The mobile channel has become an increasingly powerful tool for merchants to use when operating loyalty schemes.
FREMONT, CA: Maintaining customer loyalty turned extremely challenging since today’s customers are left with a wide plethora of purchasing options. Suppose a retailer fails to match a customer's expectations, whether in terms of pricing, product, or experience, the latter will swiftly move on to a competitor. Retailers are looking for new technical solutions to help them leverage their most valuable asset, customer data, to handle the ever-increasing challenge of client loyalty retention.
Blockchain technology is a technique of storing transaction-related data in discrete blocks or digital storage units, such as date, time, money, and transacting parties. Each block is given a hash code that distinguishes it from other blocks and is entered into a public database. It is a decentralized technique of storing transactions in a P2P network that provides improved anonymity and can be used by shops to create loyalty programs. With the increasing number of customer loyalty programs being implemented by every shop these days, a few important challenges need to be addressed.
Technologies based on Artificial Intelligence (AI)
Retailers are attempting to improve their customers' online shopping experiences by launching various technology-driven initiatives on their websites. These initiatives aim to enable customers to make informed purchase decisions on online platforms while also reducing the likelihood of order returns. AI, machine learning (ML), and their favorable implications over other technologies such as augmented reality (AR) and virtual reality (VR) are significantly improving the loyalty program experience.
Consumers, particularly the younger generation, prefer shopping on mobile applications. The mobile channel has become an increasingly powerful tool for merchants to use when operating loyalty schemes. Mobile-based loyalty programs can assist companies in reaching out to customers directly and collecting vast data to understand their purchasing habits better. Retailers can improve their attempts to promote their items more personalized way by using the data they've gathered.
Wallets for mobile phones
Mobile wallets for payment have increased significantly, particularly among the younger tech-savvy population. Consumers are looking for mobile wallets for payments and rewards every time they complete a transaction. As a result, stores are implementing appropriate loyalty programs for these wallets. These wallets use cell phones to provide notifications such as location-aware information, reminders about incentive expiration, and loyalty program changes.