11th March 2013 / Tom Quarry
Advances in technology has made customer loyalty more effective and appealing to consumers. As a result, customer loyalty has become a lot more competitive across the major retailers. Multi channel retailing strategies are more effective in enhancing customer satisfaction and gaining customer loyalty.
According to the loyalty guide, 90% of consumers in the US are part of a retail loyalty scheme. Customer loyalty is something that gradually builds up with time, usually stemming from the initial relationship with a brand. It then grows from the consumer being offered a reward, which drives behaviour. Tools like self-service kiosks are used to create another platform to help drive customer loyalty.
Loyalty cards are one of the most profitable aspects for retailers. The majority of shoppers hold some kind of store card, which they present at the point of payment to collect or use points. Effective in its own right, points cards are given another dimension through the use of a kiosk.
Boots stores invested in the Extra Offers Kiosk to build customer loyalty. With 15 million members signed up to the Advantage Card loyalty scheme, Boots also aims to gain a better understanding of its customers, by collecting data with the use of the kiosks. In store shoppers are able to use the touch screen kiosks to access extra exclusive offers and get the most out of their Advantage Cards. Whilst boosting customer loyalty, the kiosks also improve the customers’ in store experience.
One of the reasons customers reject becoming a part of a loyalty scheme is because they assume the signing up process will be timely and inconvenient. Kiosks are put in place to offer shoppers a point to sign up in-store with ease and speed, without use of staff assistance. They become a member with the promise they will benefit from it, be treated well and receive special offers before others. As well as offering additional benefits, self-service kiosks also improve the overall in-store experience. Customers remain loyal and keep coming back if they have had a positive in-store experience and are satisfied with the level of customer service.
Take a look at Protouch’s Ikea case study, where we introduced our Xen X5 kiosks to recruit Ikea Family members. They have increased efficiency of signing up to the loyalty scheme and in turn, enhanced the in-store experience.