The best loyalty programs provide win-win scenarios for everyone involved. Customers often get valuable discounts and special offers for visiting retailers they already enjoy. And businesses not only gain the tangible benefits of customer retention, they also acquire the precious data that can continually unlock the potential for further personalized and relevant customer engagement efforts.
Traditional card-based loyalty programs have been the industry standard for years. But as digital and mobile capabilities continue to escalate, more companies are designing a host of innovative loyalty platforms that continue to redefine the loyalty pace. What’s more, customers appear to be increasingly excited about the opportunity, as evidenced by the tremendous growth by one company in particular.
SpendSmart, an innovative loyalty marketing platforms that offers an array of mobile customer engagement solutions, has just announced that it has surpassed four million North American customers. Even more impressive than the total number is the rate at which it has occurred. SpendSmart has doubled its subscribers in just under a year.
“I think consumers want to be loyal now more than ever; they just need to be given a frictionless way to participate,” SpendSmart CEO Alex Minicucci told Loyalty360. “During a tough economy, people tend to buy and support local, and they want to be appreciated for their patronage. Many merchants want to reciprocate, but just don't know how. That is why our combination of service, loyalty program and marketing services are an ideal fit.”
Through its SMS Masterminds platform, SpendSmart allows both retailers and consumers to enjoy the benefits of a loyalty program with ease and efficiency.
Without needing to rely on physical cards or even an app, SpendSmart works by letting customers sign up with a mobile number inside any participating retailer. After “checking-in,” members are then sent an exclusive VIP “thank you” offer for registering. Retailers can then send subsequent offers via text at frequently reoccurring intervals.
To redeem the offers, members need only to arrive at the store with the text in hand.
The retailers benefit as well. In addition to more in-store traffic, they also benefit from the wealth of data the platform generates.
“We are uniquely positioned to change the brick and mortar customer experience,” said Minicucci. “When someone shops online, the merchant knows a tremendous amount about that user: name, email, phone, location, purchase details and amount. However, when someone buys from their local store, the merchant learns little about that customer. Traditional loyalty programs fall short because they only reward shoppers who are already buying - the value proposition is weak to the merchant. Our approach is different. We leverage the customer data we gather through our loyalty system to send timely and relevant offers to influence customer behavior.”
The versatility of the platform is another key aspect of SpendSmart’s success.
“Our rewards are unique and very impactful to consumers,” said Minicucci. “In many cases, we're the only one offering a loyalty program at your favorite salon or sandwich shop. This is important because the consumer relationship with their locally owned businesses tends to be more personal already, so they’re ideal for a loyalty program.”
But even beyond the benefits to local retailers, SpendSmart’s customizable platform can also be useful to regional and national brands seeking build more personal relationships with their customers, and the communities they inhabit.