DigitalizationDigitalization is the integration of digital technologies into everyday life by the digitization of everything that can be digitized. The literal meaning of digitalization gives a concrete idea of a technology dependent world. To retain their customer’s loyalty, Businesses are now looking to introduce new options to appeal to digitally savvy customers. In our earlier post, we have stressed the importance of launching a loyalty program. Based on a study, 8 out of 10 customers are more likely to buy in a store that offers a loyalty program. Around 57% of the respondents say that saving money is the primary reason why they join a loyalty program. This strategy makes the business grow exponentially. But the question now is, how would you attract your digitally savvy customers? The answer is simple…
Digital Loyalty ProgramDigital Loyalty programs are structured marketing efforts that reward buying customers to be loyal to the brand by launching campaigns which is potentially beneficial to the customer and the business. Reward-based programs boost over 3.3 billion memberships. Consumers obviously find these programs beneficial, but as technology evolves and business infrastructure moves online, brands must revamp old loyalty memberships to attract and engage customers. Companies nowadays are adapting to how customers interact and leveraging the digital world is one.
Who are using Digital Loyalty Programs?For the world-famous Coffee shop brand, Starbucks, integrating customer experience to the loyalty program is their top priority.
“By integrating mobile loyalty, payment, and in-store digital experiences, we are creating game changing technologies and experiences for our customers, and the opportunity to introduce new lines of business for our company” – Starbucks CEO Howard SchultzTheir strategy is to integrate “My Starbucks Rewards” program with the Starbucks mobile payments app. This allowed their loyal customers to earn and redeem reward points directly from mobile devices. With over 12 million active members worldwide, this strategy accounted for 7 million transactions per week. The seamless integration between the Starbucks mobile app and the loyalty program paved the way to more transactions and sales for the brand
What are the advantages of launching a Digital Loyalty Program?
- Increase in repeat customers.
- It’s easy for customers, they always carry their cell phone