder Flow
One of the highest revenue-generating loyalty flows, this automation reminds customers that they have unused points. Framing this as “free money” motivates them to make a purchase before those points go to waste.
Key Elements:
- Attention-grabbing subject line (e.g., "You’ve got $$ to spend!")
- A clear breakdown of points-to-dollars conversion
- CTA directing customers to redeem points
5. Points Expiry Flow
Sense of urgency is a very potent motivator. Businesses can let customers know how close they are to the expiry of their points, thus instilling the desire to act before their rewards go to waste.
Key Elements:
- Strong urgency-driven/FOMO messaging
- Reminder of points-to-dollars value
- Multiple reminder emails as expiration approaches
6. Birthday Rewards Flow
Who doesn't love a birthday surprise? This automation sends an exclusive offer to loyalty members on their birthday, making them feel valued while encouraging another purchase.
Key Elements:
- Personalized “Happy Birthday” message
- Special gift or discount (free gift with minimum purchase works best)
- Clear instructions on how to redeem
The Bottom Line
Email automation is to a loyalty program what fuel is to a car-no good. With these six must-have email flows set up, you'll keep the customers engaged, increase repeat purchases, and bring in substantially more revenue from your loyalty program.
Need help implementing these strategies? That’s what we do. At Stimulate, we specialize in retention marketing and loyalty program optimization. Let’s talk.