When it comes to building and scaling a successful ecommerce business, experts recommend aiming for a 3:1 customer lifetime value (CLTV) to customer acquisition cost (CAC) ratio. In simple terms, this means that each customer should spend 3x the amount it costs to acquire them. Unfortunately, getting your CLTV where it needs to be to hit this benchmark is much easier said than done.
One way to drive up CLTV? Ecommerce loyalty programs!
With loyalty program members spending 40% more on average than non-members, ecommerce loyalty programs are a proven way to boost CLTV and win goodwill with your customers. But, with 90% of brands offering some form of loyalty program, it’s time to go beyond points and perks to build brand loyalty and wow customers.
To help you drive loyalty program sign-ups and help yours stand out from the pack, we’ve compiled three strategies from Liquid Death, Kith, and Joggy— three brands that are changing the loyalty program game. Keep reading to learn how these brands think outside the box to scale their loyalty programs.
Loyalty program strategy: Humor
With its heavy-metal-inspired branding and aggressive tagline, “Murder your thirst,” canned water brand, Liquid Death has embraced bold marketing tactics since its launch in 2017. That’s why it’s no surprise that the brand has an edgy loyalty program that pushes the envelope while rewarding members with access to exclusive merchandise and events.
To join Liquid Death’s loyalty program, The Liquid Death Country Club, website visitors are encouraged to either “sell their soul” or pay a whopping $125,000. Although the brand will gladly take visitors' cash, the latter option serves as a tongue-in-cheek foil to the free membership. With a silly product detail page (PDP), equipped with funny customer reviews it’s clear that the brand doesn’t expect the average visitor to cough up mountains of cash to join its loyalty program.
On the other hand, if visitors choose to “sell their soul,” they’re met with a bill of sale they’ll need to eSign to join Liquid Death’s loyalty program. Adding this extra step supports the brand’s bold branding while giving its new loyalty members a funny, bespoke experience that they’re sure to tell friends about.
By infusing The Liquid Death Country Club sign-up with humor, Liquid Death makes its loyalty program a seamless part of its brand strategy.
Loyalty program strategy: Exclusivity
To encourage site visitors to sign up for its loyalty program, streetwear brand Kith leads with exclusivity. Using imagery of premium credit cards, the brand conveys that its loyalty program is for the upper echelon of shoppers.
Stratified into tiers represented by different credit cards, loyalty program members can gain access to exclusive merchandise, and even skip the line when visiting brick-and-mortar Kith locations. These exclusive perks, paired with the credit card imagery suggest that Kith’s loyalty program is much more than just a retention strategy but also an elevated experience for fans of the brand.
Loyalty program strategy: Community-building
Plant-based energy supplement brand, Joggy, uses the promise of kinship and community as a way to drive its loyalty membership sign-ups. Unlike more conventional loyalty programs, once a visitor joins Joggy’s community they gain access to a portal where they can participate in challenges to earn points as well as connect with other community members.
Community members can sign up to be product testers for the brand, use the chat functionality to meet other members, and even earn branded NFTs! Joggy’s immersive community experience and unique perks make it stand out from the competition.
Whether you’re looking for fresh ways to improve your CLTV or are just in the research stages of creating your loyalty program, we hope these examples from Liquid Death, Kith, and Joggy give you the inspiration you need.