The 7 best customer loyalty program software to know in of 2024

These versatile softwares are designed to create engaging customer experiences, optimize retention, and transform one-time buyers into loyal brand advocates.

In this comprehensive review, we dive into some of the leading customer loyalty software solutions, share some of their key features and give you pros and cons of each of them.

What is a customer loyalty software ?

A customer loyalty software enables companies to create and manage loyalty program, designed to incentivize and reward customers for their ongoing support. 

 It allows businesses, particularly e-commerce brands, to enhance customer retention strategies. 

These loyalty programs often offer various benefits, exclusive offers, and rewards, encouraging customers to make repeat purchases and remain loyal to the brand.

Beyond rewards and discounts, customer loyalty program software also tracks and analyzes customer behavior, purchase patterns, and preferences. 

The data collected provides valuable insights into customer demographics and shopping habits, helping businesses understand their audience better and make data-driven decisions.

An essential aspect of customer loyalty software is its ability to automate certain processes, such as sending personalized communications, birthday greetings, or targeted promotions. 

Automation streamlines the customer engagement process and ensures a consistent and personalized experience.

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9 key features to look for in customer loyalty software

When it comes to choosing the right customer loyalty program software for your brand, you need to know what key features to look for. 

All tools are not created equal, and finding the one that aligns perfectly with your company's needs can make all the difference in setting up a successful customer loyalty program. 

Here are the 9 key features you should keep an eye out for:

1. Customizable loyalty programs

Look for software that lets you create loyalty programs tailored to your brand and target audience. 

The ability to customize rewards, points systems and levels ensures that your loyalty program connects with your customers and reflects your brand identity.

2. Customer data and analytics

Data is at the core of any successful loyalty program. 

Look for software that provides in-depth customer data and analytics, including purchase history, preferences and engagement metrics. 

These insights will help you refine your strategies and deliver more personalized offers.

3. Automated campaigns

Time-saving automation is an absolute must.

The software should enable you to set up automated campaigns, such as welcome emails, birthday rewards and anniversary offers. 

Automation ensures timely, relevant communications with a minimum of manual effort.

4. Referral and social sharing

Word-of-mouth marketing is extremely powerful, and good loyalty software should make it easy to refer customers and share on social media. 

Encourage customers to recommend their friends and spread the word on Instagram, Facebook, TikTok or whatever, extending your brand's reach.

5. Integration with existing systems

Make sure your loyalty software integrates seamlessly with your existing CRM, POS or e-commerce platforms. 

Seamless integration avoids data silos and provides a unified view of customer interactions.

6. Personalized rewards

Different customers have different preferences. 

Look for software that allows you to propose personalized rewards.

This lets you offer a varied range of incentives throughout the year, to meet the needs of different customer segments.

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7. Gamification elements

Gamification adds an element of fun and excitement to your loyalty program.

Features such as progress bars, badges and VIP tiers can keep customers engaged and motivated to earn more rewards.

8. Ease of use

A user-friendly interface is essential for both customers and your team. 

The software must be easy to use for customers to register and redeem rewards, and intuitive for your staff to manage the program effectively.

9. Security and data privacy

Loyalty programs involve sensitive customer data. 

Make sure the software complies with strict security standards and data privacy regulations to protect your beloved customers' information.

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7 best customer loyalty software

Loyoly

Loyoly is a loyalty and referral platform for ecommerce brands that want to build attractive and fully customizable points and rewards programs. 

It's an all-in-one solution that helps increase customer engagement and repeat purchases, while transforming customers into true brand advocates.

As well as purchases and referrals, brands are able to reward their customers when they complete one of the 30 innovative missions available (such as following on social media, sharing or liking a post, posting a photo, leaving a review, etc.).

These rewards can be created and fully customized from scratch or using pre-built templates.

Loyoly already works with over 100 customers, including major e-commerce brands (Groupe Casino, Nubiance, Blissim, Nat&Nin, Musc Intime, Lilly Skin, etc.). 

Key Features

• VIP Tiers : Brands can create tiered loyalty programs and reward their customers according to their level (Bronze, Silver, Gold, Platinum, etc.).
• Loyalty action options: Brands have access to a library of +30 missions to engage customers, collect UGC and reviews on every channel.
• Referral: The Loyoly platform makes it easy to encourage customers to recommend your brand in exchange for dedicated rewards.
• Reviews: Loyoly encourages customers to leave reviews not only on the brand's website, but also on all the main review platforms on the market.
• Analytics: A dashboard allows you to monitor the performance of your loyalty program, track each mission accomplished, centralize user-generated content and obtain a granular view of ambassador profiles.

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Pros and cons

✅ The Loyoly platform is one of the most comprehensive on the market, enabling the creation of loyalty and referral programs, as well as UGC and customer review campaigns.

