How loyalty programs will evolve this year
February 21, 2013

Consumers continue to purchase new devices and search for loyalty and gift card programs through a variety of web-based channels, illustrating the importance of cultivating a strong, comprehensive customer-retention strategy. By incorporating mobile platforms into the initiative, merchants can expect maximum engagement among current and prospective clientele.

MediaPost recently listed several tips for merchants to consider when developing a multi-faceted loyalty program, as well as associated marketing strategies. Many businesses are turning to advanced analytics tools to measure the efficacy of marketing programs, using the information cultivated from purchases and participation in loyalty programs to create stronger customer-facing strategies.

According to the news provider, personalization is one of the most crucial components of a loyalty program today, and can be made easy through the use of advanced tools. For example, merchants can tier loyalty programs so that longer-standing customers get more rewards than new ones, and potentially focus on using information from past purchases to tailor gifts to each client.

The source added that convergence of the various channels used to communicate the loyalty programs, as well as carry them out, is key, citing a study that found nearly 60 percent of merchants have difficulty accomplishing this goal. By planning and assessing the various marketing and loyalty initiatives and launching in a cohesive fashion, merchants can expect better results.

Finally, MediaPost added that mobile loyalty is becoming the new norm, as many customers prefer merchants who have moved away from simple punch cards and into the interactive, digital rewards scope.

Retailers should consider procuring integrated payment systems to streamline all strategies related to transaction processing and loyalty programs. These solutions provide an affordable, efficient and convenient customer service experience, especially when all facets are incorporated. Further, integrated payment systems can help merchants better track customer behaviors.

Nexus: G-WEBCD1