Special offers represent a ready-made opportunity for retailers to drive customers back into your store – as long as these offers are relevant. Although some consumers are uncomfortable about the idea of retailers tracking their shopping behaviors, most still welcome personalized offers based on their shopping history.
Recent CodeBroker research on coupon and offer personalization supports this practice. Consumers value strong relationships with retailers they've done business with. The ability to stay in front of customers after they've made a purchase is critical to effective customer retention. Follow-up offers that are aligned with their needs, interests and purchase history can spark both action and loyalty.
Customers are engaged with a wide range of retailers and make ongoing decisions about where to spend their money. While price is certainly a factor in encouraging sales, it's not the only factor.
Customers also value experiences with retailers that are unique, personalized and provide higher value than what they might receive elsewhere. Marketers need to consider how they can effectively position themselves as high-value providers that are tuned in to customer needs across all channels.
For example, you won't have a positive impact with customers if you send promotional text messages with a mobile coupons for a product the customer has recently purchased, offer a "we miss you" promotion to a customer that just made a purchase the day before, or send mobile coupons for a pet care product to consumers who don’t have pets.
Technology is a big driver and a critical aid for harried marketers. Offers must be deployed in relevant ways, their efficiency and impact for the retailer will be diminished. For instance, according to the research, high-value coupons are nearly 100% effective for reactivating lapsed customers, but retailers must exercise caution in terms of security for their couponing efforts or the bottom line can suffer. For example, if mobile coupons can be used multiple times or can be shared by recipients with non-customers, the impacts can be dramatic. This is where single-use coupon security comes in.
Single-use coupons and offers are being employed by numerous retailers today to ensure that high-value coupons do not get used more than once, or go viral. What makes the single-use model work is that it ensures the following:
- Consumers can only obtain offers that are meant for them.
- Consumers can obtain an offer only once, even if they try to access the offer multiple times over different channels.
- Offers can be redeemed only one time, even if customers try to redeem the offer on a different channel.
That's the power that the right technology, used the right way, can bring to retailers seeking to balance the need for customer engagement and loyalty and a healthy bottom line.
Single-use coupons and mobile offers, fueled by the right personalization technology, will help you personalize your offers in a risk-free way while adding accuracy to your metrics and allowing for improved A/B testing and attribution.