Why Customers Aren’t Joining Your Loyalty Program (and How to Fix It)

You've set up your loyalty program. You've chosen rewards that make sense for your business. You've told yourself this is going to drive repeat customers and increase revenue. And then... nothing happens.

A week goes by. Maybe two. You've got three signups, and one of them is your mum.

If this sounds familiar, you're not alone. Most small businesses launching loyalty programs hit this same wall. The good news? It's almost never because your business isn't worth being loyal to. Usually, it's because customers either don't know your program exists, don't understand it, or don't see why they should bother.

All of these problems are fixable.

In this guide, we'll walk through exactly why customers aren't joining your loyalty program and, more importantly, what you can do about it. These aren't theoretical suggestions—they're practical tactics that work for cafés, salons, retail shops, and service businesses every day.

Why loyalty programs struggle to gain members

Before we solve the problem, let's understand what's actually going wrong. Here are the most common reasons loyalty programs fail to attract members—and yes, you can fix every single one of them.

Nobody knows your program exists

This is the number one reason programs fail, and it's also the easiest to fix.

You know you have a loyalty program. Your staff know. But your customers? Unless you're actively telling them, they have no idea.

Think about it from their perspective: they walk into your café, order a coffee, pay, and leave. Nothing in that transaction signals that a loyalty program exists. There's no sign at the register. Nobody mentions it. They get a receipt and walk out.

You can't join a program you don't know about.

The signup process has too much friction

Even when customers do know about your program, complicated enrollment kills participation.

If joining requires:

• Downloading a specific app from the app store

• Creating an account with username and password

• Filling out a long form with personal details

• Waiting for email verification

• Then finally getting access to their card

...most customers will simply not bother. Every additional step you require cuts your conversion rate significantly.

The best digital loyalty programs reduce friction to nearly zero. Scan a QR code, card appears in your wallet, done. That's the level of simplicity that drives high enrollment.

Staff aren't mentioning it

Your team is busy. They're managing orders, handling payments, answering questions. Actively promoting your loyalty program probably isn't at the top of their minds unless you've made it a priority.

But here's the reality: if staff don't mention your program, most customers won't discover it on their own. That sign you put up near the till? Most people don't notice it. Customers are focused on their transaction, not reading your marketing materials.

Staff mentions are the highest-converting enrollment method available to you. Nothing else comes close.

The value proposition isn't clear

"Join our rewards program!" sounds vague and potentially complicated. Customers don't know what they're signing up for or whether it's worth their time.

"Buy 9 coffees, get the 10th free" is specific and immediately understandable. Customers can calculate the value in their heads within two seconds.

If you can't explain your program's benefit in one clear sentence, customers won't figure it out on their own—they'll just ignore it.

You launched it and stopped promoting

Many businesses make a big push during launch week, then let the program fade into the background. They assume that once it exists, customers will naturally discover and join it.

They won't.

Loyalty programs require ongoing, consistent promotion. You're building awareness over time with customers who visit at different frequencies. Someone who comes in once a month might miss your launch announcement entirely. They need to encounter your program multiple times before they decide to join.

Getting your first wave of signups right

When you first launch your digital loyalty program, you need concentrated effort to build initial momentum. Here's how to generate that first wave of members.

Start with customers you already know

Your existing customer base is the easiest group to convert. They already buy from you. They already like what you offer. You're just giving them a reason to keep choosing you.

If you have customer email addresses or phone numbers from previous transactions, use them. Send a launch announcement: "We've just launched a loyalty program to reward customers like you. Join today and get [signup bonus]."

Keep the message short, clear, and benefit-focused. Include a direct link or QR code that takes them straight to enrollment. Don't bury it under paragraphs of explanation.

For businesses using Perkstar, this is straightforward. You can share your digital loyalty card through SMS links, email campaigns, or direct URLs. Customers click, the card appears in their Apple Wallet or Google Wallet, and they're enrolled. No app download, no account creation, no hassle.

Make in-store visibility impossible to ignore

Physical signage is essential, but placement matters as much as design.

Put QR codes and program information:

• Directly at your point of sale where customers are waiting to pay

• On your front door or window where people see it while entering

• On tables or counters where customers naturally look while waiting

• On receipts that customers take with them

• On packaging for takeaway orders

Don't use one small sign in an out-of-the-way location and wonder why nobody's joining. Saturate your space with visibility. Customers should encounter your loyalty program multiple times during a single visit.

Make your QR codes large enough to scan easily. Test them yourself from a customer's position—if you need to lean in or adjust the angle, the code is too small or poorly placed.

