Everyone loves rewards and surprises! In 2024, digital loyalty programs that use QR codes are becoming super popular in India. A QR-Based Loyalty Program in India is great for customers, partners, and overall brand recognition because they offer instant rewards, surprise gifts, and real-time redemption of benefits that stay with the redeeming party for a long time.
Customers are excited about these programs, so brands have a fantastic opportunity to take advantage of their popularity. As summer approaches, brands might wonder if they should integrate a QR-based loyalty program in India. Agreed it’s incredibly convenient and user-friendly, but how can it benefit the company’s bottom line? Let’s take a look!
A Brief Look at the Basics
A QR-based loyalty Program in India is a digital rewards system that utilizes QR codes to track and encourage customer actions. When customers scan these codes using their smartphones, they unlock rewards, points, or discounts, which enhances customer loyalty and encourages repeat patronage.
Every scanning produces a data point. Thus, businesses can simply monitor a customer’s engagement and formulate loyalty rewards accordingly. The straightforwardness and ease of integration for both the company and the loyal customers make this system highly effective.
QR-code-based loyalty programs provide quite a lot of benefits among them, analysis, instant scanning, and real-time redemption of benefits. QR technology can automate these tasks, whether it’s instant redemption for loyal customers or discounts, welcome gifts, and hefty deals to uplift the business.
Does the QR-Based Loyalty Program Have an Impact on the Customers?
Participation in any loyalty program is beneficial to business as a whole. The reason the shoppers last so long is it aids companies in attracting more products. For every 5% of the customers staying with the company, the overall company profit increases by 25%! That’s a huge difference. Client heads also generate 12-18% more revenues for the enterprise annually than the members of the loyalty program in general.
Plus, the QR-Based Loyalty Program in India offers more convenience when claiming the incentives; all the customers need to do is scan the QR, and that’s it – it cuts on precious time and effort. Enhancing customer loyalty can greatly benefit your business. Here are some key advantages of improving customer loyalty with a QR-based system:
- Better customer retention: A QR-based loyalty program helps you keep customers you’ve worked hard to attract, preventing them from switching to competitors.
- Increased customer lifetime value: Boosting the revenue you earn from each customer can improve the return on investment for customer acquisition. A convenient QR-based loyalty program is an effective way to achieve this.
- Enhanced brand recognition: Satisfied customers who enjoy your loyalty program are likely to recommend your business to others, leading to word-of-mouth referrals and greater brand recognition.
- Improved customer satisfaction: Showing appreciation for loyal customers increases their happiness, resulting in more sales, positive reviews, and a favorable perception of your brand.
In general, the number of users of those programs is growing every year, and companies are enjoying a 15-25% growth as a result. In addition, Only 18% of people who use plastic discounting cards are still using them after three months of regular use. What is striking is that as high as 83% of the individuals who are active in the mobile-based loyalty plan are still widespread in active participation.
So loyalty programs, especially a convenient QR-Based Loyalty Program in India, are super crucial for businesses to keep their customers happy.
More Incentives, More Sales!
Taking POV from the other side, employees who receive rewards for their efforts tend to feel appreciated, boosting their job satisfaction and motivating them to work harder. For instance, sales incentives rewarding team members for meeting goals can increase performance by 44%.
Moreover, employee rewards can enhance retention rates, as satisfied employees are less likely to seek alternative employment opportunities. Retaining skilled team members is essential, as losing them could mean losing valuable expertise to competitors. Additionally, offering attractive rewards can attract talent to the company, as potential employees may be drawn to positions that provide superior incentives compared to competitors.
Successful Businesses are the Proof of this Concept
A QR-based loyalty Program in India provides businesses with effective tools to engage and retain customers. Many platforms in India, like Rewardix, enable businesses to offer QR-based loyalty rewards to employees, clients, and other partners. Popular case studies like Starbucks, McDonald’s, and Amazon show us the potential of combining QR with customer/employee loyalty programs.
For example, Amazon used its branded QR codes, called SmileCode, to spread them among pop-up stores and Amazon lockers in European and US magazines. Customers who are in-store using their Amazon app can immediately acquire loyalty benefits at the exact store where they saw the QR code.
Likewise, McDonald’s has a loyalty program by way of the ‘Deals’ of their McDonald’s app which is QR code-based. For every beverage they purchase by scanning the in-app QR code, customers are able to accumulate free beverages. The process is simple: purchase any item, and when presented with the QR code at the counter, recipients get a standby free McCafe drink. Following the offer, over 7.5 million downloads were recorded, exceeding all expectations.
Although these examples are from outside of India, the impact is still relevant in India. Many businesses, whether in e-commerce, retail, or any other consumer-first business, can take the “first mover” advantage these QR-based programs present.
Final Thoughts
With the rise of QR loyalty programs in India, we can see an innovative move in consumer engagement tricks that empower brands with a powerful tool to increase sales, enhance customer loyalty, and positively affect brand perception. These programs utilize the dominance of smartphone usage and the convenience of QR technology in their product offerings, which focus on the instant gratification of rewards and personalized consumer experience.
QR-based loyalty programs can tremendously benefit the business on many sides including high customer retention, greater customer lifetime value, stronger brand visibility, and overall customer satisfaction.
Indian businesses considering using innovative loyalty solutions, adopt QR-based loyalty programs with partners like Rewardix and witness the benefits of growing customer loyalty, sales increase, and sustainable business in the ever-changing market.