Businesses today are now adopting different digital solutions to create a unique customer service. You can now star in your own music video with a virtual version of Alden Richards, instantly pay for your bus ticket online, and use InstaPay to receive large payments for your business.
It’s unfortunate that the very thing brands need to foster, loyalty and retention, lags behind. The archaic loyalty card is still the most common, with Suki Card and SM Advantage setting the precedent.
In 2019, it’s time for a change of pace. The Philippine Retail Association recommends data-driven loyalty programs to gain competitive advantage.
In a mall culture when your competitor is just next door, you’re going to need insights that a plastic card wouldn’t be able to track in real-time. And with discerning millennial consumers who invest in experience rather than products, you’re going to need a new loyalty marketing strategy.
Here’s how to innovate your loyalty program:
Strive for a Purpose
The study “Emerging Shifts in Filipino Consumption Mindsets” (local highlights from the global research The MEaningful Shift) calls the most influential Filipino consumer as Prosumers. These are socially-responsible individuals who are also relied upon by their social circle for brand recommendations.
Sixty percent of Filipino prosumers buy from brands that reflect their values. Last year the #BoycottNutriasia made rounds online over a violent protest dispersal. They’re concerned with a company’s involvement in political and social issues, as well as their effort to care for the environment.
Your loyalty program should be aligned with your company values. Yoga+ wanted to share the benefits of yoga but this can only be achieved with consistent attendance. The yoga school increased participation by linking their attendance tracking system to a digital loyalty program. Members can book classes online and earn points once they attend. These rewards can be exchanged for discounts for future packages. Yoga+ was able to reward customers and meet their goals, resulting in a mutual benefit.
Think Beyond Transactions
Building a relevant loyalty program that can adapt to your business’ and customers' needs require digital capabilities. Traditional retail should learn from e-commerce, instead of seeing it as a threat.
Online retailers have expanded their offerings and adjusted to Filipino consumers. Food delivery apps proliferated as time-starved and traffic-addled Filipinos just want their groceries and food delivered. Lazada is now accepting payments via GCash as an alternative option for shoppers who don't have a credit card and want to avoid risks in COD transactions.
Change can be adding a better and effective twist to an established idea. Having a comprehensive loyalty platform partnered with a digital loyalty app enables you to connect sales, loyalty marketing, and operations. For example, you can offer a discount on a slow-moving product, provide updates on a brand new line, and let loyalty members use points as an in-store discount. These alone already help you promote, retain and engage customers.
Make it Easy