Do B2B Loyalty Programs Work?

When it comes to answering whether do B2B loyalty programs work, several factors must be considered. Regardless of your industry, implementing a loyalty program can benefit businesses in multiple ways.
When deciding whether you should start your own loyalty program, there are some crucial questions you need to consider to ensure the program’s success.

No matter your industry and sales channel relationship, the start of a loyalty program is built around a balance between maintaining and recognising customer relationships and delivering your business goals.

At its core, a customer loyalty program should be the ultimate marketing strategy that rewards businesses for their loyalty and ongoing purchasing with you.

So, let’s answer the question and details the answer from a business-to-business view and why a B2B loyalty program is right for you and its potential advantages for businesses.

Get your B2B Loyalty Program Design Right

Loyalty programs include various design elements and formats to target multiple customer groups, no matter your industry. Trade loyalty programs targeted the contracted or builder-type groups like plumbing, electrical and building. In automotive, a focus is on aftersales and the service providers post the vehicle sales. For IT manufacturers, the reseller’s partners are likely promoting and selling products to enterprise customers and other business clients. The way to market and the structure might be different for each individual industry, the outcome of awarding customers remains the same.

To determine the effectiveness of B2B loyalty programs for you, it is vital to analyse the potential impact on customer loyalty and business success. These programs aim to encourage businesses to continue doing business with your company, but their actual benefits extend beyond customer retention. B2B loyalty programs can be designed to reward businesses based on factors such as their total spend, number of purchases, frequency of visits, and transaction values. By understanding the dynamics of loyalty programs, businesses can make informed decisions about implementing them.

Design Element of B2B Loyalty Programs

Volume-Based Programs
One common type of B2B loyalty program is the volume-based program. These programs reward client companies and businesses for spending a certain amount of money. By shifting rebates to rewards, these programs provide varied reward values to encourage sales growth and celebrate customer loyalty.

Frequency-Based Programs
Another effective type of B2B loyalty program is the frequency-based program. These programs aim to become the primary supplier in businesses’ purchasing decisions by rewarding them for making a certain number of purchases. The goal is to gain a larger share of their wallet for your client base and become their most frequent supplier of choice. Creating a set of your most valuable clients.

Referral-Based Programs
Elements of referral programs can also be included in B2B loyalty programs. These programs reward loyal customers and businesses for referring other businesses to a particular company. By leveraging existing business relationships, referral-based programs help promote loyalty programs and the loyalty program benefits to a wider market.

b2b loyalty program for trade

Benefits of B2B Loyalty Programs
For Your Businesses:

Implementing B2B loyalty programs can offer several benefits for businesses, including:

  • Loyal customers and brand loyalty
  • Increased sales revenue and profit margins
  • Maintained customer relationships and sales
  • Expanded market share and winning new customers
  • Compelling reasons not to shift to a competitor – customer retention!
  • Improved customer satisfaction
  • Reduced customer churn
  • Build closer relationships with suppliers, partner retailers through campaigns and offers directly to customers
  • Gathered customer insights and data
  • Creation of targeted communication campaigns for important customer groups

For Customers:

  • Loyalty programs also provide advantages to customers, allowing them to:
  • Earn rewards using loyalty points and bring this value to the business or the individual personally without significant changes in business operations
  • Feel recognised and valued by the business relationship
  • Access to exclusive services and business offers
  • Potential business engagements and events
  • Recognition beyond cash rewards and rebates

What are the key elements you need for a B2B loyalty program?

When designing your B2B loyalty program, your businesses plan for the following areas:

  • The desired type of rewards and how much you can fund
  • The business partners to invite – where can you gain your customer loyalty
  • Are you harnessing the loyalty program as part of your B2B retention strategies, reward existing customers or acquire new customers
  • A customer loyalty program needs to be simple, the customer experience engaging and rewarding for customers

Do loyalty programs work?

B2B loyalty programs can improve business relationships and achieve customer loyalty from existing clients. By providing valuable rewards and incentives, businesses can increase sales, maintain customer satisfaction, reduce churn, and gather essential customer sales data. To ensure the success of a B2B loyalty program, it is crucial to choose rewards that appeal to the target audience, make the customer experience amazing so it is easy for businesses to earn rewards, promote the program effectively, and track their results for continuous improvement.


  • B2B loyalty programs work by rewarding businesses for their loyalty. Businesses earn points or miles for every dollar spent with a specific business-to-business transaction, and these points or miles can be redeemed for discounts, free products, or other rewards.

  • Signing up for a loyalty program can usually be done online or in person with your platform and managing agency of choice. Once your loyal customers are enrolled, they will receive a program ID and number to track spending and earn rewards. Offer early access to loyal customers and select new customers to build hype.

  • Loyalty points will accumulate through sales, and when customers have enough, they can redeem for rewards! Points can be converted and redeemed for various benefits, such as merchandise rewards, experiences, direct cash incentives rewards like Visa Gift cards, experiences, sales training or other business rewards. The specific redemption options depend on sales data and sales performance, which will determine the range of rewards you want to include in the B2B loyalty program.

  • Sales growth can be achieved in a B2B loyalty program, but if you are driving for future purchases and valuable customers, consider an incentive program with growth targets.

  • Yes, B2B loyalty programs can be effective. Research reports provide validation; according to a study by the Aberdeen Group, businesses participating in B2B loyalty programs experienced a 12% increase in sales, brand loyalty and a 10% decrease in customer churn.

  • To make your B2B loyalty program more effective and build customer lifetime value, you need to offer valuable rewards, ensure ease of earning rewards, promote the program to your target audience, and continuously track and adjust the program based on results. By considering these factors, businesses can make informed decisions about implementing B2B loyalty programs that are tailored to their specific industry, target audience and loyal customers.

  • Some of the most popular B2B loyalty programs include IBM VIP Rewards, Telus Rewards, and the Celebrity Rewards Mastercard