In-app Mobile Offers Drives Direct Channel Revenue
Written by: Sue LeClaire
Retailers invest a lot of resources into developing a mobile app – the go-to place loyal customers explore for information, entertainment and to shop. It should also be the place where consumers can access all of their coupons – a central place to quickly locate and redeem in-app mobile offers. Implementing a digital coupon wallet, retailers have the ability to:
- Drive direct channel revenue
- Improve conversion rate
- Reduce customer attrition
- Grow the app audience base
- Grow monthly engagement
- Engage in personal 1:1 conversations
DRIVE DIRECT CHANNEL REVENUE. Automatically populate the ecomm shopping cart with in-app mobile offers and coupons. Consumers will no longer have to jot down or try to remember promo codes. By simply clicking on an offer, the discount will be placed in the shopping cart along with the appropriate merchandise. The coupon is then redeemed during checkout.
IMPROVE CONVERSION RATE. Delivering targeted offers to consumers encourages conversion rates (number of customers who make purchases in the mobile app over the number of active customers). As documented in a recent Accenture report, “60% of organizations surveyed indicate they are seeing a positive ROI on their investments in personalization technologies.” Personalization can include anything from displaying a name on the offer to delivering mobile coupons based on previous purchases.
REDUCE CUSTOMER ATTRITION. As every retailer knows, it costs more money to acquire a new customer than to retain an existing customer. Delivering in-app mobile offers is a proven method for driving consumer engagement within a retailer’s mobile app. Providing one-time-use offers to customers lets the retailer deliver rich offers to consumers without the fear of the offer going viral. In addition, the retailer is able to track how the offer is consumed within the mobile app – when it was delivered, viewed and redeemed providing a complete picture of the purchase path.
GROW THE APP AUDIENCE BASE. As an incentive to download the mobile app, retailers should deliver a welcome offer. An example of a welcome coupon is 20% off of the customer’s entire purchase. A generous welcome offer is a great way to thank a consumer for downloading the app as well as providing coveted personal information about themselves, such as name, email address, zip code, and even special interests
GROW MONTHLY ENGAGEMENT. Escalate mobile app engagement with PUSH notifications. Alerting consumers when new in-app mobile offers or capabilities are available keeps customers continually checking back to the mobile app for the latest deals. In addition, retailers can deliver alerts notifying consumers when an offer is about to expire creating a sense of urgency.
ENGAGE IN PERSONAL 1:1 CONVERSATIONS. Personalization is key to building connections with a retailer’s existing customers. According to InfoSys, “Almost one-third (31%) of surveyed consumers wish their shopping experience was more personalized than it currently is.” Personalization may include targeted offers or product recommendations based on prior purchases. In addition, the report states that 86% of consumer’s future purchases are influenced by personalization.
From the consumer’s perspective, a digital coupon wallet aggregates all of the offers a consumer has touched into a single location providing immediate access to a retailer’s mobile coupons. No more hunting through glove compartments, kitchen drawers or various mobile apps to find the appropriate offer for today’s purchase. As outlined in a recent study, CodeBroker retailer customers see significantly higher redemption rates from in-app mobile offers compared to other channels. In addition, mobile offers are another reason your customers will regularly engage with your mobile app to see what’s new and exciting.