New Age of Commerce & Loyalty Programs
There is revolutionary transformation of commerce that is underway where the advent of mobile-enabled omnicommerce puts consumers in control of their own experiences. With this transformation, merchants are scrambling to find new ways to meet or exceed consumer expectations. According to a new research white paper, Customer Loyalty and the Transformation of Commerce, from CSCU and FIS and produced by Aite Group, the revolutionary transformation of commerce suggests new approaches and tools to increase consumer loyalty and incremental sales.
The research findings include insights on how can you best deliver “right place, right time” loyalty messaging and how you can also increase average spend-per-transaction, the frequency of usage, and per-consumer profitability. The findings identify four types of loyalty and timely strategies for reaching members. In addition to the four loyalty types, this informative paper also covers the challenges of the current commerce environment; recommended approaches for delivering relevant, effective loyalty messages; and well-designed strategies that cut through the clutter
Until very recently, the merchant controlled the consumer experience, managing all aspects of the interaction. But, with the advent of mobile-enabled omnicommerce, consumers now control their own experiences, and merchants are feverishly working to find ways to meet or exceed consumer expectations. Loyalty and promotions remain as important parts of the continuum that provides merchants with a variety of different tools to address specific issues.
Until the 1980’s there were only three ways that consumers could engage in commerce with a merchant; in the store, on the phone, or with a catalog through the mail. This model has been around for more than a century, and merchants have fine-tuned their capabilities to optimize sales through these channels with a good deal of success.
Relevant messaging delivered to the right person at the right time and in the right place is the secret to successfully changing customer behavior. The tools now exist to maintain relevant communications with the consumer at every point of interaction, including at the point-of-sale terminal. The “one-size-fits-all” loyalty schemes that merchants have used are no longer relevant or effective. Things changed in 1984 when the first online service provider, CompuServe, launched the CompuServe electronic mall, enabling online commerce for the first time.
According to Aite’s research, efforts to differentiate and drive sales are creating levels of clutter that are certain to diminish interest and attention. It’s no wonder, according to the research, that many national retailers are struggling to maintain relevance with consumers. Fortunately, there’s a way to overcome the noise.
Download the white paper to gain insights into the challenges of the current commerce environment; the four different types of loyalty and their role in the commerce equation; and how to deliver relevant messages and offers throughout the consumer journey.