Developing a Sustainable Business Model with the Loyalty Loop

Crowny 👑
2 min readMar 28, 2023


Discover the power of the loyalty loop. Learn how to create a cycle of repeat purchases and build long-term success for your business. Read on and find out.

What is the Loyalty Loop?

The loyalty loop is a marketing strategy that aims to keep customers engaged with your brand by creating a cycle of repeat purchases. It’s based on the idea that satisfied customers are more likely to return for future purchases, and that incentivizing them to do so can create a self-sustaining loop of loyalty. Essentially, this means they continuously repeat the last stages of the customer journey. By offering rewards and incentives to customers who interact with your brand, you can increase the likelihood that they’ll continue to choose your business over your competitors. By using token economies, for example, brands are able to reward their customers with blockchain-based loyalty points. Recipients of the points can choose to spend them in the rewards store, filled with incentives tailored to their interests.

77% of customers have maintained loyal relationships with their preferred companies for 10 or more years. — InMoment

Why is the Loyalty Loop Important?

The loyalty loop is important because it helps businesses retain customers and increase sales. When customers are satisfied with their initial purchase and feel valued by the business, they’re more likely to return for future purchases. This not only increases the customer’s lifetime value but also reduces the need to constantly acquire new customers, which can be expensive and time-consuming. It’s proven to be much more cost-effective to stimulate existing users to come back. Post-purchase upsells are just one of the many methods to chase down this goal. As a result of leveraging the customer loyalty loop for your brand, loyal customers are more likely to recommend your business to others, which can help expand your customer base even further.

Building a long-term business relationship with a new customer is 16X more costly than cultivating the loyalty of an existing customer. — Annex Cloud

Learn more about:
✅ How to use the Loyalty Loop
✅ Proven best practices
✅ How to start

Find out more in our full blog article about the Loyalty Loop.



Crowny 👑

App-Powered Web3 Loyalty & Rewards Platform 👑 | Built on @solana, for @shopify | $CRWNY