Another step of Loyalty Program with Personalised
marketing
Risa Hemtasilpa 8-11-14
Marketing strategy has moved from one-to-many, many-to-one,
many-to-many and now to each individual. Personalised marketing is applied to
improve customer satisfaction and loyalty. The study from Cisco shows that 69%
of U.S. customers are willing to give their bank more personal information so
as to get personalized service.
Talking about loyalty program, normally loyalty program is
about giving rewards, discount coupon and reward point to loyal brand
customers. Companies aim to maintain their loyal customers since maintain
customers spend less cost than acquire new customers. However those loyalty
offers sometime useless in customers’ perception. Have you ever got discount
coupon on what you don’t need?, Have you ever felt that the reward you got is
some kind of trick making you spend more? To step beyond expectation, companies
should offer product and service on customer need base and personalized is the
point!
Company can create personalized reward from customer
historical purchase data; for example, promote event that specific to a user,
remind anniversary of his/her first purchase with you, send happy birthday card
or gift card etc.
Case study on retail industry :
Tesco Lotus
In Thailand, Tesco offer discount coupon for customers who
have Tesco Lotus club card. The amount of discount is depending on point in the
card and the point is transferred into different amount of discount in specific
product. Sometime I feel like I waste my point for nothing since the product
they offered are not what I usually buy. However one day I noticed that the
coupon I got offered discount for products that I bought in my latest visit… I
was surprised…!!! (but I’m not sure whether it use personalized marketing or
just a co-incidence.)
Burberry
Burberry is accounting on the best omni-channel retail
strategy amongst UK retailers (Webcredible 2012). It personalized service experience
comes from customer’s purchase historical data which staffs can access from
their ipad on hands. In addition, customers can also log in to their ‘My
Berberry’ and see their latest search items to help them making decision.
Case study in Banking :
Deniz bank
In a video posted in Youtube, Deniz bank track customer’s
journey and offer specific promotion to them; for instance, Ms. A always go
shopping in Europe on sale season, the bank send notification about sale period
and special promotion when spending credit card in Europe for her etc.
WellsFargo
Besides favourite button on ATM screen based on each
customers’ transaction, the bank also introduced it’s ATM cash tracker. The
feature allows customers to track their transaction including past transaction
and average over the past 12 months.
Garanti Bank
Garanti bank in Turkey launched mobile application which
help customers monitor their financial health. The cash track barometer display
customer’s spending pattern and warning when they overspend money.
Reference :
Camhi J 2013, Banks fall short on delivering personalized service
for customers, study finds. <http://www.banktech.com/data-and-analytics/banks-fall-short-on-delivering-personalized-service-for-customers-study-finds/d/d-id/1296317?>
Yurcan B 2013, Wells Fargo Launching Personalised ATMs, <http://www.banktech.com/channels/wells-fargo-launching-personalized-atms/d/d-id/1296164?>
Deniz Bank
<Deniz bank, June 2014 : http://www.youtube.com/watch?v=Srrn8Y_wVLI>
CEB 2014,
Innovation of the Month: How Garanti Bank’s Mobile App Embraces Lessons from
Disruptors.
Webcredible 2012, omni-channel customer experience
