strategies were initially only focused on incentivising customer behaviour.
Then brands woke up to the need to, and value of, collecting data to build
insights. However, this is now coming full circle.
pure-play online brands already know a lot about their customers, even where
they don’t have a loyalty programme in place. Online transactions automatically
capture personal details that can be cross matched to other data sources to
build customer profiles. The loyalty challenge here is building and
maintaining customer engagement. Similarly, for multi-channel brands, the
challenge is to understand how customers interact with them both online and
offline and how loyalty can act as a bridge between both.
example, having realised the importance of nurturing its ‘omni-channel’
customers, John Lewis installed Wi-Fi in its stores to facilitate price
comparison and product research in-store. Having introduced a policy that
allocates all online sales in a set geographic radius from its stores against
the performance targets for the local store, John Lewis not only provided an
enhanced offering to customers but avoided conflict between its channels – a
smart use of its data.
also incorporated free Wi-Fi in-store to integrate loyalty online and offline,
as part of the launch of My HMV platform. Consumers entering the store will
automatically receive a welcome message from My HMV, inviting them to join the
programme. The aim is to make the brand experience more personalised, enabling
shoppers to gain instant access content via the online platform, such as music
streaming and reviews, whilst in-store.
customers have a 360 degree view of your company, not the other way
round. They expect to have a consistent, value-added and interactive
multi-channel customer experience across both directly controlled and indirect
channels to a brand. Customers increasingly expect brands to not only have a
presence on their social networks, but to use them to engage and feed their
needs for interactivity and instant gratification.
recognised this through the launch of the @MyStarbucksIdea initiative in the US
– inviting customers to submit ideas on how to improve the business via Twitter
and crediting the successful pitches on their blog. With over 70,000 ideas
submitted in the first year, the successful strategy ensured customers felt
empowered and part of the brand experience, building their confidence in the
the way for My Starbucks Rewards loyalty programme, enabling customers to
redeem points and benefits for each transaction made with a Starbucks Card.
Through developing this further to offer payment via mobile through the
Starbucks App, the brand has ensured the customer remains engaged with the
brand experience across numerous channels, and importantly, customer data is
captured to allow the brand to make more personalised offers in the future.