Disclaimer: The articles published here on the City of Eau Claire Economic Development Division website are meant to be a helpful starting point as you explore doing business in our community. They’re not the final word on rules, requirements, or what’s best for your unique situation. We always recommend checking in with legal, financial, or other professionals for advice tailored to your business.
The Eau Claire community is full of friendly faces and supportive locals who want small businesses to succeed. But once you’ve opened your doors, how do you keep those customers coming back?
That’s where customer loyalty and referral programs can be handy. Think of these programs as a way to say, “Thanks for choosing us!” and “Tell your friends about us!”, but in a way that feels genuine and helps build lasting connections.
If you’re wondering how to get started, this guide breaks it down into simple steps that any Eau Claire entrepreneur can follow.
Why Loyalty & Referral Programs Matter in Eau Claire
Although we’re one of the fastest-growing cities in Wisconsin, Eau Claire is still a small community that values connection and supporting local. People here love discovering new shops, restaurants, services, etc., but what really keeps them coming back isn’t just the product or service. It’s how you make them feel. When your customers feel truly appreciated, they’re not only more likely to return but become enthusiastic ambassadors who bring their friends and family along.
That’s exactly where loyalty and referral programs shine. Loyalty programs give customers a little extra for choosing you again and again—like earning points toward a free coffee or scoring discounts after a few visits. It’s your way of saying “thank you” and keeping that relationship strong.
Referral programs, on the other hand, tap into one of the most trusted forms of marketing: word of mouth. When someone recommends your business to a friend, that personal recommendation carries far more weight than any ad. People trust suggestions from people they know, and that trust can open doors to new customers who might not have found you otherwise.
For small and new businesses in Eau Claire, loyalty and referral programs are powerful tools to grow your customer base without needing a big marketing budget. They build lasting connections and make your customers feel like part of your business family, which is exactly the kind of support that keeps Eau Claire’s local economy thriving.
Step #1: Decide What Type Works for Your Business
There’s no one-size-fits-all when it comes to loyalty and referral programs. Every business and every customer is unique, so start by thinking about what fits your brand, your customers’ habits, and your day-to-day operations. The goal is to create a program that feels natural and exciting for both you and your customers.
For loyalty programs, some popular, effective ideas include:
- Punch Cards: Perfect for coffee shops, bakeries, restaurants, or salons. For example, buy nine coffees, get the 10th free. It’s tangible and easy to understand; plus, it encourages repeat visits.
- Points Systems: A bit more high-tech in that customers earn points for every dollar spent and redeem them for discounts, freebies, branded swag like tote bags or t-shirts, etc. This works well for retail stores or restaurants rewarding customers over time.
- VIP Perks: Reward your best customers with early access to sales, exclusive events, or special services. This builds community and makes people feel like insiders.
Referral programs encourage happy customers to spread the word. Some ideas for those:
- Offer a discount or freebie to both the customer who refers a friend and the friend trying your business for the first time. For example, a local boutique might give 15% off to both on their next purchase.
- Run a monthly prize drawing where every referral is an entry to win something fun—maybe tickets to a local event, a gift card, or an Eau Claire-themed prize, to name a few.
The key is to keep your program simple and valuable. If it’s too complicated or the reward isn’t appealing, customers won’t participate. So, make sure the reward fits what your customers actually want and reflects your brand’s personality. To get started, take time to think about your customers and what motivates them, and then build your program around that. Starting small and simple is fine too; you can always add rewards or perks as you grow.
Step #2: Set Clear Goals & Rules
Once you know what type of program you want to offer, get clear on what you need it to achieve before you launch. Knowing your goals helps you design a program that works and makes it easier to measure success later.
Write down what success looks like for your business. For example:
- Are you aiming for more frequent visits or new customer referrals?
- Do you want customers visiting twice a month instead of once?
- Are you hoping to grow your customer base by 20% in six months?
- Are you needing to increase sales during slower times?
- Or maybe you want to boost sales of a particular product or service?
After your goals are set, move on to creating straightforward rules for the program that are easy to understand. Confusion will keep customers from joining. For example, if you own a bakery, you might offer a stamp for every purchase, and after 10 visits, they get a free pastry or discount. Or for referrals, give both the referrer and the friend 10% off their next purchase.
Whatever you land on, communicate the rules clearly. Print simple instructions on loyalty cards, post signs at checkout, and share details on your website and social media. Train your staff to explain the program enthusiastically too; they’re your frontline ambassadors! When customers understand the program, they’re more likely to return and spread the word.
