What if there was a way to license plate your customer when they walk in any of your stores--- then follow them around, see their next visit, ---and then wait for them to attrite so you can win them back with some great offer. How would you do it?
Most say Loyalty. That's a smart answer, but it's only half the battle. Your customers have to buy something to get asked to join or present for the program, so in all the magic before the purchase, and for every visit after where they don't buy-- you have no idea what they're doing, what part of the store they're looking at, or how long they stay.
So what about if we could combine loyalty (or customer identity more broadly) and the behaviour of a customer in real life. Follow them through the store from when they arrive, through their purchase to when they leave. Wait for them to come back. Message to them if they don't. Even better if you have a loyalty program because you can add basket to that equation, but it's not necessary.
Using WIFI we can. A WIFI access point is constantly reaching out to all the phones walking through your store in the pocket of its owner, as long as their WIFI is turned on. (...and that's the majority). But for security and privacy, what the phone sends back is mostly scrambled-- so your access point sees phones, but won't be able to recognize return visits or know any demographics. We really need the customer to connect...
WIFI2WIN is a new platform concept for retailers that engages and excites the customer (new or existing) with a simple contest. The customer connects to a WIFI Access Point in the store, is presented with an entry form on their own device when the splash page comes up, and that's that. Contest entry can be simplified by using a loyalty number or connecting with Facebook. All the permissions, opt-ins, acceptance of terms all happens there. Done.
When the customer returns to the store during the contest period, they can even be awarded bonus contest entries, instant win prizes, or simply welcomed back with a personalized message and status like "Welcome back Joan, you have 15 entries in the Contest". All to encourage frequency of visit. They can also be given a thank you coupon to grow the basket or tip them from shopping to buying.
So why do this?What you really want is customer behaviour visibility and the future ability to message with a valid CASL compliant opt-in, to drive engagement, grow visit frequency, grow basket and reduce overall attrition. For this, you need to know the customers unscrambled MAC address and for that you need permission/acceptance.
If you're not a coffee shop, there's not as much general comfort or awareness of free public or retailer-provided WIFI, so customers aren't constantly looking for it--- but as soon as you put some in-store messaging about the contest, the network to connect to and the ease of entry--- they're in!
This solution is a combination of some great partners, some different thinking and some fantastic technology. Let's talk about it.
Andrew Kinnear - Principal Consultant - U35x - 416-902-6030 - firstname.lastname@example.org
If you're in need of a panelist or speaker or facilitator for your meeting or event, let's talk! I'm happy to discuss any of my experiences with marketing agencies, brands and companies like Air Miles, Ontario Lottery & Gaming or Tim Hortons.
Although I can't share confidential information, my talks typically revolve around a relatable marketing challenge or opportunity and how we were able to solve it. If you need some ideas for your meeting to get your team thinking, how about some of these:
Next-Generation Loyalty Marketing
Retention Marketing today requires more than just websites and points balances. Tapping into proprietary programs for real-time insights, executing game mechanics designed to increase volunteered personal information to facilitate a better offer, and building the basket with products the customer wasn't going to buy anyway. These are the kinds of things that the next generation loyalty marketer is thinking about today. How does your company keep great customers happy and engaged and make good customers great?
The Zero Moment of Truth
Pioneered by a Googler, the idea that decisions are made prior to the 'First Moment of Truth', that 7 seconds as a customer scans the shelf and chooses your product (according to P&G). Before they get to the shelf, but after the stimuli that made them get off the couch, there are new mental and micro moments. Your customers are using search, social, and word of mouth to shape their opinions before they even get to a store. How are you going to own the Zero Moment?
Shared Interest Social Strategies
Understanding the theories, realities and real-life examples of how people with things in common tend to want to share their interests. If your brand can facilitate a discussion instead of being the discussion, you can benefit. But how?
Content, Conversation and Curation
Marketers often look at tactics like "Make a Facebook page" as a campaign deliverable as opposed to a company strategy. For this discussion, we'll look at what it takes to create sustainable content and engage in sustainable conversation. Does your company already produce content you can leverage for social? You may need a knowledge manager at the same time as a community manager. What about organic reach vs paid reach in social? What's the point of a content strategy if nobody sees the content?
