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social psychology of reviews

The Social Psychology of Referral Programs (Part 2)

This post is the second half of a two-part series on the social psychology of referral programs. You can read the first post here. Referrals from friends and family have become critical to consumer decision-making. In fact, a 2010 article by McKinsey stated that word of mouth “is the primary factor behind 20 to 50 percent of…

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The Social Psychology of Referral Programs (Part 1)

This post is the first half of a two-part series on the social psychology of referral programs. Stay tuned for the next installment! Referrals from friends and family have become critical to consumer decision-making. In fact, a 2010 article by McKinsey stated that word of mouth “is the primary factor behind 20 to 50 percent of all…

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5 Loyalty Program Best Practices that Drive Engagement

Do any of these statements apply to you? I created a loyalty program and want to make it better. I am planning on implementing a loyalty program but am unsure how to start. I could benefit from a few strategies to maximize customer retention from some high-growth ecommerce businesses. If you agree with any of these…

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Effective Referral and Loyalty Programs in The Beauty Industry: A Deep-Dive

The beauty industry, worth $80 billion in the US alone, encompasses the skincare, fragrance, cosmetics, and hair care industries, as well as some of the personal care industry.  It hasn’t transitioned online as quickly as many other consumer packaged goods have, but this is beginning to change (as evidenced by the fact that the online share of…

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Building an Activewear Loyalty Program That Your Customers Love

Whether you’re lifting weights in the gym, doing yoga in the studio, or jogging in the park, you rely on clothes that will support your physical activities. “Activewear” apparel, clothing designed for an active lifestyle, is able to provide both comfort and an extended range of motion while exercising. The activewear industry is booming as…

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Incentive Marketing Case Study: Zappos Rewards

When it’s time for a new pair of shoes, where do you go? If your solution involves opening up your computer and googling “buy shoes”, chances are that you’ve stumbled across Zappos.com. Zappos, the #1 online footwear retailer and clothing shop, has much to be proud of. Based in Las Vegas, the company has 1,500…

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Spotlight on Incentive Strength: 3 Ways to Design a More Effective Rewards Program

Incentive (noun): “something that encourages a person to do something or to work harder” – Merriam-Webster Learner’s Dictionary  The term “incentive” is being used more and more in spaces like e-commerce, healthcare, and policy.  But what do marketers really mean when they talk about incentives, and how can you apply the idea?  Today, we’ll demystify the…

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How to Use A/B Testing For Your Loyalty Program the Right Way

Every online merchant survives on “conversions”– turning a typical visitor into someone that produces value for your business. Whether that visitor completes a purchase, subscribes to your newsletter, or simply clicks on your “Learn More” button, each of these actions moves your potential customers along the buyer’s journey and can be vital to your success. Customer…

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It’s All In the Presentation: Using Psychology to Build an Effective Rewards Program

To most of us, terms like “cognitive conditioning” and “salience” can be, well, a little off-putting.  If you feel this way, don’t fear — today, we’ll be breaking down some of these psychology concepts so that they’re understandable and (wait for it…) useful. Specifically, we’ll look at how these concepts can be used to design…

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Is Your Rewards Program Promotion Reaching All Your Customers?

It’s a heinous crime in the world of incentive marketing… Picture yourself sitting on a witness stand, under oath, and accused of not extending your rewards program promotion to all of your customers Would you be found guilty? Your peers and competitors in the race to earn customer loyalty are promoting their programs heavily as evidenced by the…

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