A loyalty program is designed to increase customer loyalty, and customer loyalty happens as a result of repeated positive experiences with a brand. The impact of customer loyalty is felt across businesses of all sizes and all industries. One of the most important places to see the impact of customer loyalty is in your sales reports. No doubt, there is a proven connection between loyal customers and higher sales. 

To understand how a loyalty program will increase sales, check out these examples:

Loyal customers spend more per transaction

Loyal customers spend a lot more than new customers, 300 per cent more, according to Rj Metrics. Not only do repeat customers buy more than new first-timers, they likely trust you enough to purchase your more expensive products or services.

Loyal customers buy from you more often

Did you know, when you’re marketing to a new customer, you only have a 13% chance of persuading them to make a purchase? However, the odds improve drastically when you market to a repeat customer. Repeat customers have a 60%-70% chance of buying. They also know what they want and decide to purchase in less time.

Loyal customers have a higher lifetime value

Customer lifetime value (CLV) is a projection of the profit that comes from the entire relationship with a customer. Happy, loyal customers will buy from you over and over, and their customer lifetime value will increase as a result. Every time they come back, month after month, and year after year, the lifetime value of each loyal customer gets higher and higher. 

Loyal customers help you earn more market share

If you convert ten random shoppers into loyal, frequent shoppers you will earn more market share. Plus, loyal customers provide free word-of-mouth advertising. So, if those ten new loyal customers went out and told their friends about you, that market share increases again. Referred customers have instant trust and they spend more in their first transaction than an average new customer.


Many businesses look for long-term strategies to increase sales, and a customer loyalty program is one of your best options. Reward programs increase customer loyalty and thus, sales will increase as a result. Not to mention, customer loyalty programs attract new customers as well. Especially, when you partner with a well-known coalition reward program, such as the AIR MILES® Reward Program. Check out these case studies from our Partners to prove it. 


If you would like to know how to use a loyalty program to increase sales at your business, our team can help. To learn more about customer loyalty, download our free ebook Loyalty Programs, The New Business Imperative.

Strong customer relationships will always have a positive impact on revenue. Loyal customers, are the bedrock of your business and will ensure your longevity and success. 

Our team of loyalty experts is here to help. Contact us to find out how you can get started today!