Technology for Retail, for Media and for Activation Events
Planning an event? Planning events for a living? Run a venue? Let's talk about all the great and innovative things you can do to engage your audience before, during and after your events. Some are so easy you'll kick yourself for not doing them already. If you have an owned retail footprint, this discussion is mandatory.
Mobile Innovations in Payment and Engagement
The Smartphone has grown leaps and bounds in the last 5 years from something used for apps and texting, to something our lives depend on for health measurement, mapping, Artificial Intelligence, shopping and payments. In the payments space, the pace of innovation has been challenged only by the imagination of the thousands of startups clamoring for a share of wallet. Does your company aim to take a slice of the mobile wallet? Engage at the time of purchase or before that in the 'Zero Moment'? Reward and engage by understanding your customer's needs through value-added platforms.
Social Customer Service
How do big brands move customer service from expensive channels like physical call centres to relatively inexpensive channels like Twitter & Facebook? Or to distributed models where the call centre team is not in a single building. Is your company looking for the tools, tips and training to get your existing customer service reps into distributed social? We'll look at some real-life examples, some of the best practices, and tools that work.
User Experience for the Mobile Web
Things are different on the mobile web. Your customers do different things, act differently and access your website via a tiny screen with their fingers instead of a giant screen with their mouse. In this talk we'll look at some of the ways businesses can optimize an experience for mobile and what the advantages and disadvantages are. From Media planning to UX and Design to functional in-store uses like mobile wallets and loyalty.
Understanding new marketing tactics
Technology innovation is great, as long as everyone understands the value. Marketing Tactics like QR codes are already being hotly contested for their usefulness--because they're being used incorrectly. In this talk, we'll take a look at a few very popular and very recent technology-based marketing tactics, and dig into whether they're right for your business and the best ways to maximize your returns. We'll debunk some myths around QR, Beacons, SnapChat, and other 'not quite integral' tactics that are a lot of work to get off the ground.
Understanding the Blockchain Basics.
Probably one of the most significant technological and cultural changes to the financial services and fintech industries since Online Banking. The Blockchain, the concept, software and structure powering cryptocurrencies like BitCoin, is poised to affect every industry that deals with sensitive data, value transmission and identity. If your business will be affected, this may be a great starting point for your team's discussion.
What's the point of a technology implementation, a customer marketing effort, resources, media and all that--- if you don't get the most important benefits out of your digital CRM program.
So with these three clear data sets, why is loyalty typically the last one to be added? Research can be done once 3 years ago and still be valid. Transactional data is a function (usually) of just running a POS system and processing payments. It's usually the last to be added because it requires specialty thinking, specialty technology, long-term planning, and resources and budgets. But Loyalty has the best and most measurable ROI. Give that some thought.
Richard Bartle is a British writer, professor and game researcher. He is a pioneer in game design and was instrumental to the popularity of Massively Multiplayer Online games. He's the author of Designing Virtual Worlds and is credited with inspiring the Bartle Test, an online questionnaire that determines a gamer type based on a number of criteria.
The Bartle Test of Gamer Psychology, or simply 'Bartle Test', lumps people into four categories: Explorers, Socializers, Achievers and Killers. Lucky for us, those nicely line up with the four suits in a deck of cards, so we can easily follow a design description that works for Achievers (♦ Diamonds), Explorers (♠ Spades), Socializers (♥ Hearts), and Killers (♣ Clubs).
As intuitive as the four categories are, we still need a basic understanding of the player types before we compare them to a customer in the midst of a brand loyalty engagement. As well, understanding how a Bartle Player-type applies in a single vs. multi-player situation is also relevant to how a customer would interact with others within a program.
♦ Achievers, also known as "Diamonds," are players who prefer to gain points, levels, equipment and other concrete measurements of success in a game. They look for prestige and will go to great lengths to achieve rewards that give them little or no game-play benefit to get it.
Sound familiar? Canada is ripe with Achievers as a highly-penetrated loyalty market. We love our points! In a loyalty context, an Achiever is trying to get everything they can, whether that's collecting an Air Miles Reward Mile at Rexall or earning Aeroplan Status Miles for flying with Air Canada on every trip.
Achievers are attracted to any game that can be "beaten" or won in some way because it appeals to the Achiever play style. Games that offer some kind of special bonus or achievement for beating it appeal to Achievers.
In loyalty, rarely is there an opportunity to "Win", but the act of 'maxxing out' becomes the Achiever's crack-cocaine of winning. If they can double-dip at the grocery store by using a Air Miles BMO Credit Card along with the Air Miles collector card and earn twice as many points, they feel like they're winning. If a triple dip opportunity arises with a manufacturer's bonus on an individual product, the Achiever is over the moon. This is where the ROI is derived when either the retailer or the brand adds 'Bonus Miles' to a product. They are looking to affect behaviour with this achievement-seeking audience.
One thing that Achievers really like is the opportunity to show off their skill or elite status. They don't particularly like competition from other achievers, and look to the ♥ Socializers to give them praise. The more they achieve in a game, the less likely they become a target for ♣ Killers. These are also the players that enjoy seeing their names at the top of a leader board or ranking. In XBox Live, gamers can earn achievements that they can show off to others all around the world.
In the loyalty world, an achiever is looking for status from the ♥ socializers in the form of recognition, as well as status for statuses sake. Forums and blogs that discuss earning and redemption 'tricks of the trade' often highlight the Super-Users who are avid collectors of the virtual currency or masters of the skies with their almost-unreachable airline status levels. Much like MMOs, almost every loyalty or engagement program has an element of achievement. Since the psychology of an Achiever is to set sometimes obscure goals for themselves (in the game world) in the real world that can mean going incredibly far out of their way or repeating an action numerous times simply to achieve one more goal. Gas retailers love the Achievers since their product and reward mechanism often requires a customer to go just a little further for the payoff. This is also part of the psychology of the 'Coupon Hysteria' of the last decade.
♠ Explorers, dubbed "Spades" because they're the ones who dig around, are the players who prefer discovering areas, creating maps in a game and discovering hidden places. They don't like games that have time restrictions or count-downs as that doesn't allow them the freedom to explore at their own pace. (Though countdown timers are powerful game mechanics). These gamers are also the ones who take pleasure in pointing out a glitch or finding an easter egg.
In loyalty, an Explorer is someone who wants to figure out the challenge. That's their reward. They are the ones scouring the flyers for bonus offer of pudding purchases that they can turn into trips around the world. They're also the ones that baulked the loudest whenever a loyalty program announced they were adding a time-limit or expiration date to their points. We've seen this recently with the Air Miles program in Canada. They earned them fair and square and getting boxed in to redeem goes against the grain with them. This becomes more of a customer service and brand issue, than a program design issue, since as long as all the rules are explained up front, typically the Explorer is on board.
Explorers aren't as into one-on-one fighting games and the concept of beating levels or earning points is secondary to the Explorer. The Explorer will try to learn any back story they can find about the people and places in their game, hoping to discover something that nobody else has. Different from an ♦ Achiever who is all about moving on to the next-- an explorer will remember all of their rich adventures and history.
How does this relate to loyalty and engagement? Think about it from a speed perspective. Explorers are the ones that are methodical, read the rules, understand the program and try to seek the best benefit. They also want to go where nobody has gone before-- think exclusive experiential travel redemptions or 'Money Can't Buy' merchandise rewards!
And the reason the Achievers and Explorers share so much in common when it comes to loyalty?
The Explorer and Achiever benefits in much the same ways in a multi-player environment. They are surrounded by people who will benefit from their wisdom and can swap experiences. ♥ Socializers do not mind listening either. The interactions between an Explorer and a ♣ Killer are usually hostile, as the play-type interferes with exploring. However, Explorers will lose interest with any game when they feel it has become a chore to play, with only more of the same ahead. This kind of makes sense for all gamers, but Explorers can be the most fickle when it comes to doing more of the same.
For those designing loyalty and engagement programs, it's the explorers that are the first to attrite from the program or churn as a customer. Once they've figured it all out and get to a point where the only action left is to continue like before, an explorer loses interest in the program and looks for something new. They may keep an eye out for new promotions, contests or challenges that allow them to benefit from trying something new, but a program rooted in change and adventure will keep them engaged longer.
♥ Socializers are are those who play games for the people, not the game itself. They're known as "Hearts." Most of the enjoyment they get from a game they get by interacting with others in a multi-player environment, either people or sometimes even computers/bots with personalities. The game becomes simply a tool that allows them access to people within the game and outside it.
Next generation loyalty and engagement is social by design. Without quantifying the impact of social networks, socializing, sharing, advocacy and other social elements into the value of a program, we would miss the biggest of opportunities. Since a Socializer's objective is not so much to win or explore but to be social, they don't need to find a game that has good game play on it's merits, as they are not there for the game. It seems counter-intuitive. Instead, they are attracted to popular games as they have the most opportunity for interaction. They are not typically early adopters.
Online games are very appealing to the Socializer as there is an almost limitless supply of new people with whom they can build relationships. Socializers are the first to import an address book into a new app, fill a friend-list and invite others to join in for the fun. For any loyalty program with Social by Design as a key pillar, Socializers are the ones that increase the Virality of the program. (Virality, meaning the likelihood that an idea will propagate between two people). They aren't there to win. They're there to have fun! In many cases they help people out in a game to make friends and see everyone do better. Socializers often become well-known names on discussion boards and forums and can build an offline following as well.
♣ Lucky for us, Killers in the game world refers to a player-type that is vastly different from it's description in the real world. In loyalty, you don't need to kill anyone else to win-- however there are similarities. The "Clubs" of the game world thrive on competition, and specifically from other real players as opposed to computers or simulations. They don't just want to win, but they want others to lose!
Popular game mechanics used in loyalty design to appeal to a Killer are auctions and races. Not only does the killer get to win, but everyone else loses. Limited-time offers at retail, auction sites like EBay, and even to some extent daily deals like groupon (though you could argue that's awfully social for a Killer) are appealing to Killer player types. They like the idea that they should be "watched out for" since they're so dangerous to the game.
Killers also like to control the environment in which they play. Contests where the audience decides who the finalists will be would appeal to a Killer, as the control over the end result could wreak chaos if they so choose. So many UGC promotions rooted in social these days include some sort of 'vote for the top 10' although brands have figured out that the top choices need to be picked by sane and rational brand managers, not the possibly chaotic Killers.
Killers are also active within the social and economic sides of a game. Market control appeals strongly to Killers, many of whom have a natural talent for reading markets (likely an extension of their common aptitude for sizing up strengths and weaknesses, vital to their play style). Social Killers tend to be community leaders—or sometimes trolls. Thinking Killers are antisocial or without friends is a mistake. When designing a loyalty program to appeal to killers we have to remember that they're not actual killers--- they simply thrive on competition. Interesting to be aware of-- if your community has a bored Killer, you could be sitting on time bomb, as their natural drive to compete and possibly destroy can push them to stir up trouble.
So now that we've applied Bartle's 4 Player-types to customers in a loyalty or engagement program, along with some examples, how can we design better programs?
The key when using game mechanics in a program design is to understand that only certain levers will affect certain people. People are unique and like different things and respond in different ways. By knowing what you're looking to achieve as an audience, you can choose the right motivators and mechanics to get you there.
Retail and Lottery both recognize that “Interactive” is more about creating the optimal consumer experience than it is about selling products online. How are progressive lotteries leading the charge into an “Internet of Things” future that integrates digital technologies into the fabric of all we do? How are Retailers doing the same thing, and how can we join together to forge the most productive and mutually beneficial pathways to integrate Interactive and Land-Based initiatives?
Moderator: May Scheve Reardon, Executive Director, Missouri Lottery Panelists: Richard Weil, Chief Executive Officer, INNOVA Tom Shaheen, Executive Vice President Business Development, Linq3 Duncan Malyon, Senior Vice president of North America, Camelot Global David Barden, Executive Director, New Mexico Lottery John Pittman, Vice President Marketing, INTRALOT Andrew Kinnear, Senior Manager, Marketing Communications Ontario Lottery & Gaming Matt Beddow, Director of New Media, Pennsylvania Lottery Michael Lightman, Senior Vice President Lottery Interactive, Scientific Games
This video presentation is brought to you by Public Gaming Research Institute and was recorded live at LOTTERY EXPO 2015 in Miami, Florida September 2015. Copyright © 2015
I've had a hand written sheet on my desk for a few years, and I've always tried to keep it top of mind. Ever since I became a people manager back in 1999, though not in a professional environment, I've always tried to build high-performing teams, and lead by example. I saw a comic recently that said you're not a real leader until you've made a leader who is leading others. I think I've done that, but there's always room to improve.
Here are some thoughts in no particular order: