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Loyalty Programs are going mobile. This presentation lays out some of the reasons why we're seeing a shift in Loyalty to mobile, and the best way businesses can take advantage of it.
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Mobilize your loyaltyprogram with mobile wallet
!!@DevelopmentNow@AdamLorts
Empowered consumers demand more control
Your customers are “always on”
Your customers have more choices and can switch on demand
The role of mobile in loyalty cannot beunderstated.
5%
26%
25%
22%
22%
39%
37%
35%
34%
33%
Other
Quick service restaurant
Department store
Entertainment
Gas station
Supermarket/Grocery store
Pharmacy/Drug store
Bank/credit card
Specialty retail
Hotel
Airline/frequent flyer
Shopper club
Base: US Online Adults 18+ (Online Weekly or More) who belong to loyalty programsSource: North American Technographics Customer Life Cycle Survey, Q2 2013
Over two-thirds of consumers belong to at least oneloyalty program
“Which of the following types of customer loyalty programs do you belong to?”68%
60%
On average,
consumers belongto about 8 loyalty
programs.
Base: 98 loyalty program marketers; Source: Q3 2013 Global LoyaltyProgram Service Providers Forrester Wave™ Customer Online Survey
Organizations are prioritizing their loyalty programs
Loyalty is a key strategicimperative
Budget support is strong
“How has your loyalty budget changedyear over year in 2013?”
43%
34%
Increase Stay the same
3%
Decrease
Base: 50 loyalty program marketers; Source: Q3 2012North America Loyalty Benchmark Online Survey
I regularly participatein most of the loyalty
programs I join59%
I regularly participatein just a few of theloyalty programs I
join36%
Base: US Online Adults 18+ (Online Weekly or More) who belong to loyalty programsSource: North American Technographics Customer Life Cycle Survey, Q2 2013
Consumers participate in the programs they join
"Which of the following statements best describes your level of involvement with customer
loyalty programs you join?"
I rarely, if ever,
participate in the
loyalty programs I
join
5%
24%
50%
48%
64%
78%
I belong to too many loyalty programs
Loyalty programs influence what I buy
Loyalty programs influence how much I spend
Loyalty programs influence where I make purchases
Loyalty programs save me money
Consumers view programs as a way to save
“How much do you agree with the following statements regarding customer loyalty programs?”
(4 and 5 responses on a scale of 1 [Do not agree at all] to 5 [Agree completely] shown)
Base: US Online Adults 18+ (Online Weekly or More) who belong to loyalty programsSource: North American Technographics Customer Life Cycle Survey, Q2 2013
64%
59%
56%
50%
52%
37%
51%
50%
44%
43%48%
36%
33%
24%
When I find a brand I like, I stick to it
A brand's reputation is important to me
I prefer to buy brands that I have owned previously
Price is more important to me than brand names
I would pay more for products or services that save metime and hassles
I often tell my friends and family about new brands,
products, or services that I have discovered
I would pay more for brands or products consistent withan image I like
Base: 3,266 US online adults (18+) who belong to loyalty programs
Source: North American Technographics Customer Life Cycle Survey, Q2 2013
Active program members are willing to pay and share
“How much do you agree with the following statements?”
(4 and 5 responses on a scale of 1 [Do not agree at all] to 5 [Agree completely] shown)
I regularly participate in most of the loyalty programs I join
I rarely, if ever, participate in the loyalty programs I join
Source: North American Technographics Customer Life Cycle Survey, Q2 2013
50% of loyalty program members wantmobile gift cards and reward
certificates.
Consumers have an appetite for mobile rewards
44% of consumers are interested injoining programs that offer mobile
coupons.
12
It’s time to seize the mobile moment.
35Why mobilize your loyalty program?!
For the Consumer! For the Marketer!
Convenience
Timely reminders (expiring points)
Location triggers
Great way to engage loyalty members
Ability to update points real-time
Low cost location-based marketing
First, mobile boosts customer understanding
› Mobile helps marketers follow
program members across thecustomer lifecycle
› Mobile channels are highly
trackable
› Mobile interactions create new
data streams
Second, mobile streamlines loyalty program utility
Then Now
Mobile simplifies the member experience, andgives members more control over when, where,
and how they participate.
Third, mobile increases the relevance of loyalty programs
› Contextual insights help
marketers deliver morepersonalized marketing content
› But it goes beyond creating a
mobile version of the loyalty cardand offers.
› Mobile also creates new
opportunities for engagement thatgo beyond typical programinteractions
17
Mobile Landscape
29Mobile landscape overview!
Mobilemarketing !
Mobileadvertising!
Mobile !experiences!
Mobileservice!
displayadsrich
mediaads
apps
mobile webexperiences
m-commerce Mobilemediabuys
mobile wallet!marketing!
SMS
MMS
QRcodes
mobilealerts
mobiledatabase
loyaltyprogramactivation
servicealerts
targeting &segmentation
pushnotification
payments
Programmatic(RTB)
mobile
serviceapps
mobile!coupons!
30The “non-payment” mobile wallet marketing movement!
Apple launched Passbook inSeptember 2012
The new Google Wallet app launchedin 2013 for iPhone & Android
Rewardscertificates
cards
Offers andcoupons
Loyalty
33Mobile wallet marketing is making a big impact!
Are people using it?!
On average, 70% ofconsumers will save aPassbook offer to theirphone when presentedwith a pass.
Does wallet liftemail conversion?!
When email is activated
with Mobile Wallet – 8%increase in conversion !
Does it work?!
64% higher conversion
rate over static mobileweb coupons
26% increase in AOV
over static mobile weboffers
38
Keep RewardBalance above the
fold for easy viewing
Dedicate label value toshowcase loyalty
program join date
Feature unique
loyalty ID beneath
barcode
Prompt users todownload your app
Deliver lock screen
notifications to
consumers
Include information
like:• Location of
favorite store• Phone number• Store hoursTerms and conditions
located beneath allcompany information
Apple’s Passbook – Mobile Loyalty Card!
Personalize with name, points, and even colors for loyalty tiers
39
Include retailername and offer!
Make sure logo is
sized appropriately!
Assign a uniquebarcode ID to track
redemption!
Include storeinformation andhours!
Put important
information likeexclusive offers in the“Messages” field!
Place information
about the loyalty
program at the end!
Google Wallet – Mobile Loyalty Card!
1:1 personal messaging to loyalty members with offers, custom messages & more
40Mobilize reward certificates too…!
Deliver time-sensitive reward certificates and send special offers to members
Google Wallet Apple’s Passbook
44Google Wallet and Passbook are location-aware solutions!
Vibes
46
loyalty programand available rewards
Raise awareness about Drive engagementwith real-time pointsnotifications
Drive foot traffic andenable easyredemption at POS
Offset expensive callcenter calls byproviding timely info
How mobile wallet can strengthen your loyalty program
AWARENESS! ENGAGEMENT! TRANSACTION! SERVICE!
48Think holistically about your mobile wallet marketing strategy !
1. Create!
2. Distribute!
3. Manage!4. Measure!
5. Optimize!
27
Mobile Tips
Select a platform that makes mobile wallet management easy! 52
Mobile walletmetrics
Single “smartlink”
ManagePassbook &
Google Wallet inone interface
Managelocations (geoor iBeacon IDs)
53Make sure to build solutions for both iPhone and Android users !
Google Wallet Apple Passbook
544. Identify KPIs and actively update and monitor campaigns !