Chargebacks911 Founder Monica Eaton was asked to share her industry expertise and was quoted in a new feature for the IMRG blog.
Founded in 1990, Interactive Media in Retail Group is a trade association focused on helping online retailers and brands to better understand and improve their overall performance. IMRG has grown to become the UK’s largest eCommerce membership community in recent years. Composed of retailers, brands, and technology partners, they encourage cooperation between brands and technology partners to forge sustainable relationships.
Loyalty programs are a great asset for merchants, and consumers love them as well. Merchants may be underestimating the value that these programs represent for their bottom line, though.
“Subscription services are an excellent way to break up larger subscription dues and membership payments into smaller, more manageable increments,” Monica explains. “These loyalty schemes can significantly improve your reach, increase monthly revenue, and allow customers to try services before agreeing to larger payments.”
However, while there are some points about loyalty programs that should give merchants pause. These programs need to be managed carefully to ensure they're profitable and effective.
“...many of these loyalty-based subscription services can bring with them notorious hidden fees, the public’s natural aversion to contracts, and the issue of customers subscribing to things and forgetting about them until their billing statement,” Monica explains.