Gaming and Retention? What is a correlation between this terms? Let’s discuss
The world has become a smaller place with mobile phones, internet and bundle of apps to make way with. As of August 2016, statista.com stated that “There are more than 3.5 million apps available together on Play Store and App Store. By now, there are more than 4 billion mobile users in the world who constantly being chased by markets to be retained somehow by their product or service.” Harvard Study stated that if customer retention increases by only 5% then it can generate a 25%-95% increase in profit. Therefore every business now and then has stressed with this concept.
Loyalty rewards program is one of the classiest ways for customer retention. It was always there somewhere in the basic marketing strategy of every enterprise. But the 90s was the period that gave a huge rise in customer loyalty programs. Being so over the redeemed concept, the reward marketing needed some kind of newness to attract the new generation. So, that is the prime focus of all the marketing and mobile applications today.
The program structure of rewards or points were made so complex to piss off the customer sometimes. So, it had its reverse impact on the business-consumer relationship as expected. Till now the criteria for rewarding back loyalty points was based on , which obviously has a well-proven history of its. But now it really requires some freshness to evolve and stand out.
That is where gamification has a lot to do. Even if you don’t buy the product but still spend a good amount of time on the app, the customer needs to be rewarded for that. Simply because he tried to make a purchase, he searched and viewed few products but couldn’t get the desired one. This kind of reward criteria can also be implemented by those who are not in retail business like News or Coupon apps. Eventually, rather than paying for news or choosing the coupon, the customer is getting rewards for sake of being on the app. A big changer it can be.
Being technologically advanced we need to implement more measures to vitalize our interaction. Now with mobiles and beacon technology in place, this can be accessed in minutes. So even when a transaction is going thru or customer is still engaging with your product, you can offer the rewards instantaneously. This would parallel increase the customer response and lead a business to better gains. Stores can select a range of patterns as per their customer habits and link them to reward the points.
Gamifying the whole setup
The target of these reward programs has always been customer retention and engaging them to visit again. But sometimes while formulating these programs companies tend to make them complex. It is important to make these programs customer centric and then leverage on the customer loyalty and retention. The reward programs should more look and styled as per gaming patterns. Click and get a reward – easy, simple and transparent.
A recent move by Starbucks that enabled Starbuck Points to be shared as a tip with Lyft drivers. It has received a great response. It has not just given customers an easy way to tip drivers but also helped drivers to get digital tipped in this digital money era. Similarly, Kuru Footwear used rewards to generate social media interaction through customers and eventually profited high from this new customer base.
Gamification is the future of loyalty programs. But, this will be more based on the digital coupons and a universal point system.
LetsNurture has a vast experience of about 8+ years in developing app and web solutions based on the upcoming technologies to enhance productivity and user experience. Nurturers have successfully developed not only games but also apps on gamification to help to boost users retention. Like, Yadeal app displays latest deals available on stores with a coupon code which user can redeem at store or website. So far we have catered many other solutions.
If you want to see some of the gamification elements in your app just let us know at firstname.lastname@example.org.