B5 Mobile Loyalty Marketing

Part of a series of Top 10 Closing the Sale Mobile Marketing Strategies
Mobile Loyalty Marketing entails implementing a proprietary loyalty program and/or participating in an existing loyalty program to attract and retain repeat customers. Loyalty programs track purchases and then reward loyal customers with special bonuses and prizes. The loyalty transaction database can be used as a key list for marketing campaigns.

Proprietary Loyalty Programs

The Venetian and The Palazzo resorts in Las Vegas have launched their Pocket Concierge app which provides exclusive offers and promotions for their Grazie Loyalty Program members. This encourages purchases at their stores, restaurants and attractions. Its transactional capabilities enable loyalty members to make suite and restaurant reservations, as well as purchase show tickets.[i]

QR HARRAHSWatch the Video: Loyalty Marketing – Harrah’s: Harrah’s casino has launched a mobile loyalty marketing campaign.[ii] <goo.gl/YpY3M> (Duration: one minute)

Third‑Party Loyalty Programs

Companies could consider using third-party loyalty solution providers such as Stampt as a channel to manage their loyalty programs. It’s simple for customers because they can store all their reward cards in one place and it’s paperless. The benefits to companies include viral marketing through social media and the ability to send out special, targeted in‑app messages.[iii]

Groupon has an existing loyalty reward program called Groupon Rewards. Member companies can make the Groupon Rewards sticker visible at their businesses and any purchases by Groupon members get points credited to their account without using any type of reward card. The purchases are simply tracked back to any credit card that the customer uses at the store and has on file with Groupon. Repeat customers are then properly rewarded.[iv]

QR GROUPONWatch the Video: Groupon Loyalty Marketing – Retailer Benefits: The Groupon Rewards Loyalty program provides benefits to retailers.[v] <goo.gl/uH16Z> (Duration: one minute)

QR GROUPN CONSUMER BENEFITSWatch the Video: Groupon Loyalty Marketing – Consumer Benefits: The Groupon Rewards Loyalty program also provides benefits to consumers.[vi] <goo.gl/s3SK9> (Duration: one minute)

QQR LEVEL UPWatch the Video: Third-Party Loyalty Programs – LevelUp: The LevelUp app enables consumers to make mobile payments and obtain loyalty rewards.[vii] <goo.gl/Q5hna> (Duration: one minute)

QR SNAPPWatch the Video: Third-Party Loyalty Programs – Snapp’: A demonstration by Snapp’ of how a loyalty app would work in a retail store at checkout.[viii] <goo.gl/YiEYI> (Duration: two minutes)

( Click on the image to view )


Figure 46: Gift Registry Marketing – Hudson Bay Company

A specialized form of loyalty marketing that applies to some product categories is Gift Registry Marketing. Once someone sets up a gift registry account with your company (e.g., a bride for a wedding) then it is highly likely that most people purchasing a gift for that event will do so via the gift registry.

Challenge Question

Loyalty Marketing Strategies: Does a proprietary and/or third-party loyalty program make sense for your organization, and if so, how could you implement it?

[i] Chantal Tode. “The Venetian, Palazzo Launch on-site directions app to enhance visitor experience.” Mobile Commerce Daily. July 17, 2012. Accessed November 4, 2012. http://www.mobilecommercedaily.com/2012/07/17/the-venetian-palazzo-launch-on-site-directions-app-to-enhance-visitor-experience.

[ii] “Harrah’s New Orleans – Mobile Loyalty Marketing.” YouTube. Uploaded by Haubek on November 3, 2008. Accessed November 4, 2012.http://goo.gl/YpY3M or http://www.youtube.com/watch?v=gh2V-CpXteE.

[iii] Lauren Johnson. “Duttenhofer’s books, Piada tap mobile loyalty cards to reward customers.” Mobile Commerce Daily. July 22, 2011. Accessed November 4, 2012. http://www.mobilecommercedaily.com/2011/07/22/duttenhofers-books-piada-tap-mobile-loyalty-cards-to-reward-consumers.

[iv] “The easiest rewards program in the world.” Groupon. Accessed November 4, 2012. http://www.groupon.com/inforewards.

[v] “Groupon Rewards Merchant Video.” YouTube. Uploaded by Groupon on March 2, 2012. Accessed November 4, 2012. http://goo.gl/uH16Z or http://www.youtube.com/watch?v=L03sCcZgwf0.

[vi] “Groupon Rewards Consumer Videos.” YouTube. Uploaded by Groupon on March 2, 2012. Accessed November 4, 2012. http://goo.gl/s3SK9 or http://www.youtube.com/watch?v=RHHjoHa69CE.

[vii] “LevelUp: The Pay Phone App.” YouTube. Uploaded by Levelup on April 12, 2012. Accessed November 4, 2012. http://goo.gl/Q5hna or http://www.youtube.com/watch?v=qnwlLI_Ff6E&feature=related.

[viii] “Snapp’fid: mobile loyalty card on every mobile phone !” YouTube. Uploaded by Sanppfr on February 24, 2011. Accessed November 4, 2012. http://goo.gl/YiEYI or http://www.youtube.com/watch?NR=1&feature=endscreen&v=CF3RMnvDB40.

[ix] “Gift Registry.” Elegant Wedding. Accessed November 4, 2012. http://elegantwedding.ca/2011-08-15/montreal-events/bridal-registry-event-at-the-bay/.


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