Appreciation is something that we all crave, and we’re no different as shoppers. While discounts, vouchers and sales may draw our attention to certain retailers or brands, our interest is transactional.
Retailers looking to nurture long-term loyalty pay attention to what individual shoppers want. They get to know them. They look at what they buy and what they want to buy. They help them fulfil their aspirations.
These retailers are transparent about their need for personal data, and they offer individuals control of the content they see and the data they send. In doing so, they start to build a trusting relationship – one where genuine loyalty can thrive.
Mobile technology helps these retailers discover what their loyalty programme members want, and provides a quick and easy way to deliver relevant and engaging content. Mobile loyalty programmes encourage people to use their loyalty programme benefits because those benefits are tailor-made for them.
The five essential benefits of mobile-optimised loyalty programmes
Mobile technology improves the relevancy of a programme’s rewards. Apart from providing an additional source of shopping and browsing data, mobiles allow retailers to provide timely offers and content.
Retailers can use in-store beacons to send reminders and special offers to customers as they shop in-store, or pass close-by.
For example, if a loyalty programme member is searching for an item on a retailer’s app while they’re on the bus, and then passes by the store later in the day, the retailer can reward them with a discount on the product in question - this is a much more engaging reward than offering all passers-by the same deal.
Loyalty apps help brands discover what it is that individuals want. The data lets them see what sort of offers and communication styles resonate with the people they’re trying to reach.
In our Future of Retail study, we discovered that 20% of consumers across the UK, Switzerland, Germany, the Netherlands, Italy and Poland felt that promotions tailored to their tastes and interests were essential in developing and maintaining their loyalty to a retailer.
Mobile technology lets retailers analyse data and use in-store beacons to target individuals with specific, timely offers that are designed to suit their tastes and needs. Mobile technology allows retailers to make loyalty rewards more meaningful.
Loyalty programmes can become intrusive and little more than an annoyance to their members. Whether it’s unsolicited emails with offers and rewards that aren’t what the individual wants or free gifts that go straight in the bin some programmes try to sell to their members, rather than actively engage them in the programme.
Mobile allows loyalty programme members to exert more control over what features they use, what communication they receive and what data they share with the brand.
Giving people more control over what information they share, and letting them register what content and products they’re interested in, is an effective way to build a trusting relationship.
Without trust, there’s no genuine loyalty. It’s simply a relationship of convenience.
Comarch’s, Future of Retail study found that, while privacy is always a concern for shoppers, 43% of those surveyed were open to retailers accessing their personal data, as long as those retailers used that data to develop personalised rewards.
Eighty-eight percent of respondents said that they wanted to be rewarded in exchange for retailers using their personal data for marketing. But transparency remains an important factor, with 90% wanting to see what kind of data the retailer is collecting, and 92% saying it’s important for them to know how their data is being used by retailers.
Mobile technology, combined with connected devices, allows loyalty programme providers to reward a greater range of activities than the traditional exchange of spend or mileage for points.
For example, when you use Samsung Pay, and you’re a member of Samsung Rewards, you can earn more loyalty points by also tracking activity in your Samsung Health app.
Mobile devices have allowed loyalty schemes to become more relevant to individuals. After all, a reward is only rewarding if it’s something that the person wants.
Retailers can, and are, using mobile technology to provide their loyalty programme members with relevant and timely offers. They’re using the platform to communicate with people more, to find out what individuals want and to give them more control over what content they receive.
Mobile technology allows retailers to tailor their content and programmes precisely and helps them move away from making assumptions based on demographics and providing a rewards store filled with things that the retailer thinks its members would like, rather than what will motivate them to continue shopping at their stores.