The key to any great loyalty program is working out the problem the program needs to solve, says Fady Taouk, Telstra’s general manager, loyalty and partnerships. Simply serving up what you know about a consumer might not be enough anymore.
Taouk suggests asking: Is it simply a matter of talking to the customer or does it represent something deeper? “Loyalty programs are a value exchange between the consumer and the organisation,” he says. “Consumers expect you to use that information, and they trust you with that information.”
As a result of this information exchange, consumers expect offers that are relevant to them, leading to a much more personalised experience than ever before. For instance, if the loyalty program reveals a customer is passionate about football, then serve them offers that feed into this, Taouk says.
By fostering passions and providing relevant information and offers, a loyalty program can do what it is meant to do: strengthen the relationship between the consumer and the company or service provider.
“The real winners are going to be organisations that collaborate with like-minded organisations and blend their data sets,” Taouk says. In doing so, companies will be able to refine the offers they make to consumers to be even more relevant.
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