Redefining The Traditional Rules Of Brand Loyalty

Redefining The Traditional Rules Of Brand Loyalty
SHARE
THIS



In this guest piece, Paula Da Silva (pictured below), senior vice president of sales at CitiXsys, explores the importance of relationships in the retail industry, particularly between customers and brands.

Paula Da Silva

In business, everything revolves around relationships. These relationships aren’t simply between customers and employees, or employers and employees, but perhaps most importantly between customers and brands. Brands become attractive to customers based on the product or service being offered by the company, and their subsequent shopping experience. This mixture of the two inspires customer loyalty which leads to shoppers not only buying more, but buying more often, and referring their friends. Redefining the rules of traditional loyalty will mean an evolution of the brand experience for customers at every touch point of their journey, be that online or in-store.

For any organisation, but particularly within retail, it is vital that customer relationships are nurtured and customer satisfaction is made a priority. If customers are satisfied with a brand, it is more likely that they will recommend it to others and make return visits, but if they are unsatisfied, potential sales will be lost. A robust loyalty program also has the added advantage of data acquisition, which is invaluable for retailers to market effectively to their customers based on their past behaviours and preferences.

OMNICHANNEL SHOPPING AND INTEGRATED LOYALTY PROGRAMS

The value of a good or service often makes or breaks retail relationships for shoppers. While the extras in customer relationships, including customer service, play important roles, it is essential that organisations recognise that shoppers are incredibly sensitive to the value they are receiving from retailers. Digital loyalty programs utilising digital passes must include all the valuable features that are present in traditional in-store programs including point accumulation and special digital promotions. In this way, it is important for retailers to integrate all channels of their retail business and run a common loyalty program. Shoppers need to feel equally rewarded and valued across all channels. With customers interacting with retailers both online and in-store, an integrated loyalty program is essential to provide a convenient, omnichannel shopping experience.

Integrated loyalty programs help to strengthen customer relationships by facilitating an exchange of value for information. This two-way relationship benefits both retailer and customer. The retailer gives something extra, whether that be reward points, discounts or special perks and privileges. The customers respond by joining the program and giving permission for retailer to track transactional data, survey data, and online and mobile behaviour across all shopping touch points. The retailer then ‘closes the loyalty loop’ by delivering that information back to the customer in the form of increased value and more relevant offers. The resulting positive sentiments felt by the consumer results in strong, sustainable, and mutually-beneficial relationships.

THE IMPORTANCE OF BRAND ALIGNMENT IN LOYALTY

The loyalty landscape has changed and omnichannel shopping, digital technology and consumer empowerment are having a dramatic impact on consumer loyalty, leading to a redefinition of what a loyalty program can be. Traditionally focused on driving sales, loyalty must now focus more so on unique, personalised customer interactions and creating a committed relationship between customers and your brand. Any digital loyalty program must mirror the retailer’s physical loyalty scheme to provide a consistent customer journey and further the relationship between shopper and retailer. Loyalty programs must now reflect the brand experience and brand alignment is imperative to program design.

Alignment to a brand’s objectives is a core loyalty design principle that refers to the precise relation of the program’s components with the attributes embodied by the brand. Loyalty today is not simply a program, but rather, is the relationship and the sentiment elicited by the brand to influence the behaviour of key customers. Brands must now seek to establish deep, meaningful relationships with their customers in ways that are engaging, emotionally-rich, and brand-aligned both digitally and in-store.

The roles of customer loyalty and loyalty programs have drastically changed from their traditional definitions, and it is imperative that retailers invest in loyalty in order to succeed. Living in the age of a digitally-savvy shopper and omnichannel shopping journeys means that the investment in brand experience leads to the ability to develop authentic and strong relationships with customers that keep them coming back for more.

Please login with linkedin to comment

Latest News

Twitter Australia’s MD Reveals Plan To “Double Down” On Video In 2018
  • Media

Twitter Australia’s MD Reveals Plan To “Double Down” On Video In 2018

Social media giant Twitter has no intention of reducing its focus on video this year – in fact, it wants to double the amount of video content on the platform. Speaking to B&T, Twitter Australia managing director Suzy Nicoletti (pictured above) said live streaming is going to be of particular importance. “What we’ve found is Australians […]

by B&T Magazine

B&T Magazine
International Creative Services Redesigns Business Model To Broaden Talent Offering
  • Advertising
  • Marketing
  • Media

International Creative Services Redesigns Business Model To Broaden Talent Offering

Marketing consultancy International Creative Services has announced a new roster of diverse creative and production talent to provide a fully integrated solution for advertising and branded content. The roster includes a broad range of global and local directors, animators, illustrators, motion designers, visual artists, light projectionists, photographers and cinematographers – many of whom Australia will […]

Dirty Data Done Dirt Cheap
  • Opinion

Dirty Data Done Dirt Cheap

Does the mere thought of data fog the brain and stuff the sinuses? Decongest immediately with this lozenge-like read.

Opinion

by B&T Magazine

B&T Magazine
Johnny Ruffo & Lynne McGranger Host Emotive’s New Video Series For HelloFresh
  • Campaigns
  • Marketing

Johnny Ruffo & Lynne McGranger Host Emotive’s New Video Series For HelloFresh

HelloFresh Australia, together with content agency Emotive, have launched a new video content series hosted by Home & Away actress Lynne McGranger and entertainer Johnny Ruffo. Dinner Diaries showcases the talent eating their way across the country as they drop into HelloFresh customers’ homes to see what the nation are cooking at dinnertime. The campaign […]

AppNexus Appoints VP Of Diversity, Inclusion & Community Experience
  • Advertising
  • Technology

AppNexus Appoints VP Of Diversity, Inclusion & Community Experience

Independent advertising technology company AppNexus has announced the appointment of Antoinette Hamilton as its vice president of diversity, inclusion and community experience. Filling a new position at the company, Hamilton (pictured above) will spearhead initiatives to promote a diverse and inclusive global community within AppNexus, broaden the range of the company’s talent pipeline, and drive […]

Mango Melbourne Appoints New Head Of Comms
  • Advertising
  • Marketing

Mango Melbourne Appoints New Head Of Comms

If you were to lick your computer monitor while reading this Mango story, it may actually taste like a computer monitor.

by B&T Magazine

B&T Magazine
Pac Mags Appoints Sales Leadership Team
  • Media

Pac Mags Appoints Sales Leadership Team

Look, it's not one but two positive stories about the magazine industry today! You wouldn't read about it, would you?

by B&T Magazine

B&T Magazine
Three Ways To Propel Your Career Now
  • Advertising
  • Marketing
  • Media

Three Ways To Propel Your Career Now

Need a career kick-start without having to wear a feather boa and shake maracas about the office? Read this and pronto.

by B&T Magazine

B&T Magazine
Aussie Cycling Label Attaquer Launches New Racing Kit Via SPLINTR
  • Campaigns
  • Marketing

Aussie Cycling Label Attaquer Launches New Racing Kit Via SPLINTR

Cult Australian cycling label Attaquer approached SPLINTR to present its new Race Ultra+ Collection to the world, and just 24 hours after the brand film launched, the kit was sold out. Attaquer’s new cycling kit aimed to attract not only its current core customer, but also the extreme performance-driven end of the market. Stevan Musulin, […]

Blockhead VFX Hires Richard Betts As Lead Flame Artist
  • Media

Blockhead VFX Hires Richard Betts As Lead Flame Artist

Visual effects and post-production design company Blockhead VFX has announced the appointment of Richard Betts as lead flame artist across its Sydney and Auckland studios. Before the completion of his recent five-year tenure at Fin Design + Effects, Betts completed a seven-year stint at post-production facility The Mill in London. Blockhead co-founder Stefan Coory said: […]

BRICKX Builds Marketing Team With New Hires From Domain & Amaysim
  • Marketing

BRICKX Builds Marketing Team With New Hires From Domain & Amaysim

Property platform BRICKX has announced new marketing hires from Domain Group and telco Amaysim to support its growth. Asok Boopathy (pictured above) has stepped into the role of group director of product role at BRICKX, following two years as head of product at Domain. Boopathy has also previously worked at PayPal, Bigcommerce and Silicon Valley’s […]

Posterscope Helps Transport Accident Commission Increase Relevance For Mobile Drug Testing
  • Advertising
  • Campaigns
  • Media

Posterscope Helps Transport Accident Commission Increase Relevance For Mobile Drug Testing

Out-of-home (OOH) specialist agency Posterscope has deployed Liveposter to help the Transport Accident Commission (TAC) roll out a dynamic digital OOH component of its drug driving campaign. Across a number of high-profile APN Outdoor and QMS digital large-format locations on key arterials in Melbourne, the campaign will be displayed to increase the relevance and immediacy […]