How mobile gift card programs and loyalty programs benefit businesses
October 25, 2013

Businesses typically offer gift card programs and loyalty programs to reward customers for repeat visits and continued purchases. However, integrating these tools provides unique benefits to store owners as well.

The upcoming holiday shopping season is likely to lead many consumers to utilize smartphone applications and other mobile tools to manage finances and create wish lists, according to Business 2 Community. Shoppers in the U.S. are incorporating mobile technology into the retail experience more than ever before, and many are using third-party applications to avoid budget problems and other sources of frustration between Thanksgiving and Christmas. In fact, the website cited a recent poll from the American Psychological Association that found more than 8 out of 10 Americans expect be stressed at some point throughout the upcoming holiday shopping season.

How do businesses benefit from rewards campaigns?
The fact that many consumers are already utilizing their smartphones to perform basic shopping tasks means that retail organizations have an opportunity to target shoppers in more effective ways. Rather than offering coupons and discounts through disjointed channels, stores use mobile technology to target consumers on the same devices they're likely using anyway to find competitive prices.

Offering more advanced gift card programs and loyalty programs is one way for retail organizations to track a large trove of valuable customer information as well. According to a report from NewVantage Partners, a Big Data consulting service, buyer transaction data trumps all other types of business intelligence in its importance in the eyes of marketers. By offering digital coupons and unique discounts for shoppers who use mobile phones, stores get a clearer picture of which kinds of products their customers find most interesting. They can also better understand which consumers more likely to continue shopping in the future and for what reasons.

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