Integrated referral and loyalty programs enhance customer lifetime value
In an era where building brand loyalty and reducing customer acquisition costs are paramount, Extole, a leader in customer-led growth, is teaming up with Mastercard Loyalty Services to unite its powerful refer-a-friend capabilities with Mastercard’s SessionM loyalty platform. This collaboration will give brands an innovative way to increase customer lifetime value, foster brand loyalty, and encourage customer advocacy.
Marketers can now seamlessly incorporate on-brand referral programs into their existing loyalty programs. And there’s proven value in the approach — compared to other marketing channels, refer-a-friend leads to 3-6x conversion rate, 115% higher average order value, 125% higher lifetime value, and 2x purchase frequency1. This new capability also enables marketers to craft personalized loyalty offers in near-real time, such as rewarding points to customers who refer friends to sign up for rewards programs, make purchases, or interact with the brand in meaningful ways.
Crucially, insights gleaned from Extole-powered customer engagement programs, including data on top advocates and newly acquired customers, will be leveraged for future offer segmentation within SessionM. This data-informed approach ensures that offers are more appealing and relevant to individual customers, driving engagement, loyalty, and lifetime value.
The partnership between Extole and Mastercard Loyalty is more than a mere integration of services; it is a convergence of extensive industry knowledge and expertise. By leveraging the strengths of both platforms, brands can now more effectively activate their customer base, transforming from basic customers into passionate advocates that help drive sustainable growth and foster authentic, long-term relationships. Together, we’ll equip marketers with the tools and insights necessary to navigate the complex and evolving engagement ecosystem.
1 Source: Extole benchmarking data as of January 2022