Trending: Growing loyalty in the age of mobile

Caroline Papadatos

February 23, 2017

Blog-TrendingGrowingLoyalty

In the age of mobile, loyalty is reborn

With 75% of internet use and 50% of digital commerce set to be mobile-based this year, it's clear that the breakneck pace and near universal adoption of mobile technology and smartphones around the globe is leading to a scale of change in commerce we've never seen before. Your customers are now connected to each other, their favorite brands and a wealth of information all the time – profoundly upping expectations about the quality, speed and nature of their interactions.

And, with over half of millennials calling retailers that don't communicate through mobile channels "outdated", expectation is definitely the name of the game.

In short, mobile is here, mobile is huge and there are few if any aspects of retail that can ignore it any longer. Loyalty is no exception.
 

Integration is key

Mobile wallets like Apple Pay, Android Pay and Samsung Pay are quickly become standard on new phones, so leading retailers understand they can't just adopt POS systems that accept mobile payments – they need to make sure their loyalty programs can be fully integrated as well.

But the challenges for loyalty aren't just about integration or even streamlining the customer experience. Digital loyalty programs have always been an effective way to say thank you and reward, retain and grow customers. Mobile doesn't change that. What it has the potential to do – and is in fact already doing – is to move the relationship away from being strictly transactional.  Instead, mobile is helping match what shoppers are saying through the data to drive better decision-making on what products to carry, how to price and what to promote, delivering better personalized relevance and value for customers, and increase sales for the retailer.
 

Third parties offer a new approach

A variety of mobile-based loyalty start-ups – like Snap, Drop and Kiip – are also rounding out the picture with third-party apps that reward customers based on purchases, behaviors and brand interactions, offering white label solutions for large retailers that don't have the time or wherewithal to build their own programs in-house. 

In the coming months and years, retailers will up the ante even further, with mobile loyalty experiences that will feature better integration of loyalty cards, promotions and rewards to customers' loyalty and retail apps. Retailers' experience will improve too, as they learn how to better marry shoppers' mobile data and loyalty to experiment with store layouts, product positioning, allocation of store staff and relevant offers direct to smartphones.

For more about growing loyalty in the age of mobile and other trends to watch in 2017, please download the LoyaltyOne 2017 Trendspotter.

Global Solutions

LoyaltyOne

Loyalty

Retail

About the author

Caroline Papadatos

Caroline Papadatos

Senior Vice President, Global Solutions

As Senior Vice President of LoyaltyOne Global Solutions, Caroline sits on the Executive Committee and leads global alliances and key loyalty partnerships in North America and abroad, including the loyalty consulting practice and new ventures in customer experience. Caroline also leads LoyaltyOne Corporate Marketing and Thought Leadership. With her extensive practitioner experience in loyalty, customer centricity and brand management, Caroline is a successful B2C and B2B change agent and has a proven track record in designing and managing loyalty coalitions, delivering innovative customer loyalty and retention strategies to drive superior customer financial performance.

Caroline has worked across multiple industry sectors, including retail, financial services, telecom and publishing. Her past executive roles include Senior Vice President of Marketing for Rogers Communications Inc., Canada’s largest telecom services provider, CRM Manager at Sears Canada, Senior Vice President and Chief Knowledge Officer at LoyaltyOne and Senior Vice President of Marketing for the AIR MILES Reward Program.

Caroline has been an active Board member and strategic partner of the Canadian Marketing Association (CMA), and was bestowed an Honorary Life Member award by the CMA for her contributions to marketing in Canada. Caroline was formerly a Board member for The Verde Group, a customer experience company, and has participated on several Advisory Boards for technology startups in the areas of data, CRM, loyalty and customer experience. Caroline is the Executive Sponsor of the Women’s Leadership Initiative at LoyaltyOne and was the previous Chair of the Roger’s Women’s Network. She has also held a Board position at Ronald McDonald House, and is an active fundraiser for Covenant House.

Trending: Growing loyalty in the age of mobile

Jul 4, 2018, 12:41 PM
With 75% of internet use and 50% of digital commerce set to be mobile-based this year, it's clear that the breakneck pace...
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Publication date : Feb 23, 2017, 00:00 AM

In the age of mobile, loyalty is reborn

With 75% of internet use and 50% of digital commerce set to be mobile-based this year, it's clear that the breakneck pace and near universal adoption of mobile technology and smartphones around the globe is leading to a scale of change in commerce we've never seen before. Your customers are now connected to each other, their favorite brands and a wealth of information all the time – profoundly upping expectations about the quality, speed and nature of their interactions.

And, with over half of millennials calling retailers that don't communicate through mobile channels "outdated", expectation is definitely the name of the game.

In short, mobile is here, mobile is huge and there are few if any aspects of retail that can ignore it any longer. Loyalty is no exception.
 

Integration is key

Mobile wallets like Apple Pay, Android Pay and Samsung Pay are quickly become standard on new phones, so leading retailers understand they can't just adopt POS systems that accept mobile payments – they need to make sure their loyalty programs can be fully integrated as well.

But the challenges for loyalty aren't just about integration or even streamlining the customer experience. Digital loyalty programs have always been an effective way to say thank you and reward, retain and grow customers. Mobile doesn't change that. What it has the potential to do – and is in fact already doing – is to move the relationship away from being strictly transactional.  Instead, mobile is helping match what shoppers are saying through the data to drive better decision-making on what products to carry, how to price and what to promote, delivering better personalized relevance and value for customers, and increase sales for the retailer.
 

Third parties offer a new approach

A variety of mobile-based loyalty start-ups – like Snap, Drop and Kiip – are also rounding out the picture with third-party apps that reward customers based on purchases, behaviors and brand interactions, offering white label solutions for large retailers that don't have the time or wherewithal to build their own programs in-house. 

In the coming months and years, retailers will up the ante even further, with mobile loyalty experiences that will feature better integration of loyalty cards, promotions and rewards to customers' loyalty and retail apps. Retailers' experience will improve too, as they learn how to better marry shoppers' mobile data and loyalty to experiment with store layouts, product positioning, allocation of store staff and relevant offers direct to smartphones.

For more about growing loyalty in the age of mobile and other trends to watch in 2017, please download the LoyaltyOne 2017 Trendspotter.

Tags :
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  • Loyalty
  • LoyaltyOne
  • Retail
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Author : Caroline Papadatos
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