Tuesday, April 30, 2013

How to drive consumer loyalty via mobile

Loyalty schemes are big business. You only have to look at Tesco’s Clubcard, Boots Advantage and Nectar points to see how effective they are at drawing consumers in and creating brand loyalty on the high street.
But looking around the globe traditional loyalty models are being taken on by the mobile revolution. Brands using their mobile channel to target engaged consumers and deliver smarter, personalised deals are giving traditional routes a run for their money.
Here are five great ideas for how you can create loyalty with mobile users and ultimately give them what they want: better service, rewards for brand advocacy and, of course, money-off deals.

1. Offers and vouchers, tailored and targeted to the mobile user:

LevelUp, the US based mobile-payments-meets-loyalty program app, is tapping into and delivering what consumers really want – money off deals in a location near them, in real-time.
Using geolocation data the app alerts users to nearby businesses offering discounts to LevelUp customers. The promotions are applied when the consumer users the mobile app to make a payment.
Each purchase made through LevelUp is tracked and customers are automatically rewarded with credits each time they return to their favourite shopping haunts.

2. Location. Context sensitive, time specific, localised search

I want to personally thank the Addison Lee (the London minicab firm) app creator for making a Londoner’s life so much easier.
This smooth, seamless app allows account, cash and credit card customers to 'hail' a minicab on-the-go in under a minute is a fantastic example of understanding what its mobile customer wants.
The GPS means there’s no need to type in pick up address (which can be saved) its “find my location” button will find you no matter how lost you are (great for when the pub closes).
It sends an SMS to confirm it’s coming to collect you – and the beauty of this minicab firm is – you don’t have to give them directions to your home.

3. Rewards. Customer lifestyle insight for maximising advocacy:

South African health insurance company, Discovery, hit jackpot when it launched a rewards scheme based on healthy-lifestyle choices. The Discovery Vitality loyalty scheme gives you more points the healthier you are.

If you reach your target weight/fitness you’re given extra credits. Members of the club are rewarded for “good behaviour” with money off deals (healthy foods/healthclubs/airlines), cash back as well as fitness and nutrition support.
The Discovery Vitality app means you can collect, track and utilise points whilst keeping abreast of your health stats, goals on the go.

4. Payments made easy

Innovative mobile payment solutions, currently available on low-value items in places like Pizza Express, may soon be common place on the high street.
A great example of an app enhancing a customer’s experience with a brand is the Pizza Express iphone app powered by PayPal. It works by allowing iPhone users to, claim/redeem vouchers and, pay the bill on a smartphone.
The waiter hands over the bill with a 12-digit code that the customer taps into their PayPal account. The app sends the customer and the restaurant a receipt which you show  to the waiter and you’re good to go. 

5. Free in-store wi-fi:

Luxury London department store, Liberty, is one of many retailers experimenting with free wifi in-store for customers.
Recent research by Google and Nielsen found that shopping searches were twice as likely to be conducted in-store. The report highlights that this is a key opportunity for marketers to reach someone who is already ready and prepped to take action. 

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