June 30, 2022 2:19 PM
Loyalty programs for B2B: popular schemes for working with corporate clients
Ekaterina Samofaeva
Editor of the expert-content.ru project
The B2B market in Russia has already passed the buy phone number list active growth phase, when new companies and businesses appeared like yeast. Most niches have formed, players have acquired business connections and have hit a "ceiling" - sales growth due to the search for new contractors has become an expensive pleasure. Buyers have to be won over from competitors, the costs of attracting cold leads are becoming more and more.
Therefore, entrepreneurs are interested in how to get more profit from existing clients? Or at least not to give them to competitors. For this, there are loyalty programs for B2B. In this article, we will tell you which of them are the most effective in the B2B sphere.
Content:
What is a loyalty program and how does it help business?
The Difference Between B2B and B2C Loyalty Programs
Review of popular corporate loyalty programs in B2B
Successful examples of loyalty systems for B2B clients
Video: Customer Loyalty Management
What is a loyalty program and how does it help business?
Loyalty is a positive experience from using a product or service. It affects the reputation of the organization.
A loyalty program is a marketing tool. It is needed to interact with users, improve their opinion of the brand, and encourage them to make a repeat purchase. They have a need to constantly interact with the product. This allows companies to increase the average bill and frequency of requests.
When a consumer is encouraged, he feels his value, importance. He experiences positive emotions because he chose a profitable offer himself.
As a rule, a loyalty program is built on various mechanics and customer rewards, creating advantages over competitors.
It is also necessary to develop such a system because the model for making decisions on cooperation in the B2B segment has changed. Here are some arguments "for" the existence of such a PL:
Companies with PL win against competitors. Now there are much more opportunities to compare offers from different suppliers. You can compare offers and choose the most profitable one.
The procedure for changing suppliers has been simplified - contracts are concluded online through special platforms. Now it is not enough to simply produce a quality product, you need to be able to actively engage and build long-term relationships.
The Difference Between B2B and B2C Loyalty Programs
The operating principles for both markets are similar, but there are also significant differences.
Circle of participants
In the B2B segment, strict requirements for program members are often established. For example, participation is prohibited for government agencies. In the B2C segment, such restrictions are significantly fewer.
Customer pains
For a program to work, one must be focused on the needs of users. In B2C, it is easier to identify the audience's pain points that can be addressed - they often have the same values. When the buyer is a corporate client, this task gets an asterisk, since decision makers have different needs. In addition, such information is more difficult to collect.
Individual approach
For B2C, the loyalty system can be universal - this is especially necessary when you have a large customer base. In the case of B2B, more attention to each customer will be required. For better service quality, it is necessary to take into account the specifics and adjust the processes to a specific request.
Purchase decision
Regular users often make emotional purchases, and PLs are aimed at stimulating such transactions. B2B companies make decisions based on numbers, logic - the product must improve their business.
Validity period
For corporations, it is necessary to make a longer validity period of points and bonuses than for the end consumer, an individual. It is recommended to set the validity period depending on the frequency of purchases in a specific segment. For example, for B2C, the validity period is 30 days - for B2B, this is very little, for them the period reaches three years.
Let's sum it up, what is the essence of a loyalty program for a corporate client? As practice shows, in the B2B system, customer loyalty is achieved by focusing on non-material motivation and using indirect financial incentives.
Read about other tools in a B2B marketer's arsenal in the article " How to Increase Sales in B2B ". We have written separate articles about the most popular tools:
Review of popular corporate loyalty programs in B2B
The idea is the same as for “business to consumer”: reward for purchases so that they end up buying even more. There are many schemes of work aimed at improving communication with customers. Let’s list the most trendy ones.
Ballroom
The client places an order for products, and depending on the volume of purchases, he is awarded points: the more points he earns, the higher the privileges he receives. For example, a partner can exchange points for a longer payment deferment or for payment for the next batch of goods.
This also includes cash back, when the user accumulates points and receives an additional discount or voucher for future purchases.
The French tire company Michelin uses this scheme. The more tires its franchise partners buy, the more points they receive and can write them off to pay for the next batch of tires.
There are also schemes in which points are awarded for purchases from partners.
Discount
Very similar to a loyalty points program, but in this case, the more a partner buys, the higher their internal corporate discount becomes. Remember that customers want not only to receive privileges, but also to feel them as a benefit.
Status
The more money the customer brings to your organization, the more privileges he enjoys. Depending on the level of spending on the company's services, you can offer:
free shipping;
extended warranty period;
shipment by installments, etc.
Marketer's Marketplace
We give discounts and promo codes for popular Internet marketing services, contractor services in Digital and training
Informational
For B2B clients, it is important to have the most up-to-date information about the market in order to make a profit. Therefore, information support is relevant for them - this is access to exclusive information or services that you can provide.
Batch
Services are usually provided in a complex. For example, regular customers are offered non-financial options: education, consulting/mentoring, assistance in sales growth and marketing. Often, this is done through partners, and the services offered are free or at a significant discount.
Business club
Business club members become members for free by performing some action (purchase for a certain amount), or on the basis of a paid subscription. As a result, club members get access to special offers, limited products, partner discounts, etc.
The business club includes various functions, including: networking, mentoring, joint events and personal contacts with club members. Everything depends on the level of the company and its capabilities.
Successful examples of loyalty systems for B2B clients
Etihad Airways
Etihad SuperSeller Motivational System
The national airline of the United Arab Emirates rewards agents who sell the most tickets for flights. The Etihad SuperSeller motivation system is aimed at employees of travel agencies. For each ticket sold in business or first class, miles are awarded, which can be exchanged for a free ticket or gifts from partners.
Electronics manufacturer Lenovo
Business partners received points for completing training modules
After the merger with IBM X86, the company needed to train partners to sell products. They developed a project aimed at training existing customers.
Business partners received points for completing training modules, could track their sales progress and convert them into bonus points.
American Bank Comerica
Comerica Bank Programsimg
Offers small and medium businesses a range of free tools: market research, free media promotion, event sponsorship , discounts from a major retail partner. And also free tickets to local sports games, and the ability to book office space for work or meetings.
Tyre concern Cordiant
Tyre concern Cordiant
The loyalty program is designed for sellers and owners of Cordiant tire sales centers. For each tire sold, they are awarded bonuses, which they are offered to spend in the corporate "Hobby store" on the website . In it, participants buy subscriptions and certificates for their favorite activities in their free time (sports, gardening, tourism, cars, etc.)
Office Supplies Supplier MaxPerks
Office Accessories Supplier OfficeMax
Large American supplier of office accessories OfficeMax encourages small businesses, school principals and teachers to buy office supplies from its online store.
The idea is simple: part of the money spent in the store is returned to the buyer's account in the form of cashback. Bonus funds can be spent on new online purchases. For each old cartridge returned, $1 is credited.
Calculator manufacturer "Citizen Consul Club"
Citizen Systems Europe
A classic example of a B2B loyalty program was implemented by the calculator manufacturer Citizen Systems Europe. The idea is that for purchasing Citizen products, a partner receives points that are spent on:
