For top brands that have found their hook as customer habits - think Amazon when you need anything quickly, Nike when you want to improve fitness, Walgreens when you want overall health - becoming a habitual part of a customer's lifestyle means bringing in revenue and building continuous growth.
What happens when a "trend" becomes a "must-have"? Personalisation has been a buzzword in the loyalty marketing realm for the past couple of years, yet it's no longer something that is a nice to have; in the age of the empowered customer, brands need to better serve customers an individualised experience.
A loyalty program without a set of communications to make it work is like having a beautiful tenor serenade an empty forest. Just as the quality of a tenor’s voice can be incredibly moving, a well-planned communications strategy will fuel your loyalty program.
There are seven Loyalty Campaigns that every loyalty program should include. Each campaign influences a specific type of behavioral response from program members. There is one psychological principle that is of paramount importance to each campaign’s success. Apply these principles and maximize customer lifetime value.
Most businesses seeking a way to acknowledge their customers use "loyalty" programs that are scarcely more than surface-level engagement leveraging heavy discounts. This approach can alienate customers who are unable to differentiate between a slew of identical programs. And since these types of redemption programs use points as a form of currency that may sit on the books for years (depending), they require stakeholder buy-in across the organization - a challenge most marketers wish to avoid.
There are arguments on both sides of choosing between coalition and proprietary loyalty programs. Ultimately, the type of program you choose for your brand is a business decision that needs to meet your goals and align with brand values. Here is a quick list to help you weigh the options.
Data-driven marketing and loyalty analytics company Aimia Inc. (TSX: AIM) today announced that it has been named Loyalty Programme of the Year at the sixth edition of The Loyalty & Engagement Awards 2018, held in Singapore last Friday.
The Loyalty & Engagement Awards, organised by Marketing in 2013, honours the best loyalty marketing and engagement strategies in Asia Pacific. The show is the first of its kind to recognise marketing works in three key areas – loyalty, engagement and relationship marketing, focusing solely on the art of cultivating customer loyalty and engagement.
Following the success of their 2017 Bronze award for ‘Best Loyalty Program – Retailer’ category, Aimia has achieved even greater heights by clinching Loyalty Programme of the Year for PT Mitra Adiperkasa (MAP Group). This award was the top prize of the night and recognizes the loyalty programme that most successfully added value to its members, customers and partners which encouraged and achieved loyal behavior.
We’ve all seen the clickbait headlines spouting the end of physical retail as we know it, scaremongering that future competition will come from anywhere and everywhere. And it’s true, many of the big retail brands we’ve hung our hats on for the past few decades are considered to be in a vulnerable mature growth phase. However, with the rising trends in retail, there’s an opportunity for creative marketers to redefine their approach to retention and engagement to grow their customers.
Acquiring a new member to your loyalty program is a great sign of growth; it’s a sign your member base is getting larger and therefore your revenue and margins are growing. That’s the usual perception and the reason why many marketers spend a disproportionate amount of their budgets on various forms of Above the Line (ATL) communication to attract new members. In reality and in most cases, this is the wrong approach. Yes, creating awareness of your brand and loyalty program is absolutely necessary and this is clearly required to attract new members. However, don’t think that your job is done once the new member picks up their loyalty card and walks through your door for the first time.
Since the turn of the century, the age of information has seen masses of data dumped into disconnected silos across many retail organizations. Limited access, capability, focus and free time has meant that until very recently we were only able to skim stones across the surface of this pool of potentially rich insight. However, where once IT systems creaked to breaking point whenever a non-batch data request was made, the digital transformation of customer data management is now enabling the development of inter-connected information ecosystems and finally rich customer insight. With loyalty programs in which customers self-identify, retailers can connect disparate pieces of data across multiple silos and touchpoints to build a complete picture of their customers – what we call the Golden Profile. With this Profile, retailers create relevant messaging to reach their consumers in a meaningful, impactful way.
Take a moment to think about your most fulfilling relationship. Now, think about the qualities that make that relationship successful. I’m willing to bet that one of the qualities that makes that relationship so successful is each person’s willingness to listen. In this relationship-era where brands are looking to build authentic and long-lasting connections with consumers, it is imperative that they first… listen.