Cigar Store POS For Customer Loyalty Programs

Customer loyalty programs are proven ways to keep shoppers coming back to your cigar store time and again. Watch the video below to learn more about cigar store customer loyalty programs from Bepoz Point of Sale.

Building Customer Loyalty

How do you keep customers coming back to your store? With cigars reaching peak popularity, there is no shortage of competition. You are not just competing with other cigar stores but with liquor stores, big box stores, and even gas stations. They may sell lower quality cigars, but the convenience and low prices mean you still need to consider them as competition.

The best way to retain customers is through building loyalty. It is proven that loyalty programs work. They don’t just keep your customers coming back, but they also encourage those customers to spend more with each purchase.

How Loyalty Programs Work

Bepoz POS for Cigar Stores is an effective program that is easy to use. Your customers earn points with each dollar they spend in your store. Over time, those points equal awards, giveaways, coupons, and discounts. The more they spend, the better their rewards.

A tiered reward system gives your customers spending goals. The more they spend, the higher they reach in the tiers. They can then gain access to special discounts and products only available to higher-tiered members and tier-based giveaways.

Navigating State Laws

Some states have very strict laws regarding sweepstakes and giveaways. Bepoz understands this and will help configure your loyalty rewards programs to comply.

For example, in some states any contest must be open to all residents of the state, including minors. Therefore, loyalty programs in those states should be careful to only offer gifts with purchase and discounting rather than prize giveaways. Conversely, other states have no such laws in place, so cigar stores could hold special giveaway events for top-tiered loyalty members. 

Do you still have questions about Bepoz Cigar Store POS? Call us today. We are eager to help you improve your profits with Bepoz.


Learn More:

Cigar Store POS That Can Manage Case Breaks (Boxes and Sticks)

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Cartons And Packs For Tobacco Stores


Video Transcript

0:00 Intro
1:00 Cigar Store Customer Loyalty Programs: Implementing Loyalty Rewards
2:40 Cigar Store Customer Loyalty Programs: Use Loyalty To Increase Sales
3:34 Cigar Store Customer Loyalty Programs: Manage Rewards & Gifts
5:16 Specially Promoted Loyalty Rewards & Products
6:21 Promotional Marketing Advantage

Hey, this is Tim with Bepoz point of sale for tobacco stores. In this video, we’re going to cover features that Bepoz has to manage customer loyalty and rewards for your tobacco store.

So many tobacco stores are looking for ways to reward their customer with loyalty plans in order to help build your business. Now it’s important to note that if you’ll do the studies and do a little bit of research, you’re going to find that loyalty plans actually build loyalty. We get some customers who talk to us that are suspicious that it’s going to actually help, but when properly implemented, they will help you build and increase your business. They will definitely contribute to the bottom line. This is not just free stuff you’re giving away or giving away money. You’re actually increasing your business more than the stuff you give away. It will work every time. 

1:00 Cigar Store Customer Loyalty Programs: Implementing Loyalty Rewards

So Bepoz has many different ways to implement loyalty, and it seems like everybody has a little bit different take on how loyalty works. So it’s important to note that Bepoz could handle almost anything that you could throw at us. We could do loyalty based on points so every dollar you spend, for instance as an example, is a point that you earn, and then you redeem those points at some value. Now, always important to understand that when you’re talking about loyalty, what it really turns out to is some kind of discount. Now, you control how much that discount is, right, and it could be an unearned discount because your customers may never redeem the loyalty, right? But it does turn out to be a discount. 

So if I issue you a dollar per point and you spend a hundred dollars and then I can redeem those points and they have five dollars in value, that turns out to be a five percent discount. It is important to understand that when you redeem points or you have a loyalty plan that it is equivalent to a discount. If I issue you a point for every dollar and you spend a hundred dollars so you have a hundred points and when you redeem those points, those points are worth five dollars, that’s effectively a five percent discount. 

Now, with every loyalty plan that we could offer you, you can play with what that percentage discount is. It could be half a percent, it could be one percent, it could be twenty percent, it could be whatever you like. Nobody’s going to give away twenty percent, but it’s possible. 

2:40 Cigar Store Customer Loyalty Programs: Use Loyalty To Increase Sales

So every plan equates to a discount, okay? Whatever it is. So I’ve given you something for the fact that you’re buying from my store over and over again. 