✅ The loyalty program is extremely quick and easy to set up and integrate on its website, as well as integrate with major e-commerce tools like Shopify, Shopify POS, Klaviyo, Judge.Me...

✅ A Shopify app is available to offer dedicated missions and rewards, linked to your e-shop.

❌ Loyoly's loyalty program platform can only be integrated with Shopify for now

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Yotpo

Yotpo is a customer loyalty software that enables businesses to create tailored rewards and referral programs, offering a delightful customer experience from brand discovery to the purchase stage. 

With Yotpo, you can build loyalty programs designed to maximize engagement using various strategies like reward campaigns, tier-based programs, user-generated content, and advanced customer segmentation.

Key features

• ‍AI-driven reviews generation: Yotpo uses artificial intelligence to automatically request feedback from customers in a timely and personalized manner, encouraging them to share reviews, photos, and Q&A about their experiences.‍
• On-site widgets: This feature allows you to incorporate customizable on-site widgets on your e-commerce website to showcase reviews, customer photos, and social images, providing social proof to potential buyers.‍
• SMS marketing: This enables you to send promotions and special offers to customers through text messages, increasing engagement and driving repeat purchases.‍
• Email marketing: Integrate Yotpo with your email marketing platform to send targeted emails, such as cart abandonment reminders with product reviews, newsletters featuring community feedback, new product release announcements, and order confirmation emails with social proof.‍
• Visual marketing suite: With this feature, you can upload photos from your social media or product pages directly to your website, as well as allow customers to upload their own images, enhancing the overall visual experience.

Pros and cons

✅ Effortlessly integrate product reviews on your e-commerce website, building trust and credibility among potential customers.

✅ Yotpo offers a wide range of integration options, making it compatible with various e-commerce platforms and systems.

✅ The AI-driven reviews generation ensures a continuous flow of valuable customer feedback and user-generated content.

❌ Limited integration with point-of-sale (POS) systems, which might be a drawback for some businesses with physical stores.

❌ As you upgrade from free plans or add more features, the cost of Yotpo can increase significantly, potentially making it less accessible for smaller businesses with budget constraints.

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Kangaroo

Kangaroo Rewards is an omni-channel loyalty software designed to attract and retain customers while promoting business growth. 

It offers a fully customizable platform that enables companies to integrate their unique brand identity and design personalized loyalty programs tailored to their specific needs.

Key Features

• ‍Range of tools: Kangaroo offers various tools such as referrals, contest modules, social sharing, and raffles to boost brand awareness and attract new customers.‍
• Personalized rewards: Brands can design rewards including loyalty points, personalized offers and discounts, ensuring a tailored and engaging customer experience.‍
• Marketing automation: The software allows to automate email and SMS marketing, streamlining customer engagement and improving the overall experience.‍
• Reporting dashboard: Kangaroo provides a customizable reporting dashboard, accessible on any device, offering information on customer behavior, trend analysis and weekly analyses of loyalty program performance..

Pros and cons

✅ User-friendly and quick setup process, making it easy for businesses to get started promptly.

✅ Complete customization options, allowing businesses to design loyalty structures and rewards that align with their brand identity.

✅ Dedicated program specialists, represented by customer success managers, provide valuable assistance throughout the program setup and management journey.

❌ Some users may find the admin site challenging to navigate, potentially requiring a learning curve for full utilization.

❌ The software is still expanding, with the addition of more tools and features ongoing.

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Smile.io

Smile.io's platform offers effortless points, referral and VIP rewards programs, giving e-commerce brands the means to scale their business and nurture repeat customers from one-off buyers. 

The automated functionality of Smile.io sets it apart, requiring minimal oversight and making it low maintenance. 

Through a web-based application, businesses can effortlessly create a dedicated space on their website where customers can sign up for the loyalty program and conveniently track and redeem their rewards over time. 

It’s a good option for solo operations or businesses with limited staff.

Key Features:

• ‍Loyalty action options: Brands can choose which specific actions they wish to reward, in order to encourage the customer behaviors they want.‍
• Reward options: Smile.io offers multiple reward options, such as euro or percentage discounts, free products or free shipping...‍
• Emails and nudges: Brands can reach out to their customers via personalized emails or on-site incentives, reminding them of the rewards to be won and encouraging them to make repeat purchases.‍
• Tiered Program: Smile.io facilitates the creation of VIP programs, in which customers progress in tiers to unlock better prices according to their level of loyalty.‍
• Referral Program: Customers are given a referral link to share with friends and family, and earn rewards by referring new customers.

Pros and cons

✅ Easy to operate, offering a user-friendly experience for businesses of all sizes.

✅ Customizable widgets and rewards points names maintain the brand's unique identity throughout loyalty pages.

✅ Available in multiple languages, facilitating global operations for businesses worldwide.

❌ Limited personalization of messaging can restrict the degree of personalization of customer communication.

❌ Implementation for in-store applications can be challenging due to limited point-of-sale (POS) integrations.