Step #3: Choose Your Tools
To get your program up and running, you don’t need fancy software. In fact, many Eau Claire businesses start with simple, manageable tools that fit their size and style.
Paper punch cards are a classic—tangible and beloved by customers who enjoy collecting stamps toward a free item. If you prefer, you can also keep track with a simple spreadsheet. This low-tech approach is both personal and budget friendly.
As you grow or want to streamline, digital tools can help too:
- For referral programs, platforms like ReferralCandy or Referral Rock automate tracking referrals, deliver rewards, and help analyze your best promoters.
Remember, you don’t have to jump into digital tools if you’re not ready. Eau Claire customers value personal connections most of all, so greeting them by name, chatting with them about your program, and handing out a physical card can be enough at the beginning. This builds relationships no app can replace anyway, so start simple, see what works best for you and your customers, then decide if and when it’s time to upgrade.
Step #4: Spread the Word
Your program is ready, so now’s the time to let everyone know! The best program means nothing if no one hears about it. Fortunately, Eau Claire’s small-town feel makes sharing good news easier.
Start where your customers already are: your storefront and checkout. Put up eye-catching signs or flyers explaining the program in a few clear sentences. This reminds customers right when they’re engaged. Make sure your staff are excited to share it as they’re interacting with customers too. Your employees are your best ambassadors, so train them to explain the benefits enthusiastically and answer questions. When your team believes in the program, customers are more likely to sign up.
Don’t overlook the power of posting the program on your website and social media profiles too. A dedicated webpage helps customers learn more and sign up online if that’s an option. And you can boost signups by sharing success stories, highlighting rewards, or running contests on social media.
Partnering with other local businesses to cross-promote your program might be a good option as well. For example, a nearby gym and smoothie shop could offer joint rewards, earning a perk at one gives a discount at the other. These partnerships build community and introduce you to new customers.
However you’re spreading the word, remember, Eau Claire’s strength is in word of mouth and trust. When customers feel appreciated, they’ll happily tell friends and family, especially when there’s a reward in it for them. So, don’t be shy!
Step #5: Track & Tweak
Launching your program is just the start; you’ll also need to keep a close eye on how things are going over time. Are customers signing up? Who’s participating? Are referrals bringing in new faces?
After 3-6 months, ask customers who are taking advantage of the program for feedback, either in person, through quick surveys, or casual chats. A simple question like, “What do you think of our rewards program?” can provide valuable insights. Maybe the rewards need to be more exciting, or the rules need to be clearer. Honest feedback helps you refine the program.
Check your data too. If you’re utilizing them, digital tools often provide reports showing which rewards are popular and how many referrals are being made. Even with punch cards, try to track redemption and participation over time.
Then, use what you learn to make improvements. Maybe add a bonus reward for big spenders, introduce a seasonal promotion, simplify the rules to encourage participation, etc. Flexibility is key. Since customer preferences change and your business could shift focus eventually, you’ll want to adapt to make sure the program thrives long-term. Your loyalty and referral programs aren’t meant to be set in stone forever; they’re tools to better serve your customers and help your Eau Claire business grow stronger every day.
Bonus Tip: Get Inspired Locally
One of your best resources when trying to figure out what program to offer is right here in Eau Claire! Take a look around at what other local shops and service providers are doing with their loyalty and referral programs.
Maybe your favorite coffee shop’s punch card inspires you to offer one, or a boutique down the street offers discounts for referrals that sparks an idea for your own. These real-world examples can show you firsthand what works well in Eau Claire’s market. You can also reach out to other entrepreneurs since most local business owners are friendly and eager to share tips (as long as they aren’t your direct competitor). Whether it’s over coffee, a phone call, or at a networking event, these conversations can provide practical advice and help you avoid pitfalls others have faced.
Learning from neighbors builds connections that can lead to collaborations and a stronger local economy. Sharing knowledge about loyalty and referral programs is just one way Eau Claire’s entrepreneurs support each other, and you’ll be glad you tapped into that spirit.
Ready to Get Started?
Rewarding your customers not only boosts your bottom line; it builds community and trust. In Eau Claire, where supporting local is a way of life, these programs can be game changers. So, get out there and try your next growth strategy! You never know what might catch on and lead to customers come back again and again.
Source: Article Cover Illustration by Freepik
About The Author
Kendall Williams
City of Eau Claire Economic Development Division
Kendall’s role is to champion local businesses at every stage of their journey. Whether it’s helping new entrepreneurs find the right location, supporting existing businesses as they grow, managing the City’s loan programs, or providing data to guide smart decisions, she’s all about making Eau Claire a place where businesses can thrive.
