Paid Subscription Customer Loyalty Program
Now that you know how rewards programs work, the paid customer loyalty program — or subscription-based loyalty program — can be easily adapted to your e-commerce or brick-and-mortar store.
Paid loyalty, or fee-based loyalty programs, give customers immediate and ongoing benefits for a participation fee. These fees can be recurring or one-time.
Paid programs may need to require proof-of-value to get signups, but the business can gain higher customer value from members. A recent report by McKinsey shows that consumers are 62% more likely to spend more on a brand after joining a paid loyalty program. Giving away custom-branded lighters like the Transparent Flint Lighters or using them as an incentive for a paid program is the start of a perfect plan.
The most common example of a paid loyalty program is Amazon Prime. There is a different value for each of
Protective Cap Torch Lighter-Green
the “Unlimited” Amazon packages and customers can choose which they would benefit from the most. While it seems like a hard model to mimic, paid loyalty can suit many different business models.
There are three elements that successful paid loyalty programs have in common:
- The benefits clearly outweigh the fees, which encouraged sign-ups.
- Members stick around for more experiential advantages, like personalized experiences and members-only content.
- Engagement levels are high. Paid programs have a continuous flywheel of interaction that elevates the program’s value.
Not sure where to start? Ask customers what they want from a rewards program. You can easily run a survey or poll with your customer base to find out. Then create a rewards program accordingly.
Here’s our four basic types of customer loyalty programs.
- Points-based Loyalty Program – Published 01/15/2025
- Tiered Loyalty Program – Published 02/08/2025
- Paid Loyalty Program – Published 03/01/2025
- Value-based Loyalty Program – Published 03/26/2025
Have you read about all of them?
