THE NEW LOYALTY Modern. Social. Engaged. Scott Schnaars, GM - EMEA, Badgeville

LIMITED!TIME!

LOYALTY DISRUPTION It’s harder than ever to retain customers…

MORE !CHOICE!

More channels than ever before to engage

 

More “madvocates” than advocates

EMPOWERED !CUSTOMERS!

Average customer attention span of 8 seconds

MASSIVE INVESTMENTS In marketing technology & programs to support customer experience and loyalty…

In SEM

In Marketing Software

On Loyalty Programs

In Online Communities

In Social Media Ad Spend

$1.5B    $50B  $4.8B    

$26B  

$25B    

Sources: McKinsey, Gartner, IDC, 6S Marketing, BIA/Kelsey

80%  Budget allocation on rewards

DESPITE BIG INVESTMENT…. We’re knee deep in an engagement crisis

Low Adoption

Visitors Actually Login

Customers Who See Facebook Brand Updates

Limited Loyalty

Customers Inactive in Loyalty Programs

Customers Swayed by a Brand

Average Online Conversion Rates

Abandon Shopping Carts

16%

28%

25%

55%

3%

65%

Few Converting

Sources: Gartner, FMC, Forrester, Colloquy, Statista

THE HEART OF THE PROBLEM… We’re caught in a rut of rewarding value based on one primary behavior…

Did They Purchase?!

THE OPPORTUNITY

Traditional Behaviors New Behaviors

Embrace expansive set of new behaviors

Purchase

Phone call

Write e-mail

Log In

Register Fill Out Profile

Like

Share Post Comment

Write a Review

Respond to a Review

Vote

Tweet

Share on Facebook

Pin

? Ask a

Question

+ Register a Product Invite

Friends

+ Follow a Friend

Or Peer

Write Blog

File Support Request

Online Support Chat

Trial Product

Add to Cart

$  

BOOST REPUTATION AND STATUS

THE OPPORTUNITY

Traditional Rewards (Tangible)

New Rewards (Virtual)

And the new rewards that go along with them…

Free products

Punchcards

Discounts

EARLY ACCESS & PRIVILEGES  

MODERNIZED LOYALTY STRATEGY Low-cost, virtual rewards can exceed the value of tangible when in the right context…

Perceived  Value  of  Reward  

Socialness  of  Customer  Experience  

Tangible Rewards •  Free products •  Loyalty Cards •  Discounts

Virtual Rewards •  Elevated reputation & status •  Early access & privileges •  Championed expertise

ENGAGEMENT"

GAMIFICATION: YOUR SECRET WEAPON FOR SOCIAL LOYALTY Influence expanded set of behaviors for expanded set of rewards

REVEN

UE"

Low Medium High

Purchase

Comment

Share

Vote

Like

Login

Read

NET EFFECT Drive engagement that grows revenue

GAME MECHANICS Reward your customers, for behaviors big and small…

Show Recognition Achievements incentivize engagement

Guide CustomersMissions help them interact with products & content

Examples  Give Instant FeedbackPoints can reinforce valuable behaviors

REPUTATION MECHANICS Showcase customer rank and status

Examples  

Champion Loyal Brand Advocates With contextual Leaderboards

Showcase Mastery or StatusWith different Levels in customer community

Highlight ExpertiseIn specific areas with Tracks

SOCIAL MECHANICS Connect customers with relevant products and content

Highlight Activities Discover relevant content and how people interact with it

Follow People & ContentConnect with like-minded customers or key products

Real-time NotificationsDeliver alerts as they happen across site or app

Examples  

Generate real-time offers on your website

BEHAVIOR DATA Made actionable

   Trigger campaigns in your ESP or Marketing Automation tool

Create tasks for sales & services in your CRM

THE REAL OPPORTUNITY Behavior data to gain bigger, better understanding of your customer…

Customer Performs Behavior

Analyze Behavior Data

Enhance Engagement

Apply to Customer Experience

Closed Loop System of Engagement

YOUR CUSTOMER  

Keep users engaged between live events and programs

MUCH MUSIC’S CHALLENGE

Business Objectives!•  Increase customer retention"•  Grow User Generated Content"•  Drive engagement to make

customers more attractive to advertisers "

C A S E S T U D Y

Maximize customer revenue with more engaged audience…

ENGAGEMENT DRIVES RESULTS

% I’ll insert stat 40%

Daily Retention

18% Conversions

590% Social Shares

C A S E S T U D Y

S A M S U N G ’ S C H A L L E N G E

How to harness customers online?