Train your team properly

Staff mentions are your highest-converting enrollment channel, but they only work if your team is confident and consistent about promoting the program.

Create a simple script they can use:

"Do you have our loyalty card? It's digital, so it lives on your phone. You earn [reward] after [number] purchases. Want to join? It takes about 10 seconds—just scan this code."

The script should be:

• Short enough to deliver during checkout

• Clear about the benefit

• Specific about the reward

• Easy to remember

Role-play this with your team until it feels natural. The goal is making it a routine part of every transaction, not an awkward sales pitch.

Also set expectations clearly: every customer should hear about the loyalty program at least once. This isn't optional or "if they have time"—it's part of the job.

Offer a signup incentive

Humans respond to immediate rewards. If joining your program offers only future benefits, many customers will procrastinate indefinitely.

Adding an instant signup bonus dramatically increases enrollment:

• "Join today and get 10% off this purchase"

• "Sign up now and get your first stamp free"

• "New members receive a complimentary [item] with their next visit"

The incentive doesn't need to be huge. It just needs to feel valuable enough to justify the 30 seconds required to scan a QR code and join.

This is particularly effective during your launch period. You're investing in customer lifetime value—the small upfront cost pays for itself many times over through increased visit frequency and higher retention.

Sustaining enrollment over time

The initial launch push gets you your first wave of members. But you can't stop there. Ongoing promotion is what transforms a modest program into one that includes the majority of your customer base.

Promote regularly on social media

Your social media followers are prime candidates for loyalty program enrollment. They already engage with your brand online—they just need to know the program exists and how to join.

Post about your loyalty program consistently:

• Share customer testimonials about rewards they've earned

• Announce when loyal customers reach milestones

• Remind followers how easy it is to join

• Highlight the specific benefits of membership

• Create short videos showing the enrollment process

Don't make every post about the loyalty program—that gets repetitive. But mentioning it weekly keeps awareness high with people who might not visit your business frequently.

Use Instagram Stories, Facebook posts, TikTok videos, whatever channels your customers actually use. Meet them where they are.

Include it in all customer communications

Every touchpoint with customers is an opportunity to promote your loyalty program:

Email newsletters: Include a section about your loyalty program in every newsletter you send. Mention recent winners, upcoming promotions for members, or just remind people how to join.

Receipts: Add a line to printed or emailed receipts: "Join our loyalty program and earn rewards! Scan the code at the register next time you visit."

Packaging: For businesses with takeaway or delivery, include a small card with your QR code and program details in every bag or box.

Website: Add loyalty program information to your homepage and create a dedicated page explaining benefits and enrollment.

Google Business Profile: Mention your loyalty program in your business description. It's another touchpoint where potential customers learn about you.

The goal is making your loyalty program visible everywhere customers encounter your brand. Repetition builds familiarity, and familiarity drives enrollment.

Keep emphasizing simplicity

One of the biggest barriers to enrollment is perceived complexity. Customers assume joining a loyalty program will be time-consuming or complicated, so they don't even try.

Actively counter this assumption by repeatedly emphasizing how easy your program is:

"No app download required" "Join in 10 seconds" "Just scan and go" "It lives in your phone's wallet—always accessible"

For digital loyalty card systems like Perkstar that work with Apple Wallet and Google Wallet, this is a genuine advantage. Customers scan a QR code with their phone's camera, the card appears in their digital wallet instantly, and they're done. It's legitimately simpler than traditional paper punch cards.

Make this simplicity a key message in your promotion. Remove the mental barrier that stops customers from joining.

Highlight value clearly and often

Don't assume customers remember or understand what they get from your loyalty program. State it explicitly and frequently:

"Free coffee after every 10 purchases" "Buy 6 haircuts, get the 7th free" "Members get exclusive access to new products first"

Specificity converts better than vagueness. "Great rewards" doesn't motivate anyone. "Free meal after 8 visits" does.

If you offer multiple rewards or tiers, highlight the most attractive ones. You want customers to immediately see value that justifies joining.

Run limited-time enrollment promotions

Creating urgency accelerates enrollment. Periodic campaigns with special incentives drive spikes in signups:

"This week only: join our loyalty program and get 20% off today" "First 100 new members get double stamps for their first month" "Sign up this weekend and start with 3 free stamps"

These campaigns work particularly well around holidays, during slower business periods, or when launching new products or services.

The time limitation creates FOMO (fear of missing out) that pushes people who've been on the fence to actually join now rather than continuing to procrastinate.

