Customer acquisition and retention are two massive goals for any brand. So what can brands do to achieve success in these areas? Mobilize the customer journey to create loyalty-driven interactions is the key to customer acquisition and retention, according to the June Consumer Data from Yankee Group’s 2013 U.S. Mobile Marketing and Commerce Survey.
According to the June Consumer Data, consumers definitely want their mobile loyalty programs evidenced by the following statistics:
47% of consumers wish more stores offered mobile apps to collect and redeem loyalty points
46% would strongly recommend a company to their families and friends if it had a mobile loyalty program that offered personalized rewards
47% would shop at a store that offered a mobile loyalty program over another store
Mobile loyalty programs that reward customers based on connecting their rich customer profiles provided by a loyalty program to actual transaction data provide the best foundation for a strong ROM, according to the June Consumer Data. Knowing how much a customer spent doesn't offer the same insight as knowing what they bought – as well as when and where.
Basing rewards on real-world transactions ensures the rewards are calibrated appropriately, according to the June Consumer Data. Mobilizing loyalty programs will enhance customer journeys if brands embrace the following:
Mobile coupons and offers will improve with not just location but better context. Geofencing and proximity marketing enable real-time interactions, but context is the key here. Creating rich customer profiles that drive loyalty campaigns allows for an unparalleled depth and breadth of customer segmentation that can be used for improved engagement strategies based on the individual preferences and patterns of each customer. Brands should try to combine precision-location with customer context to suggest the right offer to the right person at the right time.
Focus on the journey -- not the department or technology. SMS coupons, NFC, QR codes, and check-ins are all just pieces of a mobile strategy that may or may not provide a strong return on mobility. Blanketing customers with SMS campaigns is not a meaningful engagement strategy, according to the June Consumer Data, especially since such blanketing sometimes alienates customers, causing them to opt out of future marketing communications. Currently, not enough companies focus their mobile efforts only on loyalty. While mobile wallets and payments solutions continue to mature, mobile-focused loyalty and rewards programs are the real value-adds of customer engagement. By mobilizing all steps along the customer journey and bringing them under the umbrella of a dedicated program, companies will find it easier to build relationships and get customers coming back.
Bottom line: Many companies are failing to take advantage of the mobile opportunity. Mobile loyalty programs offer a strong return on mobility (ROM), especially as the opportunities to create engaging mobile experiences with consumers explode. Mobile marketing should not be confused with mobile loyalty. Delivering mobile coupons to consumers via SMS is a form of mobile marketing that has been around for many years.