Loyalty programs are one of the most attractive marketing tactics for eCommerce stores—75% of consumers prefer brands with some sort of points program.
Loyalty programs help engage customers. They provide opportunities for retailers to enhance customer experience.
But even though most online brands set up loyalty programs, only a handful get it right.
One such brand that gets its loyalty program right is Nordstrom. In this blog, we breakdown its loyalty program.
What is the Nordstrom customer loyalty program?
Nordstrom is a lifestyle brand that caters to men, women, and kids fashion and accessories. The brand has a loyalty program called Nordy Club.
Nordy Club rewards program members get various benefits for signing up, such as rewards, exclusive access, curated benefits, and personalized offers.
Apart from purchase-based points and rewards, the brand creates fun experiences such as exclusive events, special features on the Nordstrom app, free shipping, etc.
Nordstrom loyalty program: an in-depth analysis
In this section we breakdown the Nordstrom loyalty program features to understand what makes it so successful. Here are 10 elements of the Nordy Club loyalty program that stand out and have worked for the brand to improve customer loyalty.
1. Nordstrom has a dedicated loyalty program page
Nordstrom’s dedicated page for its loyalty program makes it easy for customers to find information and get an overview of the program on one page. The page provides information about:
- The rewards of Nordy Club
- How the program works
- How to earn benefits
- How to join
- About the Nordstrom credit card
- FAQs
- Information about exclusive events
- A comparison of benefits under different programs
2. The brand offers multiple ways to earn rewards
The Nordstrom loyalty program offers different ways in which customers can earn rewards and points. This makes it enjoyable for customers as well as improves loyalty.
If earning points and rewards gets difficult, customers may lose interest. Here are the different ways in which Nordstrom customers earn loyalty points:
- 1 point for every dollar spent
- 2 points for every dollar spent via Nordstrom credit or debit card
- 1000 points equals $10 Nordstrom note
- More points during bonus points events
- Online and in-store points
3. Clear explanation of how the loyalty program works
When brands give clarity about how their loyalty program works and other details, it makes customers’ experience easy. And this is another aspect that the Nordy Club rewards program page gets right. The brand leaves no questions unanswered. Here’s how they explain how the loyalty program works:
- The page has different sections dedicated to explaining different aspects — how the program works, how to earn points, how they can unlock more benefits, etc.
- The section on how to earn points explains with numbers how many points customers earn when shopping
- They also explain how the reward points turn into currency and how they can use it
4. An FAQ section dedicated to the loyalty program
Customers may have many questions about loyalty programs. For instance, they might want to know how to join the program to see how they would benefit and how they can use their points. The Nordstrom loyalty program page includes an FAQ section that answers all basic questions of customers.
The FAQ page provides options to choose from:
- General information
- Rewards points
- Rewards: Nordstrom notes
- Unlocking status
- Nordstrom credit card
- Benefits
- Cancellation
Having frequently asked questions under each of these sections makes it easy for customers to find relevant answers to their queries.
5. The brand has co-branded credit card for the loyalty program
The brand has created a co-branded credit card. How many points you earn depends on whether you have a Nordstrom credit card or not. Customers who have the Nordstrom credit card can earn more points on their spends. They can get rewarded with Nordstrom Note, which they can redeem and shop with.
The brand has incorporated these gamification elements and made the loyalty program strategy more engaging.
6. Nordstrom loyalty program has four different loyalty levels
The Nordy Club offers four loyalty program plans — Member, Insider, influencer, and Ambassador. The loyalty program works on the principle of spend more, earn more concept.
Each tier has specific benefits, with Ambassador level having the most. Here are the four tiers of Nordy Club:
- Member: Customers who spend $0 to $500 per year get to join the loyalty program for free
- Insider: New cardholders or customers who spend $500 and more every year get the influencer status
- Influencer: New cardholders or customers who spend $2000 and more every year get the influencer status
- Ambassador: Members of the Nordy Club who spend more than $5000 each year with the brand’s credit card
7. Nordy Club offers benefits beyond points
Most loyalty points offer reward points. And so, points aren’t enough to attract customers. Customers expect a lot more. For instance, brands build communities, host events, offer exclusive benefits to different tiers, etc.
The Nordstrom loyalty program members get a lot of perks and benefits beyond loyalty points. Here are some of the perks that make it the best retail loyalty program examples to learn from:
- Free shipping
- Curbside pickup
- Exclusive double points days based on tiers
- Free clothing alterations
- Access to styling workshops
- Early access to annual sales
- Styling events
- Invite-only events
8. The brand pays attention to the visibility of the loyalty program
Your Shopify brand may have the best loyalty program strategy with top benefits and perks, but if your customers don’t get to know about it, it’s going to be pointless. It will end up being a huge investment and expense to your business.