More user generated content?

Social sharing

SAMSUNG’S CHALLENGE Gain a deeper connection with new & existing product owners

S A M S U N G ’ S C H A L L E N G E

Kendall Jackson – Raise a Glass Mobile Connections

 Goals  •  Increase  product  awareness  •  Develop  high-­‐quality  user  

generated  content  •  Build  community    

•  Increase  online  store  sales  

Value:    •  First  to  market  in  wine  industry  with  

mobile  community  powered  by  gamificaPon  

•  Previously  un-­‐tapped  ability  to  connect    with  K-­‐J  fans  

•  Commerce,  Community,  Altruism    

   

Kendall Jackson – Raise a Glass Mobile Connections

CONVERSION ENGAGEMENT PEOPLE

TIME ON SITE

16%    

ANONYMOUS TO

REGISTERED USERS

47%    

REVIEWS

2X MORE

COMMENTS

SUBMIT ANSWERS

SHOP CLICKS

   5X MORE

10X MORE

   

   

   

6X MORE

ENGAGEMENT DRIVES REVENUE Gain a deeper connection with new & existing product owners

WHY BADGEVILLE Manage engagement across all touchpoints….

                                                                                               

                                                                           

COMMUNITIES

CRM SOCIAL COLLABORATION

LMS/HR CMS

SOCIAL WEB WEBSITES & MOBILE APPS

                       

MARKETING/ANALYTICS

How  can  we  sell    gamificaPon  internally?  

1.  AVOID  THE  G-­‐WORD  Avoid  gamificaPon  in  front  of  the  wrong  audiences…  

It’s about behavior management and

business results

EXAMPLE:  EMC  RAMP:  RecogniPon,  Awards  and  MoPvaPon  Program  

2.  IT’S  ABOUT  BEHAVIORS  That  we  can  moPvate  and  influence  to  drive  engagement  

Log In

Share Comment Post

Status Message

Write Review

Reply to Discussion

Check in Document Check out

Document

Update Record

Convert Lead Create

Lead

Edit Wiki

Open Opportunity

Close a Deal

Close Support Ticket

File Support

Ticket Open

Support Ticket

Begin Certification

Finish Certification

$  Submit

Expense Report

$  Approve

Expenses

3.  IT’S  MORE  THAN  POINTS,  BADGES  AND  LEADERBOARDS  Tapping  into  the  human  psyche  

I want to…

make progress

get recognized for my work

WIN! know how I

compare

4.  IT’S  ABOUT  HARD  BUSINESS  VALUE  Tie  back  to  the  ROI  of  the  app  in  quesPon…  

20% Faster Ticket

Response

200% More

Reviews

63% of customers are more likely to purchase products

after reading a review

Resolving tickets on the same day reduces cost of services by 66%

Sources: iPerceptions and UK Customer Satisfaction Index

5.  IT’S  AN  ENTERPRISE  INVESTMENT  GamificaPon  must  delight  end  users,  but  saPsfy  requirements  

REQUIRED  

Game  Mechanics   ✔  

Portable  ReputaQon  Mechanics   ✔  

Social  Mechanics   ✔  

Social  Rewards   ✔  

REQUIRED  

Private  Cloud  &  Database   ✔  

Global  Data  Center   ✔  

MulQ-­‐Qered  user  access     ✔  

HARDENED SECURITY

ENTERPRISE SCALE REQUIRED  

Enterprise  Networks  &  Sites   ✔  

Advanced  Metadata  Support   ✔  

Private  Customer  Community     ✔  

FULL SUITE OF ENGAGEMENT MECHANICS

THANK YOU! Scott Schnaars Badgeville, GM - EMEA Twitter: @schnaars www.badgeville.com