In the business world “happiness” is the key. If you have customers, employees, and partners that are enthusiastic and engaged you will run miles ahead of competitors that are just focused on optimizing financial return. But how do you create these positive feelings? Instead of focusing on people who are not doing so well, we should do the same as positive psychologists and look at people who are above the norm and ask: Why are they doing so well? In this article we zoom in on the mechanisms that produce these feelings of happiness and turn customers into fans.
Enhancing customer loyalty with Loyalty 3.0
Loyalty 3.0 gives us the answers we need. Rajat Paharia, author of the book Loyalty 3.0, emphasizes that loyalty 3.0 can only be achieved when there is the starting point of an experience that is meaningful to everyone involved. This is also the reason why it is pointless to attempt to gamify a brochure-like website. Instead it is important to optimize and perfect that core experience in order to create loyal customers. Through understanding what motivates people we can use game mechanisms to tap into these motivations. Next to that, the stream of information created when people use applications and other systems, big data, makes it possible to create personalized engagement techniques.
You have probably already heard about loyalty 3.0 or social loyalty. This is a relatively new way to create loyal clients through motivating people and rewarding them in combination with social media, gamification, and big data. The reason loyalty 3.0 uses all these different channels is because customers nowadays are active dispersed throughout various channels. Therefore, goal-oriented relation management between customers and companies is a challenge. Loyalty 3.0 solves this problem through integrating all channels – online and in store. This makes it possible to monitor, stimulate, and reward all actions of customers on all channels.
Loyalty 3.0 in practice
Loyalty 3.0 integrates all the activities on offline, online, and social media channels in a smart way. This is where tritonX supports marketeers to create loyal customers. First, tritonX supports the retailer in collecting customer data which creates big data. This can be used by marketeers to create customers segments of certain types of customers in tritonX. Next, customers can be rewarded using credits and points. Through the use of gamification in the loyalty program customers can be stimulated to be even more active. You can for instance think of scores and badges. This is all usable from the moment the client uses their log in. At that moment the customer’s actions in the store and online can be tracked and thus also rewarded.
As customer behavior is monitored across all channels, a lot of (big) data is collected. Through intelligent software such as tritonX it is possible to turn this big data into smart data. This process allows us to extract useful information from the big data and use that to carry out targeted marketing. This means that, for example, targeting mailings can be send out to specific customer segments. These customer segments are not only based on the behavior and characteristics of the customers, but also on loyalty engagement. For instance, when a client always buys products of a certain brand, then a mail can be sent to them with a promotion for that particular brand with specific conditions based on loyalty-status. This leads to a considerable demonstrable increase in retention rate. This form of loyalty can even be used to extend customer profiles. When you want to know more about your customers, you simply reward them when they fill out more information in their profile.
All in all, loyalty 3.0 makes it possible to reward customers, fans, and ambassadors in a fitting and unique way for special activities, purchases, and behavior with exclusive rewards and in order to make it even more exciting you can add gamification elements.
Curious and excited to learn more about loyalty 3.0 and how tritonX can support you? Then contact us!
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