That’s why it’s important to make your loyalty program as visible as you can. And that’s something Nordstrom loyalty program gets right.
It has a page dedicated to the loyalty program, which shows customers the importance the brand gives to the program. Further, the brand doesn’t leave any information to guesswork. The page explains every detail via words and illustrations.
Now, having a dedicated page helps but that doesn’t mean customers will come to the page on their own. You have to put in a lot of effort to ensure customers visit the page.
Nordstrom actively promotes its loyalty program all across its website as well as external assets such as social media channels, apps, etc.
9. Consistency and clarity
When there’s lack of consistency and clarity, your customers could be confused and hence not engage with your loyalty program. For instance, if there’s mismatch of information on your different channels, customers may find it hard to trust you.
Nordstrom loyalty program page pays attention to consistency. From the information shared to the tone of voice to the value it adds to customers via different loyalty levels, there’s clarity and consistency.
Moreover, the Nordy Club rewards program aligns with the brand’s values and perception. The lifestyle brand shows its commitment to ensuring their customers get the best of products across categories. Customers visiting the loyalty program page get a clear overview of perks and benefits and how the program functions.
10. Information about cancellation
One of the biggest complaints of customers is that brands make it extremely difficult for them to cancel memberships to rewards programs. This can leave customers with a bad experience.
But Nordstrom addresses this issue by having a dedicated FAQs section on cancellation. Customers who want to cancel their membership can easily refer to this section and initiate cancellation.
From providing contact details for initiating cancellation to answering questions such as whether customers can use their points and rewards after cancellation, this section provides all information.
Nordstrom loyalty program strategy: key takeaways
- Your Shopify store might have an excellent loyalty program. But unless you promote it and talk about it, you won’t be able to engage customers. Nordstrom actively promotes and markets its loyalty program via different channels, such as its website, product pages, social media, and other specific marketing campaigns.
- Nordy Club loyalty program analysis shows that the brand creates much deeper engagement with customers via the program. For instance, access to lifestyle workshops where customers can learn about styling and trends. Customers also enjoy First to Shop Select Brands—early access to specific products and brands. The First To Shop Clear The Rack allows members to shop from the clearance sale before others. Customers who reach influencer status can enjoy Personal Double Points Days—earn double reward points.
- The Nordstrom loyalty program goes beyond the regular loyalty benefits offered by brands. This loyalty program strategy ensures their customers stay engaged and keep coming back to the brand for more experiences.
- Your loyalty program is only as good as your tech and digital capabilities. Customers expect the best digital experiences from brands. And hence, it’s essential for Shopify stores to install the best loyalty programs app with intuitive capabilities.
Why set up a loyalty program with Appstle?
You’ll find many loyalty and rewards apps in the market. However, choosing an app is a critical factor. It’s essential that your loyalty app has comprehensive features, is intuitive, and is built with reliable technology capabilities. Appstle Loyalty and Rewards app is one of the most preferred by Shopify merchants. The app has comprehensive capabilities to attract and engage customers.
Multiple types of loyalty programs: Brands need to set up loyalty programs based on their products, services, industry, and customer preferences. It’s a key factor for loyalty program strategies. Appstle loyalty and rewards app enables brands to set up different types of programs as per their needs.
Gamification features: To keep customers engaged, you need to incorporate gamification, tier-based plans, automated features, etc. Appstle offers all these capabilities within one app.
24/7/365 customer support: Shopify merchants speak highly of Appstle’s customer support capabilities. From installation to upgrades, migrations, and ad hoc technical challenges, its support teams are always available with effective resolutions.
Customization and personalization: Appstle takes pride in being a loyalty solutions provider that caters to customers specific requirements. With its customization features, merchants can incorporate unique features to get a competitive advantage in the market.
Easy integration and set up: You’ll require more than just one app or tool to execute your loyalty program strategy. Appstle Loyalty and Rewards App easily integrates with third party apps and systems. Additionally, it has an easy set-up flow, making installation a breeze.
Comprehensive loyalty activity features: With Appstle, brands can incorporate exciting and engaging loyalty activities, rules, gamification, etc. so customers never get bored and remain engaged, and earn more points.
To get started with your Shopify store’s loyalty and rewards program, install Appstle Loyalty And Rewards App today.
