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Make your customers smile with tips on rewards programs, customer retention, and commerce in general.

3 Smart Ways Brands Like IKEA Are Rewarding Eco-Friendly Behaviour

The tides are turning and sustainability is becoming a bigger initiative for many businesses. Creating an environmentally-friendly business is not only responsible, but it can also help grow your customer base. Studies have shown that as many as 66% of North Americans prefer buying products from eco-conscious brands. Implementing an eco-friendly rewards program to your customers can help your company flourish in more ways than one.
 

So without further ado, here are 3 smart examples of businesses taking ownership of their environmental footprint and inspiring customers and other businesses to do the same.

IKEA


In recent years, IKEA has made sustainability a major pillar of their business model. They have committed to cutting back on single-use plastics in its restaurants and the use of new plastics in all of their products.

A major focus, especially on the marketing front, has been to harness the power of the IKEA Family loyalty program. Aside from the usual perks and added value of a loyalty program, IKEA is rewarding customers who reuse and recycle their IKEA products as part of a more “circular economy” to cut down on waste. The “Sell-Back program” rewards customers with an in-store credit for bringing back gently-used IKEA products that will then be reused or donated. 



Since launching their Sell-Back rewards program, IKEA Canada has had more than 7,600 Sell-Back submissions in their first two months. Proving that consumers want to help brands build a more sustainable future and be rewarded doing so. IKEA’s Sell-Back program is a smart and eco-friendly way to retain and engage existing customers to use their rewards and purchase more furniture from them.

H&M

H&M has positioned its loyalty program to reward members for making sustainable shopping choices. As part of its efforts to create a more eco-friendly future, H&M is incentivizing its members with reward points for actions like bringing in old clothes, choosing climate-smart delivery options, bringing their own bag when shopping, and choosing products made from more sustainable materials. 


One of the main benefits of H&M’s loyalty program is its ability to attract a constant stream of new customers who are rewarded for making eco-friendly shopping decisions. The cherry on top of this reward program is visibility through social sharing. Customers feel good about helping brands become more sustainable and are more likely to share their experience with friends and family on social media which can make them a powerful customer acquisition tool without spending any money.

H&M is a great example of how to grow your business by leveraging the power of rewards, all while promoting a more sustainable future. By incentivizing key customer behaviors that are in line with your brand identity, and customer sentiment; a brand can elevate its customer relationships from a transactional level to an ambassador level. Thereby creating a rich customer experience that encourages members to refer, share and discuss their positive brand experiences proudly with others. 

STARBUCKS
 

As Starbucks looks to the future, the company has introduced a fantastic eco-friendly concept to reward environmentally conscious customers. Starbucks branches have initiated a campaign designed to reduce the amount of waste produced in their stores by offering customers the choice of using a reusable coffee cup. Also, customers who choose to use a reusable cup will receive a discount on their order. This has an extremely positive benefit for those who rack up a small fortune in Starbucks each week! 

Generating 40% of its revenue, Starbucks’ rewards program led to a 7% increase in sales in 2019. Starbucks is one of the best at engaging their customers with their loyalty program and staying true to their brand mission. For example for Earth Day, Starbucks is running an Earth Month contest to its loyalty members to win eco-friendly prizes. The prizes, including a year’s worth of non-dairy products, electric bikes and donations to the World Wildlife Fund of Canada; are all strong rewards that support the environment. Contests are a wonderful way to attract new customers to your business and excite existing members to engage and participate. Prize giveaways that speak true to the brand and vision are an excellent way to influence customer behavior to ways that positively impact the brand’s goals and objectives.



Not only are repeat customers more valuable when shopping, they also provide you with some massive marketing potential. A repeat customer gives your store increased word-of-mouth advertising. So the next time you're thinking of your loyalty program, take some inspiration from Starbucks and start rewarding your customers for eco-friendly behaviour.

By making efforts toward creating a more environmentally-friendly business, you can take advantage of building a more sustainable future and help differentiate your brand in a sea of competitors. Whether you’re already a green expert or you’re just getting started, there are lessons to be learned from these 3 companies. They’re crushing the competition by implementing a positive reward system and supporting the planet. That’s what we call winning!


Are you looking for a program to differentiate your business from the competition and reward actions that are important to your brand vision? Loyalty programs and the ability to reward eco-friendly behavior are not limited to big brands. Kangaroo is a loyalty rewards program built for brands looking to have all the tools they need to attract, keep, connect and grow customer loyalty. Take a page out of IKEA’s book and put your loyal customers front and center of your growth. 

Connect with one of our Loyalty Experts to find out how! Click here to book a demo!

Written by Kangaroo Admin on Tuesday April 20, 2021

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