Customer Experience seems to be dominating loyalty conversations of late. Virtual reality is now a loyalty reality. Our friends in the UK have discovered the benefits of not penalizing customers for their loyalty. And apparently, retail therapy is actually a thing. No – like a real thing. Here is what we’re following in loyalty news so far in 2019 …
CX
Best Buy CEO talks melding digital with physical
Quotable: "The stores end up being a wonderful asset," Joly said. A customer app allows the guest to compare features of different products while they're in the store. They can also know which products are available in which stores. Half of Best Buy's online orders are either picked up in a store or shipped from the store."
Customer experience (CX) disconnects
Quotable: “Accenture reports via a study that businesses that prioritize customer experience generate 11-percent higher shareholder returns.”
Consumer Survey Reveals CX Opportunities
Quotable: “One-quarter of consumers (25 percent) are willing to walk away from a company that does a poor job of personalizing their experience. That number rises to 35 percent among Millennials.”
Britta Seeger's customer-centric strategy
Quotable: “It’s about instilling enthusiasm about the car,” Seeger says. “This doesn’t mean that you only stick in the digital journey, it’s omnichannel. We think customers shopping online will increase dramatically, but we have to be good at both – combining tech with customer service.”
CONSUMER DATA
Instead of surveillance, what if we told advertisers what they wanted to know?
Quotable: “A 2017 study of 107 U.S. professionals titled “Predictably Inaccurate,” Deloitte found that, across all categories, respondents believed 71% of their purchased data to be 0% to 50% correct. Even in binary categories like “owner of life insurance policy,” buyers found purchased data to be less accurate than a coin toss would be.”
ACCC revises Consumer Data Right rules
Quotable: “The consumer would have to explicitly consent to the accredited person “collecting specified CDR data from the data holder of that CDR data” and “using the collected data in order to provide goods or services under the contract”, according to the exposure draft.”
LOYALTY TECHNOLOGY
Customer intelligence helps build brand loyalty
Quotable: “Statistics portal Statista predicts that by 2020, every person in the world will own an average of 6.9 connected devices. That means retailers need to implement identity resolution capabilities to recognize each customer as the same individual no matter the channel or device.”
Improving loyalty programmes with smart technology
Quotable: “The latest loyalty tech hero is British Gas with its Rewards programme. Launched in 2017, it now services millions of loyal customers. It’s the first of its kind in the utility sector, offering unique benefits not available in other programmes such as free energy days and tickets to The O2 in their exclusive Rewards terrace. And now they are doing something to really excite their members this Easter – using Augmented Reality.” Editor’s Note: Congratulations to our good friends at Mando who are powering this campaign.
LOYALTY STRATEGY
Valuing, not punishing customer loyalty
Quotable: “They have found that, instead of being rewarded for fidelity, consumers often encounter a so-called ‘loyalty penalty’ for sticking with their insurance, broadband or mobile phone provider.”
Even Molson Coors is hatching a direct-to-consumer strategy
Quotable: “By working with e-commerce marketplaces, alcohol brands can receive data from two sources: information on browsing behavior gathered through their e-commerce sites (including preferences, purchase patterns, time of day and attribution), and additional customer insights based on their behavior after they click the purchase button, from the marketplaces.”
CONSUMER TRENDS
40% of shoppers feel no loyalty to fashion retailers, report finds
Quotable: “The report also revealed 47% of UK consumers believe it no longer pays to be loyal. However, more than a third of consumers across all market sectors said they would be loyal to brands if they got true value for their loyalty.”
Consumers Are Spending More Per Visit In-Store than Online
Quotable: “According to a survey from Clicktale, 40% of shoppers use ‘retail therapy’ as a way to calm down, while 74% said they have "stress-shopped" in the past. A study from the Journal of Consumer Psychology states the benefits of retail therapy. Making purchase decisions reduces residual sadness.”
The Loyalty Newswire is compiled and edited by the staff at The Wise Marketer.