Real examples that work

Let's look at how different types of businesses successfully drive loyalty program enrollment.

Coffee shops

Coffee shops have natural advantages for loyalty programs—customers visit frequently and purchases are relatively consistent in value.

Successful approaches include:

• Table tent cards with QR codes at every table

• Staff mentioning the program to every customer during checkout

• "Buy 9, get the 10th free" offers that are immediately understandable

• Signup bonuses like "Join today, get 10% off this coffee"

• Social media posts featuring regular customers who've earned free drinks

The key is making enrollment unavoidable. If someone visits your café three times without hearing about your loyalty program, you're missing opportunities.

Hair salons and barbershops

Salons benefit from longer appointment times, which allow more opportunity for conversation about loyalty programs.

Effective tactics include:

• Mentioning the program while clients are in the chair

• Offering signup bonuses like "Join today and get 10% off your next visit"

• Sending appointment reminder texts that include a link to join the loyalty program

• Creating "Buy 5 cuts, get the 6th free" offers that align with typical visit frequency

• Displaying QR codes prominently at the reception desk

Since salon visits are less frequent than café visits (monthly or longer intervals), the loyalty program needs stronger promotion to stay top-of-mind between appointments.

Retail shops

Retail businesses face different challenges because purchase frequency varies widely by customer.

Strategies that work include:

• Stamp-based rewards that work regardless of what customers buy

• Including loyalty cards with every purchase for takeaway

• Training staff to mention the program during checkout conversations

• Creating window displays about the loyalty program visible from outside

• Running seasonal enrollment campaigns aligned with busy shopping periods

Retail loyalty programs often work best with simple stamp structures: buy X items, get something free. This keeps it straightforward when customers purchase different products at different price points.

Service businesses

For service businesses like med-spas, fitness studios, or wellness centers, loyalty programs work best when aligned with natural treatment or session intervals.

Successful approaches include:

• Offering rewards after a set number of sessions or treatments

• Creating VIP tiers that unlock better benefits after certain visit milestones

• Sending personalized reminders when customers are due for their next service

• Providing referral bonuses that turn loyal clients into advocates

• Making the loyalty program part of the booking confirmation process

Service businesses often have higher transaction values, which means loyalty rewards can be more substantial while remaining profitable.

Troubleshooting when enrollment is still low

If you've implemented these strategies and enrollment remains disappointing, work through this diagnostic checklist.

Is your reward actually compelling?

Be honest: if you were a customer, would your reward motivate you to join?

Test this by asking a few regular customers directly: "We're offering [reward] after [X purchases]. Does that sound valuable to you?"

If the response is lukewarm, your reward might need adjustment. Either make it more generous, make it achievable sooner, or offer something customers value more.

Are customers genuinely hearing about it?

Mystery shop your own business. Visit at different times and see if staff mention the loyalty program. If they don't bring it up to you (someone they don't recognize as the owner), they're probably not mentioning it to regular customers either.

If staff aren't promoting it, revisit training. Make expectations clear, provide the script again, and check in regularly about whether they're seeing customers join.

Is enrollment genuinely easy?

Try enrolling yourself as a customer would. Is the QR code easy to scan? Does the process work smoothly on both iPhone and Android? Is it genuinely as simple as you think?

Sometimes technical issues or unclear instructions create friction you're not aware of. Test the entire enrollment flow from a customer's perspective and fix any pain points you discover.

Are you promoting it enough?

Count how many times per week you're mentioning your loyalty program across all channels: social media, in-store signage, staff mentions, email, website, packaging.

If you're only promoting it once a week or less, that's not enough. Customers need repeated exposure before they take action. Increase frequency and visibility until it feels like you're talking about it almost too much—that's probably the right amount.

Have you given it enough time?

Loyalty program adoption doesn't happen overnight. It typically takes 2-3 months to reach critical mass where enrollment becomes somewhat self-sustaining through word-of-mouth and visible participation.

If you've only been promoting for a few weeks, keep going. Consistency over time is what builds awareness and drives enrollment at scale.

Using Perkstar to simplify everything

Setting up and running a digital loyalty program shouldn't require technical expertise or consume hours of your time. Perkstar is designed specifically to make this straightforward for small businesses.

You can create customizable digital loyalty cards that work with both Apple Wallet and Google Wallet, configure your reward structure, and generate QR codes for easy enrollment—all in less than 30 minutes.

