Not Just One Day: Black Friday Loyalty Strategies for Year-Round Shoppers

November 18, 2024

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Black Friday is more than just a shopping day—it’s a massive opportunity for brands to connect with customers and build loyalty.

At least 59% of German retailers believe that not participating in Black Friday creates a clear disadvantage, and 57% of companies report significant sales boosts during Black Friday.

70% of retailers see Black Friday as a way to gain new customers, while over 30% say it’s an opportunity to reach audiences that traditional channels don’t cover.

But here’s the big question: how can you ensure that Black Friday benefits last beyond the weekend? Businesses can turn Black Friday customers into long-term supporters through the right loyalty strategies.

In this blog, we’ll explore effective loyalty tactics that work not just for a day but all year round, setting the stage for your brand to shine well past the holiday season.

Building a Long-Lasting Customer Base on Black Friday

Special days bring heightened engagement, with customers actively seeking deals and exploring brands. This makes it a prime time for companies to leave a lasting impression.

Holiday-related spending in the U.S. is substantial. Americans are expected to spend between $957 billion and $967 billion this holiday season, averaging $875 per consumer on gifts and other holiday-related items.

For many customers, Black Friday is their first interaction with a brand, opening opportunities to transform these initial buyers into long-term customers.

Additionally, the first-party and zero-party data gathered during this period provides insights into customer preferences, allowing brands to tailor future experiences in ways that build loyalty. Beyond the immediate sales, these special days create memorable emotional connections that can shape lasting customer relationships and your emotional loyalty approach.

Let’s look at some loyalty strategies for Black Friday.

Effective Loyalty Strategies for Black Friday

The following loyalty strategies are designed to maximize the impact of Black Friday promotions. They demonstrate how each approach attracts customers and encourages their return. These methods engage customer motivation and provide meaningful incentives that extend beyond traditional discounts.

1) Black Friday Special: Exclusive Rewards

Exclusive rewards on Black Friday can help brands make loyal customers feel valued. Offering unique, Black Friday-only perks to loyalty members—like access to limited-edition products, special discounts, or gifts with purchases—adds an extra incentive to join or stay in the program.

Approximately 46% of customers see receiving special deals as the best reason to sign up for a loyalty program.

These exclusive offers can also attract new customers, creating a memorable experience that encourages them to return.

Who Does It Work for?

Exclusive rewards are particularly effective for retail and e-commerce brands that can offer unique products or “members-only” deals.

Brands can use these limited-time, exclusive discounts to drive membership sign-ups, especially around high-demand shopping events like Black Friday.

2) Early Access to Deals for Black Friday

One of the best ways to show appreciation to loyal customers is by providing early or exclusive access to Black Friday deals. By allowing members to shop before the general public, brands create a sense of privilege and excitement.

Early access drives engagement, boosts sales, builds trust, and strengthens the customer relationship, making loyal customers feel like they’re part of an insider community.

Who Does It Work for?

Early access is widespread in fashion, electronics, and cosmetics, where limited stock and high demand are factors.

62% of shoppers are more likely to shop if they have early access to holiday sales.

Brands like Sephora have successfully implemented early-access events for loyalty members, with Sephora even reporting a 12% increase in loyalty member spending during such events.

Early access helps convert high-value customers, especially in categories where product scarcity or early-bird pricing drives urgency.

4) Personalized Discounts: Black Friday Data to Tailor Approaches 

Using previous Black Friday sales data, brands can offer personalized discounts that resonate with each customer’s preferences. Companies can create thoughtful and customised targeted offers by leveraging purchase history and shopping habits. Personalized discounts show customers that their loyalty is valued and that the brand understands their interests, making them more likely to engage with future promotions.

Who Does It Work for?

Personalized discounts are particularly successful in industries where customer preferences vary widely, such as online retail, travel, and food delivery.

For example, Amazon and Starbucks use customer data to tailor discounts. Starbucks reports that customized rewards increase customer engagement and overall spending by 11%.

Personalized offers make customers feel understood, which is especially effective in industries with strong repeat-purchase potential, like subscription services and travel.

5) Gamified Experiences for an Engaging Black Friday

Adding gamified elements to loyalty programs during Black Friday makes the shopping experience more interactive and enjoyable. Gamification, like earning points, completing challenges, or unlocking rewards, encourages customers to engage in a fun way. This interactive approach increases repeat interactions and builds a positive association with the brand, making customers more likely to return.

Who Does It Work for?

Gamified experiences are highly effective for industries targeting younger or tech-savvy audiences, like gaming, fast food, and fitness. Retailers like Kohl’s benefit from gamification by creating a “treasure hunt” experience on Black Friday, where customers earn points for specific purchases. Gamification can increase customer engagement by 20% or more, especially with exclusive prizes or points systems.

6) Volume Rewards

Black Friday is a great time to reward customers who make larger purchases.

Offering volume-based rewards, such as discounts or special perks redeemable throughout the year, incentivizes customers to spend more during the holiday and gives them a reason to keep returning.

Volume rewards boost short-term sales and create a foundation for year-round engagement, driving long-term loyalty by offering ongoing benefits.

Who Does It Work for?

Volume rewards work well for retailers, electronics, and subscription services where customers may make high-value purchases. Costco, for example, uses volume rewards year-round but sees a spike in memberships during holiday seasons when larger, bundled purchases are popular.

In subscription models, special rewards or extended trial periods are available for customers who purchase higher tiers. Volume-based rewards are highly effective in industries where increasing the purchase size can increase customer loyalty.

Let's examine the table below to get a summary of the topics covered in the text.

 

Loyalty Strategy

 

Description

 

Who It Works For

 

Why Does it Work?

 

Exclusive Rewards

Offers unique Black Friday perks, like limited-edition items or special discounts, to loyalty program members, boosting retention and attracting new sign-ups.

Retail

E-commerce

Exclusive rewards create a feeling of exclusivity and value, attracting new members.

Early Access to Deals

Provides loyal customers with early access to sales, fostering a sense of privilege and community, and driving engagement.

Fashion

Electronics

Cosmetics

Early access to sales builds anticipation, positioning loyalty members as “insiders,” which strengthens customer relationships and drives repeat business.

Personalized Discounts

Uses data from past purchases to create customized discounts, showing customers they are valued and increasing future engagement.

Online Retail

Travel

Food Delivery

Personalized offers appeal to individual tastes, making customers feel understood.

Gamified Experiences

Incorporates game elements, such as points or challenges, into loyalty programs, enhancing engagement and encouraging repeat interactions.

Gaming

Fast-food

Fitness

Food

Retail

Fashion

Gamification makes shopping fun and engaging, especially for younger or tech-savvy audiences.

Volume Rewards

Rewards high-value purchases with perks redeemable throughout the year, boosting short-term sales and promoting long-term loyalty.

Retail

Electronics

Subscription

Volume rewards incentivize larger purchases and encourage repeat buying by offering year-round benefits.

Last Words

In conclusion, special days like Black Friday are not just about immediate sales but also offer valuable opportunities to gather first-party and zero-party data.

This data can help brands understand customer preferences and behaviours, allowing for more personalized experiences and improved loyalty strategies. By collecting and analysing this information, businesses can build lasting customer relationships beyond Black Friday.

If you want to leverage data-driven loyalty strategies and create meaningful connections with your customers, Kaizen’s technology can help you turn insights into action. Reach out to learn how we can support your customer loyalty efforts.

Kaizen: Customer Loyalty Platform | Loyalty Software

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