Using Retail Ticketing to Capitalise on Loyalty Card Programmes
According to new research from RSR, marketing departments view customer retention as their biggest challenge. At the same time, acquiring new customers and building customer loyalty are two areas where retailers wish marketing would spend more time, regardless of how well the organisation is performing. And why wouldn’t they?
Loyalty programmes deliver results
A study by Columbia Business School in the USA proved customer loyalty programs are also instrumental in discouraging showrooming practices. Bricks and mortar stores can combat mobile shopping habits by instituting a loyalty programme.
“Half of the 3004 survey respondents said they’re more likely to buy instore if they’re a member of a retailer’s loyalty program.”
In addition, a further 20% of shoppers said they were happy to showroom but could be influenced to shop in-store by gaining loyalty points.
If consumers are motivated to shop where customer loyalty incentives are in place, what can retailers do to encourage better utilisation of these programmes?
In-store reminders build loyalty
One good way is to remind the shopper they can earn loyalty points or redeem benefit while they’re in your store. Grocery dockets have been widely accepted by consumers to get discounts on petrol. Another great way is to use your store tickets and shelf-edge labels. Providing two prices on each ticket – the normal price and the loyalty member price – encourages shoppers already looking for a bargain.
The Woolworths Trolley Trends report for 2013 supports this idea. More than a third of all items placed in Australian shopping carts are purchased as part of a store promotion. This is an increase of 10% during the last year. According to an article at Inside Retail, “One in four Australian shoppers are buying half their entire food and non-alcoholic beverage shops on promotion.”
What this means for retailers
Marketing departments are under more pressure than ever to build customer loyalty. As evidence mounts to show shoppers respond well to loyalty programmes, retailers need to consider how they can engage the shopper. Using retail ticketing and store promotions with loyalty plan pricing showcases the benefits of your particular program and encourages more purchasing.
If you’d like to learn more about incorporating your loyalty card benefits onto your signs and tickets, please give us a call. We have great examples of how retailers in Australia are boosting the effectiveness of their loyalty programs with a strategic ticketing service.