Demographic preferences inform mobile loyalty programs
September 27, 2013

Businesses that invest in integrated payment systems can experience a variety of unique benefits. For example, the ability to accept mobile transactions can increase revenue by making the customer experience more convenient. As companies with online and offline business models become more competitive, delivering a high-quality experience for shoppers at all levels of interaction is an especially smart growth strategy.

The integration of mobile technology in the retail industry is still a relatively new concept. As a result, it's important for businesses to be especially careful when they consider investing in services that accept mobile credit card payments. Many companies also use mobile technology to create robust gift card programs and loyalty programs. Here is a closer look at the important issues to keep in mind when using digital tools to create long-term customer retention strategies.

Be mindful of consumer preferences
It's true many shoppers are enthusiastic about using smartphones and mobile devices at all points of the retail experience. However, many people still approach such technology with caution. For example, a recent study from the Pew Internet and American Life Project found that while many young people are open to turning on GPS location tracking services on their mobile devices, consumers over the age of 50 are much less likely to do so.

A separate survey from mBlox, a mobile marketing company, found a large majority of consumers are interested in the concept of interacting with brands through mobile devices. Yet because of the large amount of personal data made available through smartphones, most shoppers said they would only use this kind of technology to connect with the businesses they know and trust. In fact, the report said 88 percent of consumers prefer the ability to opt in to services such as gift card programs and loyalty programs, rather than being automatically enrolled.

In other words, businesses must pay close attention to the habits and preferences of their target customers when investing in electronic payment systems. The benefits of streamlining the transaction process while simultaneously enhancing the level of engagement customers have with their favorite brands are significant. However, every business has a slightly unique target demographic. It's important to keep these nuances in mind when looking for unique ways to increase revenue. For instance, younger shoppers are often more than willing to participate in mobile gift card programs and loyalty programs.

Nexus: G-WEBCD3