Frequent Framer Cards / Input

[LeighAnn]

I was wondering if any of you have tried a Frequent Framer Card? We have been tossing this idea around and I thought I could get some input from you that have tried it. Does it work, what's the discount, is their a time limit, do you actually have cards to give to customers?

Thanks!

[Ron Eggers]

Does it work? Depends on what you expect it to do.

I've used it for twenty years as a rewards program. I don't believe it does anything to bring in new customers, but it helps build loyalty among the existing ones.

My POS software keeps track - no punch cards, please. After seven orders, the customer receives a credit equal to the average of those seven. If the eighth order exceeds that credit, they pay the difference. If the credit exceeds the eighth order, the balance rolls over to the ninth order, etc., until it's used up.

Then they start over.

I keep close track of what those credits actually cost me and build it into my pricing. In effect, the occasional customer subsidizes the frequent customer, which makes perfect sense to me.

If you do a search on this forum, there have been periodic discussions about this idea.

[Ron Eggers]

BTW, the advantage of having an actual card is that it is a visual reminder to the customer that the program exists.

The disadvantages are that they loose them or forget to bring them. Most of us have WAY too many program cards in our wallets. For a while, I belonged to a Frequent Cricket Buyer program. (We had fire belly toads.) After buying 12-dozen crickets, the 13th-dozen was free.

[LeighAnn]

Thanks for the input so far. My main goal with the frequent framer card is to promote loyalty. We have a new frame shop opening just a block away in August. I want to give our customers one more reason not to "try out" the new framer. We have been open and doing great business for 7 years and we have some wonderful loyal customers, I want to keep them happy and coming to us. I also just read a thread on "thank you" notes. I have been meaning to do thank you's more consistently, but there never seems to be the time. I guess I'll make the time now.

If you have any other suggestions for me I would love to hear them.

[danny boy]

Ron, toads too?

[Ron Eggers]

Poisonous toads.

It's a long story - probably not suitable for the business forum.

Maybe Warped.

[pcascio]

I'm a strong advocate of Frequent Framer programs and recommend it to my students who are starting businesses.

Not only do they increase customer loyalty, but they encourage multiple purchases and return visits.

Maximize program effectiveness by making the redemption level realisitic. However, put a 2 year expriration on purchase points to create a mild sense of urgency.

IMO, 6th frame free is the right amount. Afterall, if someone said, "If I frame 6 pictures, will you give me a 15% discount?" would you do it? I would.

I also like offering intermediate redpemption option, such as 'Free fillet on the 4th frame, or free non-glare onthe 3rd' The idea is to make the goal of redemption seem attainable for every customer.

Run an occasional "Double Points" promotion, or offer double points on the first purchase.

I agree with Ron that the customer needs a reminder, but you want to track it for them too. Also, be aware of the potential for counterfeiting. Subway just dropped their "Sub Club" because of it.

www.pictureframingschool.com (http://www.pictureframingschool.com)

[LeighAnn]

Any more suggestions? I'd love to see a sample card if anyone has one.

[floralfreezedry]

Originally posted by Ron Eggers:
Does it work? Depends on what you expect it to do.

I've used it for twenty years as a rewards program. I don't believe it does anything to bring in new customers, but it helps build loyalty among the existing ones.

My POS software keeps track - no punch cards, please. After seven orders, the customer receives a credit equal to the average of those seven. If the eighth order exceeds that credit, they pay the difference. If the credit exceeds the eighth order, the balance rolls over to the ninth order, etc., until it's used up.

Then they start over.

I keep close track of what those credits actually cost me and build it into my pricing. In effect, the occasional customer subsidizes the frequent customer, which makes perfect sense to me.

If you do a search on this forum, there have been periodic discussions about this idea. Which POS Systems do this and is it automatic? How easily is this done?

[Ron Eggers]

It is a POS of my own design and, no, it is not fully automatic.

The customer database is integrated with databases for matboard, moulding, work-in-progress and a spreadsheet for pricing and order writing. The customer database has fields for the 1st through the 7th orders and keeps a running average of them in an eighth field. When they've hit seven orders, the average is automatically imported into the order-writing spreadsheet when the rest of the customer information is imported. If there is leftover credit, it sits in the database until the next order is written. When the credit is used up, the fields are cleared and they start over.

So I guess you'd say it's semi-automatic.

[imaluma]

i worked somewhere that had frequent framer cards. you got a stamp for every job worth $50 or more-- so what about the folks who came in twice a year and dropped $500???? what about the ones who came in once a month and spent $20??? just make sure that you make the terms of the card reasonable for all of your customers so nobody feels begrudged.