Large businesses very often use plastic cards as loyalty programs: discount, accumulative, with the possibility of cashback. However, small and medium-sized business owners sometimes doubt the effectiveness of this method. News lab figured out whether the game is worth the candle and learned all about the benefits of plastic cards, their efficiency and cost for entrepreneurs. To get a laser printed plastic card, please go to Laser marking plastic. It is a very effective and common procedure for durable and affordable printing in 2021.
How does a plastic card work?
The most striking example of a loyalty program based on issuing plastic to customers is discount cards . With further purchases, such cards give a discount. Wanting to get a reduced price, the buyer comes again. Now the floor and a simple system has become a little trickier. In order for the client to stay with the company longer, accumulative cards were used .
“Come to us three times in a row and only get a discount then,” say the sellers. And the buyer goes to this deal no less willingly, because in this case he is not limited by the size of a one-time discount of 5 or, say, 10%, but can accumulate a very significant bonus.
How is a plastic card useful for business?
Firstly, and this is obvious from the point above, if there is a plastic card, the buyer has an interest in coming back again. And the formation of a pool of regular customers is almost the main task for any business. A smart entrepreneur will never lose sight of the following pattern: 20% of customers bring 80% of the profit . We are talking about regular customers who come regularly and buy more than random ones.
In addition, when activating plastic cards, customers, as a rule, fill out questionnaires and indicate their contacts. For a business, this is an opportunity to inform a buyer about promotions that are interesting to him. So the “constant” will come even more often.
Why did cards become so popular?
Every self-respecting major entrepreneur offers the client a plastic card. And it’s not that it’s trendy or even effective. Now it has become really cheaper to retain and reward a client than to attract. Advertising, which works to attract new customers, has become too much, and people hardly react to it, perceiving it as informational rubbish. For advertising to work, you need to make it different from everyone else, bright, creative, extraordinary. An entrepreneur needs to have a staff of marketers, designers and other professionals. In addition, advertising requires constant updating: you don’t want to see even the coolest commercial more than twice.
A plastic card, with less expenditure of human and financial resources, guarantees:
- Formation of a pool of regular customers
- Formation of a database of contacts and the possibility of a personal appeal to each client.
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