❌ The absence of a customer reviews program may hinder businesses seeking to leverage customer feedback.

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LoyaltyLion

LoyaltyLion is an e-commerce customer engagement and loyalty platform known for its data-driven programs.  

The software enables companies to reward customers for various on-site activities, such as purchases, referrals and reviews, thus promoting customer retention. 

It offers tiered memberships, enabling businesses to reward customers according to their level of engagement. 

With integrations for Shopify and Magento, as well as customizable features, LoyaltyLion integrates seamlessly with a brand's website. 

Key Features:

• ‍Points and rewards system: Customers earn points for purchases, referrals, reviews, and other on-site activities, redeemable for gift cards, vouchers, discounts or free shipping.‍
• Tiered memberships: Brands can reward customer engagement and spending with platinum, gold, silver, and bronze membership levels.‍
• CSS theme editor: A built-in editing tool allows you to customize the layout of its loyalty program on its website.‍
• Referral rewards: Dedicated rewards encourage customers to share their personalized referral link on social media, by email or SMS, or via a referral widget.‍
• Reporting: You can also access real-time statistics, referral data and rewards for a better understanding of your customer base.

Pros and cons

✅ Engaging loyalty emails keep customers informed about earned points and upcoming point-earning opportunities, driving traffic to the website.

✅ Seamless integration with popular e-commerce, POS, CRM, and email marketing software enhances operational efficiency.

✅ Customer insights enable to identify loyal customers and those at risk of churn, enabling targeted strategies.

❌ High price point for brands handling more than 400 orders, potentially limiting affordability for larger businesses.

❌ Limited customer support availability may pose challenges for immediate assistance.

❌ Some users find the design interface counterintuitive, requiring extra effort to navigate effectively.

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TapMango

TapMango is a versatile loyalty software that is very popular with cafés, bakeries and restaurants. 

In particular, it offers an integrated online ordering platform, eliminating the need for costly third-party services.

With TapMango, businesses have access to a comprehensive set of tools, including a marketing portal, a customized mobile application, customer-facing tablets and branded key rings that turn into gift cards. 

The platform makes it easy to create flexible loyalty programs and automated promotional offers to encourage repeat visits and attract new customers through referrals, review incentives and photo sharing.

Key Features:

• ‍In-store tablet app: The customer-facing tablet app enables loyalty programs to be run at the point of sale, with customizable interfaces in line with brand identity.‍
• Automation: Automated rewards can be set up for special occasions, events or after a period of customer inactivity to boost engagement and retention.‍
• In-store sharing: Customers can share photos on social media directly through the sign-in tablet, generating user-generated content (UGC) that businesses can then use in their  future ads.‍
• Surveys: TapMango's loyalty program platform supports survey distribution, which can bolster Google reviews and provide valuable customer insights.‍
• Online ordering: Customers can conveniently place orders ahead through their loyalty profile, choosing pickup, shipping, or curbside delivery options.

Pros and cons :

✅ Suitable for both single-location businesses and franchises with multiple stores, offering scalability.

✅ The flexibility to choose and pay for only the necessary features adds convenience and cost-effectiveness.

❌ While feature-rich for brick-and-mortar businesses, TapMango lacks extensive integrations for e-commerce operations.

❌ Customer support mainly relies on online tutorials, potentially limiting immediate assistance.

❌ The absence of a free trial may hinder businesses' ability to test the software before committing to a purchase.

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Marsello

Marsello is a versatile loyalty program and CRM software that enables companies to create personalized customer journeys. 

The platform offers a range of tools, including a landing page form builder, pop-up forms for email capture and the creation of referral programs. 

It enables brands to segment customers, helping companies to identify the most useful channels and adapt their strategies accordingly.

With Marsello's loyalty program, they can choose different ways of rewarding customers and personalize them to improve engagement. 

Key Features:

• ‍Built-in NPS: Brands can collect customer feedback and measure NPS scores to identify brand advocates and at-risk customers.‍
• VIP tiers: The platform allows to implement a tiered loyalty program to reward the most loyal customers with additional benefits.‍
• Referral: Businesses can leverage word-of-mouth marketing by incentivizing customers to refer friends and family, offering rewards to both the referrer and the referred.‍
• Omnichannel tracking: The loyalty program is integrated with POS and e-commerce apps, enabling brands to track its impact on sales across all channels.‍
• Customization: Marsello's programs can be tailored to match the unique needs of each business, from messaging and branding to the types of rewards and incentives offered.

Pros and cons :

✅ Comprehensive email and SMS campaign building features enhance customer communication.

✅ Responsive customer support that values feedbacks and implements improvements accordingly.

✅ The CRM functionalities keeps data centralized and manageable.

❌ Reporting capabilities may be improved for more detailed insights.

❌ The user interface might appear dated and could benefit from a modern update.

❌ Limited customization options for templates may restrict branding opportunities.

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