Aimia Report Suggests Couponing Alone is Not Enough to Build Customer Loyalty "The Art of the Deal" Informs Retailers on Blending Coupons with Loyalty Strategy
MINNEAPOLIS, Oct. 30, 2012 /PRNewswire/ -- Aimia (TSX: AIM), a global leader in loyalty management, today unveiled its Retail Brief on effective couponing strategies. The brief, The Art of the Deal, suggests that by combining coupons with customer loyalty and marketing strategies, retailers can build loyalty not only to low prices, but also to their brand.
"In any retail sector, there can be only one 'low-price leader'—and if you aren't that leader, then you face a difficult challenge in building loyalty to something other than the deal," said Alan Goldstein, Managing Director, Retail, Customer Loyalty, Aimia. "Success in today's hyper-competitive environment requires retailers to focus their dollars where they can have the greatest impact and influence their best customers."
Aimia recommends specific tactics for retailers looking to blend coupons with an effective loyalty strategy to change customer behavior. These tactics include:
- Deploying introductory couponing to establish relationships with previously "invisible" customers—those who redeem coupons but don't identify themselves.
- Delivering value and relevance through targeted application of mobile coupons, especially as share-of-wallet evolves into share-of-phone.
- Using smart coupons to target discount offers based on customer value and relevance. There's no reason that every customer targeted for a coupon offer should get the same coupon.
"All artful couponing requires is that you give customers a compelling reason to identify themselves, and then deploy coupons to understand, influence and maximize the value of your best customers with win-win deals," Goldstein said.
The report also included relevant third-party data on coupons and customer potential, including:
- 60 percent of all online shoppers subscribe to a daily deal website1
- Consumers will redeem 20 million mobile coupons in 2012. In 2013, they'll redeem 40 million2
- More than 55.7 million American consumers use online coupons, representing 25 percent of the US population3
Coupons are easy and cost effective to implement, and they work. Customers love them. But Goldstein notes that success in today's hyper-competitive retail environment requires retailers to evolve coupons from a blunt instrument to a surgical tool that can focus discount dollars where they have the greatest impact.
For more tips on blending coupons with an effective customer loyalty strategy and to view the complete report, please visit the Knowledge Center at http://www.aimia.com/English/Knowledge/Research-Center/default.aspx
Aimia Inc. ("Aimia") is a global leader in loyalty management. Aimia's unique capabilities include proven expertise in delivering proprietary loyalty services, launching and managing coalition loyalty programs, creating value through loyalty analytics and driving innovation in the emerging digital and mobile spaces. Aimia owns and operates Aeroplan, Canada's premier coalition loyalty program and Nectar, the United Kingdom's largest coalition loyalty program. In addition, Aimia has majority equity positions in Air Miles Middle East and Nectar Italia as well as a minority position in Club Premier, Mexico's leading coalition loyalty program and Cardlytics, a U.S.-based private company operating in merchant-funded transaction-driven marketing for electronic banking. Aimia is a Canadian public company listed on the Toronto Stock Exchange (TSX: AIM) and has over 3,400 employees in more than 20 countries around the world. For more information about Aimia, please visit www.aimia.com.
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1 Source: Foresee Daily Deal Commentary (2012)
2 Source: eMarketer.com
3 Source: Coupons.inc
SOURCE Aimia Inc.