Customer Loyalty Tips from Big Brands

In today’s competitive market, customer loyalty isn’t just a nice-to-have, it’s a critical part of sustainable business growth. Big brands like Starbucks, Amazon, and Nike know this well, and they’ve invested heavily in keeping customers coming back. The good news? You don’t need a billion-dollar budget to use the same tactics.

In this article, we’ll break down the customer loyalty strategies of big brands and show you how your small business can apply them to build stronger customer relationships and boost repeat sales.

Why Customer Loyalty Matters More Than Ever

Loyal customers are the backbone of any successful business. Studies consistently show that:

• It costs 5–7x more to acquire a new customer than to retain one.
• Returning customers spend up to 67% more than new ones.
• Loyal customers are more likely to refer others and leave positive reviews.

In 2025, where competition is only getting fiercer and customers have more choices than ever, keeping your current customers happy and engaged is one of the smartest moves you can make.

Big Brands Doing Loyalty Right

Let’s look at how some of the world’s top brands have mastered loyalty and what makes their programs so effective.

Starbucks

Starbucks Rewards is one of the most recognized loyalty programs in the world. Customers earn stars for every purchase, which can be redeemed for free drinks, food, and merchandise. The program is managed entirely through the Starbucks mobile app, which also enables ordering ahead, payment, and personalised promotions.

Why it works:

• The app offers a seamless, mobile-first experience.
• Users receive tailored rewards based on purchase history.
• Starbucks runs frequent bonus star challenges to incentivize specific purchases.
• It drives signups with perks like a free birthday drink and exclusive member offers.

What SMEs can learn:

• A digital loyalty program makes tracking and rewards easier.
• Personalised offers increase redemption and repeat visits.
• Even a simple app or SMS-based rewards system can provide convenience and connection.

Sephora

Sephora’s Beauty Insider program is tiered:

• Insider: Free to join, with basic rewards and birthday gifts.
• VIB (Very Important Beauty Insider): For customers who spend more than a set amount annually, unlocking better perks.
• Rouge: The top tier, offering premium benefits like exclusive events, early access to products, and free shipping.

Why it works:

• Tiers create aspirational value, customers want to move up for better rewards.
• Members feel appreciated and part of an elite club.
• Sephora uses email and push notifications to keep customers informed and engaged.

What SMEs can learn:

• You can create simple tiers even without complex tech (e.g., bronze/silver/gold levels).
• Offer small, meaningful perks for high-spending customers (e.g., early access, free samples).
• Recognise your top customers: It builds emotional loyalty and status.

Amazon Prime

Amazon Prime is a paid membership program offering free one-day or two-day shipping, exclusive deals, streaming content, and more. Members spend significantly more than non-members due to the ease and value the program offers.

Why it works:

• The benefits are highly practical and easy to use.
• Prime creates a sense of “sunk cost”, once customers pay, they shop more to “get their money’s worth.”
• The bundled benefits (entertainment, shipping, discounts) increase the perceived value.

What SMEs can learn:

• Consider bundling services or perks (e.g., free delivery + loyalty points).
• Offer a “VIP” option with extra value: Exclusive deals, faster service, or bonuses.
• Provide clear, consistent benefits that justify any paid loyalty option (even if small).

Nike

Nike’s loyalty strategy isn’t just about rewards, it’s about community and brand connection. Their Nike Membership program includes early product drops, training content, and community events.

Nike’s Membership Program includes:

• Early access to new releases
• Personalised training plans and wellness content
• Invitations to local events and exclusive experiences
• Product customisation and feedback opportunities
• Nike doesn’t just offer discounts, it offers belonging.

Why it works:

• It taps into identity and lifestyle: Members feel part of the Nike tribe.
• They provide value beyond the product, like fitness advice and social connection.
• Events and local outreach build strong community ties.

What SMEs can learn:

• Your brand doesn’t need to be transactional. Build community around your values.
• Offer content or experiences that align with your brand (e.g., classes, events, behind-the-scenes access).
• Focus on emotional connection, not just transactional rewards.

How Small Businesses Can Apply These Tactics

You don’t need a big tech team or massive marketing budget to build a great loyalty program. Start with the essentials:

1. Use Simple, Affordable Tools

Choose a cloud POS or customer engagement system that includes built-in loyalty features like digital stamp cards, referral programs, or automated rewards.

2. Start with One Reward System

Pick a structure that fits your business: Points per purchase, buy-10-get-1-free, or spend-based rewards. Keep it simple and clear.

3. Collect Customer Data

Even just collecting names, emails, or birthdays helps you personalise your offers. Always be transparent and respectful with customer data.

4. Communicate Consistently

Let customers know about their rewards, upcoming promotions, or milestones. A quick SMS or email reminder can drive them back into your store.

Loyalty Is a Long Game

Big brands succeed with loyalty because they think beyond short-term sales, they focus on building relationships. The same principle applies to your business. Whether you’re a cafe, boutique, or service provider, a well-run loyalty program can help you turn casual customers into lifelong fans.

Start small, stay consistent, and focus on delivering value. That’s the real secret behind customer loyalty, big brand or not.

Need help setting up a loyalty program?

Keep your customers returning with the EPOS Loyalty Program, powered by Whataspp! Contact us today to transform your business. We also provide modern POS solutions that are designed to help your business grow! Furthermore, SMEs are eligible for up to 80% support for the adoption of EPOS Pre-Approved Solutions under the IMDA SMEs Go Digital programme. Last but not least, we also offer Digital Marketing Solutions for SMEs seeking business growth, providing tailored marketing strategies catered to the unique needs of each business.