How store credit is important for any business?
After we knew what Store Credit is (check the full article here), it’s time to know why it’s better to use it.
Not only as a customer but also as a merchant. In this article, we will introduce you to several reasons why store credit became a must-have application in e-commerce businesses.
Benefits for Merchants:
Motivate your customers to spend more
Adding store credit to encourage customers to spend more money may appear irrational to some. It does, however, function wonderfully. Buyers like the notion of spending more money when shops provide a decent return policy. As a result, by employing store credit to allow for more flexible returns, you allow your clients to feel more comfortable with you.
Turn losing revenue into returns
Returns and exchanges are definitely unpleasant experiences for business owners. They want to give customers a good experience and be accommodating, yet they're losing money. Store credit can assist you to avoid losing income due to returns by allowing you to convert sales into exchanges, making your e-commerce more customer-friendly.
Enhance customer loyalty and retention
Customers will be more likely to return to the business if the store credit system is well-designed. That is why merchants make extensive use of the smart Credit Store extension to increase customer retention and loyalty. According to IBM reports: “The more you’re tied to a brand, the more likely you are to be a brand advocate.”
Benefits for Customers:
Easy refunds
Store Credit provides a very easy refund process by saving customers’ credit virtually in seconds. Furthermore, they can use this store credit easily in any future products purchases.
Gifts
Your customers will be awarded gifts that will enhance their loyalty towards you, and this will consequently impact a very good Word of Mouth.
Then, when to provide store credits to your customers.
Store credits can be given to customers in the following scenarios:
To refund for returns or exchange on your store.
To make up for any bad service you may have given your customer.
Encourage your customers to buy during the off-season.
Cash-back to encourage customers to buy more
For word-of-mouth marketing and brand referrals.
Keep the money in the store and issue store credits to your customers and let them choose something else in the store using CreditsYard app.