Mobile Loyalty Programs: Leveraging Consumer Technology


“57% consumers report that they would like to engage with their loyalty programs via their mobile phones”

Nearly two-thirds of consumers have indicated they would like to engage with loyalty programs through their mobile. Mobile phones have become an extension of ourselves – they seldom leave our hands even while we busy ourselves with other tasks. Your customers are already walking around your retail space phone-in-hand. Why not use mobile loyalty campaigns to your brand’s advantage with proximity-based marketing and customer loyalty programs through GPS, Wi-Fi, NFC, and Bluetooth technologies. Launching a mobile loyalty program as part of a comprehensive mobile marketing campaign is key to your businesses’ success in this era of convergence between physical and digital realities.

If your business lacks the personnel or relevant app functionality which customers expect, they will find it elsewhere. It has become easier and easier to lose customers to online giants which boast online ecosystems flush with product information and customer-generated reviews.

Thankfully, the internet is a level playing field – and you can compete with established businesses by bringing your customers an application which is user-friendly, integrated, and above-all-else, useful. Take a look at the success of Amazon – they have emerged as an industry leader because their site focuses on the information which consumers find critical to purchasing decisions.

You can compete with an application that offers customers added-value.

Depending on your products, this added-value may include how-to videos, multiple mobile payment options, DIY advice, recipes, point-based loyalty systems, mobile offers, and digital coupon redemption. The benefits of a comprehensive system are not just for customers. Your business can benefit from getting to know your customers through analytics and automation of inventories and consumer information. Mobile Loyalty programs augment consumer information into a single file which allows your software to take over tracking customer points, discounts, and the efficacy of campaigns. A mobile loyalty program is a goldmine of consumer information that will give your business a leg up in researching the purchasing behavior and patterns of different demographics. Integrating mobile loyalty campaigns with mobile payment technologies in one proximity-based ecosystem will save on paper, time, and money by digitizing receipts, flyers, and product information.

If your product or service is available elsewhere for less, you need to bring something extra to the table.

Loyalty programs create huge benefits for small business trying to stay afloat in a competitive environment with corporate giants. Giving incentives to consumers to pick your store above the thousands of other options is a tried and tested way of ensuring those customers come back time and time again.

Loyalty Programs can be exceedingly simple: Buy 7 coffees, get the 8th one free, or digitally involved: Acquire X amount of “points” and receive discounts, coupons, or free products and services.

The type of mobile loyalty program you want will depend on the nature of your business and the complexity of your application. It will also depend on the infrastructure you deploy to facilitate your mobile loyalty program. For indoor retail spaces, Bluetooth Low Energy via Bluetooth Beacons is a great choice. Beacons are small pieces of hardware which can be mounted throughout a retail environment. They run on often-replaceable batteries, come equipped with environmental sensors, and are able to interact with nearby smart devices. They work by transmitting intermittent signals which can trigger actions in an application. The Tx strength, or the signal power, of the beacons can be adjusted to target very tight areas for hyper-contextualized advertising.

With Bluetooth Low Energy Beacons, you can send customers individualized mobile offers and promotions while they are in front of specific product displays. The novelty of being able to interact with product information on one’s own smart device will not be wearing off anytime soon. This style of marketing is attention-grabbing and proven to cement sales. The more useful your application, the more integrated, the more likely it will be that customers choose your brand in the future.

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