Millennials represent a notoriously fickle market, but CodeBroker shopper loyalty research proves that it doesn’t have to be this way. Retail marketers can effectively connect with, engage and nurture the millennial market—if they follow some core strategies that are foundational to moving millennials down the path to purchase.
Here we take a look at the 3 C’s of nurturing millennial loyalty: choice, convenience, and communication.
Choice
One-size-doesn’t-fit-all, especially when it comes to millennials. They’re a varied market—all 72.1 million of them in the United States—and they’re not all created equal. In fact, our research results were all over the map in terms of millennials’ most preferred methods for receiving communications—from 42% saying email, to 32% saying text message, 15% mobile app,and 2% Facebook Messenger.
Truth is, we can’t afford to alienate or miss out on the opportunity to connect with any members of our potential audience, so it pays to offer them choice.
Loyalty marketers can take steps to identifying members’ preferred communication channel by providing a range of sign-up options on the front-end. Consumers will more often sign up via their preferred channel, giving marketers the information they need to communicate effectively.
Convenience
The KISS method—keep it simple, stupid—has been around for a long time and has resonated with everyone from traditionalists to baby boomers to millennials. We live in a fast-paced society and juggle many demands in both work and personal lives. When we undertake a task of any kind—including making a purchase—we want it to be quick, painless and convenient. We heard that loud and clear from survey respondents.
Here are some of the common sentiments they shared:
- “I don’t like that I have to download 80 different apps and waste space on my phone to participate in rewards programs.”
- “I would prefer a mobile website with no log-in.”
Respondents express frustration with offers that make it difficult to access their personal information, the retailer’s website—or the offer itself. They want to access rewards easily from their mobile devices and they don’t want to be required to log in or download an app to do it.
Fully 75% of respondents indicated that they would be more likely to participate in a loyalty program if they could access the program easily from their smartphone. Too often, unfortunately, they can’t.
Communication
Communication matters most of all to millennials but, again, not in terms of a one-size-fits-all solution. Millennials value flexibility and the option to interact and engage with retail offers in whatever manner makes the most sense in the moment. Sometimes that’s email. Sometimes that’s a website. Sometimes a link in a text message.
What that means for retailers is that they need to vary their communication channels and offer a range of alternatives to address millennial needs in the moment—what works at 2:00 p.m. on a Wednesday afternoon, may not work at 11:30 p.m. on a Saturday night.
Measurement Matters
That’s what our respondents had to say, but what do your customers think? There’s only one way to find out. Putting in place methods of measurement that are reliable, timely and precise.
One way of doing this is through single-use coupons that can be delivered via a variety of channels, but only used once by a specific recipient. It’s a great way to manage access to offers and to effectively track which channels get the most traction and are, therefore, most valued by your customer.
In order to fully understand how single-use coupons work, we have to break the problem down into two basic capabilities: secure redemption and secure distribution.
Secure redemption is the core technology component that is required in order to be able to deploy single-use coupons. Secure distribution provides the ability to limit distribution and accurately attribute single-use coupons to individuals and marketing programs. Both are important. Both need to be effectively managed not only to provide a great customer experience, but also to protect your business interests.
Juggling the ability to meet varying consumer needs, especially among sometimes hard-to-please millennials, can be challenging. The right approach supported by the right technology can make it happen.