Loyalty programs bring retention and long-term focus on customer trends, usage, and social media behaviour to the retail sector. Keeping this in view, 2017 predicts a stronger, more efficient, agile strategy for loyalty programs.
The Indian Retail Industry has undergone a paradigm shift from a product-oriented industry to a more marketing focused industry with the ‘customer’ taking center stage. The customer today is spoilt for choice owing to diverse factors like multiple brand choices, extremely attractive value propositions and availability of content 24X7 due to various social platforms and technological access.
Also there are radical changes and explosion in the retail landscape with the emergence of new age e-commerce players giving the larger organized players a run for their money. All this explosion is resulting in mad rush for new customer acquisition however the same is fuelled largely by deep discounting, which in the longer run is unlikely to be un-sustainable. As discounting is very transactional in nature and does not build any engagement with the customer over time.
Trends give us a purview of the latest market dynamics that influence shopper behaviour. Loyalty programs bring retention and long-term focus on customer trends, usage, and social media behaviour to the retail sector. Keeping this in view, 2017 predicts a stronger, more efficient, agile strategy for loyalty programs.
Omni-channel: From the brick and mortar to the online e-commerce stores, the need to adapt to the ever-changing landscape of retailing and consumer behavior is by using all platforms of communication to reach the customer. This will help the industry to accurately track real-time data and analyze the tendencies of a single shopper. Omni-channel changes the way we deal with a shopper, this route will give brands, and e-retailers a chance to pursue a certain trend or season. Furthermore, it will help enhance customer approach behavior and build loyalty between the brand, the store, and the customer.
Single-view and cloud solutions: In today’s world, where online experiences are based on fast-paced interactions, Push emails and mass campaigns have become obsolete. Most customers’ tendency is to delete promotional e-mailers. And, with the introduction of advanced technology every now and then, it clearly seems that 2017 will change methods of customer tracking and behaviour. In a mobile-first world, tracking transactional and behavioural data will emerge as a game-changer.
Partnerships between brands: Data analytics prove that 2017 will bring improved results for brands who are in the process of developing agile systems to track social media conversations. Counting the number of visitors to a website or the number of likes, followers, and favourites now come in the ‘old methods’ list. This is the point where big data analytics and partnerships step in. It will help in bringing brands closer to the customer through various loyalty programs while building a better and more effective communication channel for the customer.
Personalized exclusivity: 2017 is all about leveraging the mobile world. With a multi-channel approach towards marketing to customers, brands have to focus on the bigger picture. Research and thorough tracking of social media content will help in targeting the customer seamlessly by avoiding unnecessary promotional messages and mass campaigns.
Customer retention: Every individual shopper wants personal recognition. While loyalty programs offer rewards to existing customers the challenge is the acquisition of new customers. Innovation in content is the key to retaining and acquiring customers.
The article has been pen down by Gaurav Khurana, Chief Marketing Officer ,PAYBACK India
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