The platform handles the technical complexity: automatic card updates when customers earn stamps, push notification capabilities for promotional messages, analytics showing enrollment and redemption rates, and simple tools for managing your entire program.

You get professional digital loyalty card software without the enterprise price tag. Plans start at £15 per month with a 14-day free trial and no credit card required. You can set up your entire program, test it with customers, and see real results before committing financially.

The scanner app for iOS and Android makes issuing stamps instant—staff scan the customer's digital card with a phone or tablet, and it updates immediately. No manual tracking, no dispute about stamp counts, no paper cards to reorder.

Everything you need to drive enrollment and build a thriving loyalty program is included: QR code generation for easy signup, customizable card design, unlimited members, automatic tracking, push notifications, and clear analytics.

Start building your member base today

Getting customers to join your loyalty program isn't about tricks or manipulation. It's about making them aware it exists, showing them the value clearly, and removing any friction from enrollment.

Most businesses see low enrollment because they're not promoting actively enough or because their signup process has unnecessary complexity. Fix those two issues and enrollment naturally increases.

Start with the fundamentals:

• Train staff to mention the program to every customer

• Put QR codes everywhere in your physical space

• Promote regularly on social media and in customer communications

• Offer a signup bonus that creates immediate value

• Make enrollment legitimately take less than 30 seconds

Then measure what happens. Track how many customers are joining weekly. Notice which promotional channels drive the most signups. Adjust your approach based on real results.

If you're considering launching a loyalty program or reviving one that's struggled, Perkstar's 14-day free trial gives you everything you need to test these strategies risk-free. Create your cards, distribute them to customers, see how they respond, and decide whether it's right for your business.

Because at the end of the day, customer loyalty programs work. They increase visit frequency, boost revenue, and improve retention. But only if customers actually join them.

Now you know exactly how to make that happen.

Frequently Asked Questions

How long does it typically take to get good enrollment numbers after launching a loyalty program?

Most businesses see steady enrollment growth over the first 2-3 months, with the rate accelerating as awareness builds. In the first two weeks, you might enroll 5-15% of customers who visit. By month three, with consistent promotion, that often increases to 40-60% of regular customers. The key is sustained promotion—one-time launch announcements aren't enough. Keep mentioning the program consistently across all channels and enrollment will build over time.

Should I offer different signup bonuses to different customer segments?

For most small businesses, keeping it simple with one standard signup offer works best. Complexity creates confusion and operational headaches. However, if you have clearly distinct customer groups (like retail customers versus service clients), you might test different incentives. Just make sure your staff understands who gets what offer, and ensure it doesn't create perception of unfairness if customers compare notes.

What's the best way to train staff who seem uncomfortable promoting the loyalty program?

Start by explaining why it matters—not just for the business, but for customers. Frame it as helping customers save money and get rewarded, not as pushing something on them. Provide a simple script they can memorize and practice with them through role-playing until it feels natural. Some staff just need confidence that comes from repetition. Also consider having your most enthusiastic team member model the behavior for others during actual customer interactions.

Can I change my rewards structure after launch if enrollment is low?

Yes, and you should if your current structure isn't working. One advantage of digital loyalty programs is flexibility—you can adjust rewards, change earning requirements, or modify the entire structure without reprinting cards. If customers aren't joining because your reward isn't compelling enough, make it more attractive. Just communicate changes clearly to existing members so they don't feel misled.

How do I track which promotional channels drive the most signups?

Ask customers how they heard about your program when they join. You can make this a quick question at signup: "How'd you hear about our loyalty program—social media, staff mention, or saw a sign?" Track responses for a month to see patterns. Digital systems like Perkstar also provide analytics showing signup timing and volume, which helps correlate enrollment spikes with specific promotional campaigns.

Is it normal for some customer types to join more readily than others?

Absolutely. Frequent customers typically join at much higher rates than occasional visitors because they immediately see more value in the program. Younger customers often join more readily than older ones, primarily due to comfort with digital tools. High-spending customers may join faster because they reach rewards quicker. Don't worry if your enrollment isn't uniform across all customer segments—focus on converting your most valuable customers first (frequent visitors and high spenders).

What should I do if customers are joining but not actively using their cards?

This suggests either customers are forgetting about the program or the reward isn't compelling enough to change behavior. Send reminder push notifications: "You're 3 stamps away from a free coffee!" Location-based alerts when customers are nearby can also drive engagement. Review whether your reward threshold is too high—if customers need 20 purchases to earn something, they may lose motivation. Consider adding interim rewards to maintain engagement before the final prize.