Now, I gave every example that would be only examples of numbers. So I said a hundred dollars and you got five dollars. You might require them to spend five hundred dollars before they get it, and it could be five dollars, four, or five hundred which is a one percent discount. The numbers are always adjustable but the plan at the end of the day is to try to incentivize your customers to come back over and over again. 

Now I could also just say, hey, when you spend five hundred dollars, we’re gonna give you something, and it could be different depending on your state because of your applicable laws in your state. So some laws in some states won’t allow certain ways of doing this and it’s important to note that.

3:34 Cigar Store Customer Loyalty Programs: Manage Rewards & Gifts

Bepoz can help you navigate that. So you could also give them something, so for instance, let’s say it’s buy 10 cartons, get one free, which essentially would be a 10 discount, or buy 20 cartons and get one free or buy 50 cartons and get one free. It could be some variation of that and it could be a mix and match of different kinds of cartons. It could be, hey, if you spend 500, we’ll give you a gift certificate for ten percent off. 

Now all of these different methods are possible, but I could also apply to that tiers and tiers basically, exponentially increase the power of your loyalty. So I could now have a bronze, silver, and gold level. Let’s say bronze level is anybody when they first sign up for loyalty, they’re a bronze member. They get to silver when they’ve spent a thousand dollars and they get to gold when they’ve spent five thousand dollars. Whatever level you set it at it doesn’t really matter to us. We’re just going to help you implement your system, but at every different level, you could then adjust what the reward is. 

Again, you’re playing with a percentage discount, so you’re effectively increasing the discount or the reward over time as they spend more with you, that’s possible, but that’s very powerful because when people know that if they now spend two thousand dollars or five thousand dollars become a gold level that they’re gonna get a better discount, they’re going to be more incentivized to continue to spend at your store so that they can reach that level, and that is a super powerful add-on to your loyalty program. 

5:16 Specially Promoted Loyalty Rewards & Products

Now, there are many more options that we can certainly talk about in this, but I’ll talk about one more. It is also possible to have special promotions for your loyalty members. So I could do the rewards or the points and all those, but you could also do this where basically we have special discounts for loyalty members. You’re probably used to this at your local grocery store. Once you sign up for the loyalty plan, then certain items are on discount and only if you’re a loyalty member. But you could do that in this case and say only if you’re a gold loyalty member. So you spent two thousand dollars with us or whatever the number is and automatically now you’re going to get an extra one percent off of your cigars or cigarettes or whatever it is that you’re purchasing, and you can define which products they get discounts on. And really it’s up to you to think of how best can I use this to help generate the business and what are margins that make sense for your business. What are the discounts that make sense, and then Bepoz will help you implement those. 

6:21 Promotional Marketing Advantage

Now, it’s important also to note that one of the backside advantages of this is that typically with these kinds of plans, we’re going to request to get either their cellphone number or an email, and now we can do marketing on the backside to them. So not only am I using this to help incentivize them to keep coming to my store, now I can do promotions that are specially targeted to them or I might have a bounce-back coupon. 

Let’s say you want your average customer or your average customer comes into your store every 90 days. So when it gets to 100 days, we want to automatically send a bounce-back coupon to those customers and say, hey, we haven’t seen you for a while. Here’s a coupon for a dollar off your next carton of cigarettes, to get them back in the door, right, and so now, I’ve gone and found a way to get those customers back, and those kinds of incentives could be set up in a set it and forget it method. So now we set up that dollar off coupon off of cartons, of cigarettes if you haven’t been here in 100 days or whatever the number of days that you want to do, and it automatically applies. 

So if you’re a customer loyalty member and you don’t come into the store for 100 days, it’ll automatically send you the email or a text message and say, hey, here’s a coupon, and really it’s not here’s a coupon. You don’t have to bring anything in, you don’t have to print the email or show your text message. What it really will do is say that dollar off will apply automatically at the register the next time you come in and so when that customer comes in and buys a carton of cigarettes, it’ll automatically pop up for the cashier and say, hey, this customer’s got a voucher for a dollar off this carton of cigarettes. Would you like to apply it, and if you say yes, it takes the dollar off, their voucher is gone and they never get a dollar off again unless they don’t come for another 100 days. 

So lots of different ways to do this, this is just the tip of the iceberg. There’s way more ways that you could use loyalty to help generate additional revenue and business for your tobacco store. If you’d like to talk to us about how we can help you build your business, we’d love to talk. You can call us at the number on the top of your screen or click the link below.