A customer takes part in her rewards program benefits at her local beauty shop.

Why You Should Build a Rewards Program for Your Beauty Biz

3 Reasons a Loyalty Program is a Must for Your Business

Is your customer retention rate laggin’? Do you find that your customer’s brand loyalty isn’t as strong as you wish it were? Are you hoping–praying even–that your customers choose you over the beauty biz down the street without any real confidence that they will?

It sounds like you could use a little help in the loyalty department. And one of the absolute best ways to reset and strengthen your customer loyalty is to show your appreciation for their business through a program that rewards them for choosing you. In other words, you need a loyalty program–and a good one.

What is a Rewards Program, Anyway?

A customer rewards program is a carefully crafted program that helps to retain customers and encourage them to continue working with you. This program has incentives–maybe points, maybe discounts, maybe gifts–that they can ultimately build to unlock something worth their time. This encourages them to come back to you, time and again, to not only receive great service or products but also build on that program so that they end up with a prize or reward at a certain point. 

Rewards programs come in all varieties. Some are based on points, tiers, or money spent. Ultimately, the type of program you come up with is up to what works best for your business and your customers. 

The Top 3 Reasons Your Beauty Business Needs a Reward Program

It Actually Strengthens Customer Loyalty 

It might sound obvious given the name, but the biggest benefit of a customer loyalty program is that– you guessed it– it strengthens customer loyalty. But this isn’t just a claim we’re making out of thin air. According to a study by Invesp, 84% of consumers said they’re more “apt to stick with a brand that offers a loyalty program.” 

A customer adds her points to a rewards program on her phone while getting a spa treatment.

And that’s because loyalty programs make customers feel like they’re getting something back for their business. They’re not simply walking into your shop and trading cash for a service–they’re doing that and being appreciated by you for choosing you. 

Here’s the catch, though. You can’t just throw together a program and hope it works–it takes a little strategy. The trick is creating a program your customers care about and deem valuable without hurting yourself financially. That balance–finding it and maintaining it– is the true key to it all. 

It Can Increase Customer Spending 

Think about it–a customer loyalty program has the promise of something good if a customer spends a certain amount. That’s a little bit like dangling the carrot in front of them and saying, “you’re almost here–why not just purchase something now?” In that same Invesp survey, about 66% of consumers said that “the ability to earn rewards actually changes their spending behavior.” 

We’re absolutely not saying that you should trick your customers, but a little buyer psychology never hurts a business’s profits. And besides, the loyalty program you come up with should give your customers something of actual value–so, in theory, they should actually want to spend a certain amount to get it. 

This strategy can help give customers a gentle (and not pushy at all) nudge toward purchasing more so they can get what they’re after.

It Can Improve & Retain Your Customer Relationships

Customer loyalty is one thing–customer relationships are another. Thankfully, loyalty and reward programs can help with both. 

A stylist gives her client a free shampoo, one of the rewards on the loyalty program.

Yes, you want your customers to be loyal to your brand–but more than that, you want them to see you as more than a brand. You want them to have real, meaningful relationships with you so they’ll feel valued and continue working with you–all of that falls under your customer retention efforts. 

You might be thinking, “why bother retaining customers when I can just get a new one in their place?” That’s partly true–there’s no shortage of new customers you could acquire. But did you know that acquiring a customer can cost 5x more than simply retaining an existing customer? Long story short, it’s not always a financially sound technique to worry about acquisition over retention. 

Loyalty programs can help your customers feel valued and like they have an actual, tangible relationship with you–they’re not just a number or a set of feet walking into your shop. You know them, they know you, and you care about them–you prove it with a sound and rewarding loyalty program. 

And to give a head start, we have a loyalty app tool that you can consider, it is called Salon S.O.S. With Salon S.OS. you will be able to implement your own customized loyalty app in your business.


Think a rewards or loyalty program could be the ultimate difference for your business? We recommend you give it a try.

Remember–it’s not just about throwing together some haphazard program; make sure you math it out to ensure it works for you while being a worthwhile program for your customers. The key is in that balance! 

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