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Posted April 17, 2019 by FreedomPay

Where Has it Gone Wrong for the Brick and Mortar Retailers?

It is always sad to see an iconic British high street name like Debenhams fall by the wayside as several have done in the last few years. While there could still be hope for Debenhams, the latest in this sorry roll call, with a number of players vying to take control and turn it around, it has sent yet another warning message to other high street stores hoping to ride out brick and mortar’s decline.

It is abundantly clear that the brick and mortar model has been struggling for a number of years. Shrewd merchants have been adapting their strategy to compete with e-commerce and align with the ever-changing retail landscape, and those who haven’t adapted fast enough have felt the hit.
The convenience and speed at which online purchases can be made have been key factors in the migration of large chunks of market share from high street to online. Enormous overheads from rising rents (£4.3bn in operating lease commitments in Debenhams’ case) and the need for high numbers of staff, equates to high (and rising) costs with decreasing sales – a formula that even the best chief executives might struggle to work with.

While it would be foolish to say that all brick and mortar businesses are doomed, it is imperative for decision makers to review their strategy even if, so far, it has been working for the last 50 years; consumer needs and wants are rapidly evolving and loyalty programs need to keep pace with their expectations.
FreedomPay believes that connected commerce and customer centricity are the pillars of retail and loyalty programs today and tomorrow.

The importance of personalization and digital data

In order to entice the customer, one has to understand the identity of each person. For example, a vegan may not buy into 50% off sausage rolls. This can be done by analyzing the spending habits on an individual basis, for example, using your systems data to identify who your top-spending customers are and rewarding them. Not only that but by crunching the data to see what they buy from you and when, you can reward them in a way that they will actually value highly, perhaps by offering discounts on the products they buy most often and not the ones they aren’t buying, i.e. the sausage rolls.

The megalithic online retailers understand the mantra and place the customer at the centre of their business operations. For brick and mortars, the ‘shopping experience’ is an asset they will always have to trump online retailers and should be utilized to assert an advantage. Aesthetically pleasing interiors and helpful employees are simple but effective examples. The experience is complemented by the ability to earn discounts, free samples, exclusive treatment and VIP access to entertainment. A loyalty card can drive repeat purchases and incentivize shoppers to come to stores and the website alike. Loyalty programs have proven to be a powerful experience for customers but it should be evolving to better please customers and retailers need to invest in modern data architecture that helps build a new personalized, customer centric loyalty model.

Find out more about customer centric models, by downloading the whitepaper: Personalization and Digital Identity: The Keys To Unlock Loyalty.

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Posted March 27, 2019 by FreedomPay

Tokenization and data – the value in unlocking loyalty at the Point of Sale

Merchants are no stranger to the transformational power of point of sale (POS) data. They already use it to link demand with inventory, create customer profiles for marketing and to spot buying trends in individual and across multiple locations.

However, the true commercial value of sales data lies in being able to drill down to individual customer’s buying behaviors – what they’re buying, where and when, and how they paid for it while staying data compliant.

Revenue hungry brands are eager to tap into this rich vein of data to re-energize their loyalty programs with seamless access to personalized content and tailored rewards. But, without the technology to link it securely to a specific customer, and across business functions, the prospect of meaningfully monetizing is lost.

Smart and safe: Harnessing data and tokenization

So how to unlock it? For omnichannel brands focused on driving stickier relationships, the easiest way to harness data and ID is using tokenization. This works by generating a customer identifier code or ‘token’ which is linked to the payment mechanism. Data from an individual’s sales journey can then be tracked invisibly, with no friction, and without compromising sensitive cardholder details.

Used in tandem with a connected commerce platform, tokens can be shared across business functions breaking down operational silos and connecting sales, CRM, social and marketing activities.

Near-money loyalty: Expanding tokenization

Not only that but tokenized points are 100% transferable and tradeable so they become a near-money currency across brands and outlets. This lends itself seamlessly for loyalty programs. Loyalty suddenly becomes more versatile, usable and attractive for customers – and a potential source of revenue for the merchant.

Using customer data in this way allows brands to execute loyalty as part of their business operations – as a platform not as a ‘point’ solution.

By doing so they can make the shift to truly seamless customer centric loyalty programs, delivering highly targeted and fluid rewards that flow smoothly between multiple vendors. Creating more value-rich experiences, boosting uplift and connecting with customers for longer.

All of this and more is just sitting on the POS waiting to be freed.

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Posted January 01, 1970 by FreedomPay

Tokenization and data – the value in unlocking loyalty at the Point of Sale

Merchants are no stranger to the transformational power of point of sale (POS) data. They already use it to link demand with inventory, create customer profiles for marketing and to spot buying trends in individual and across multiple locations.

However, the true commercial value of sales data lies in being able to drill down to individual customer’s buying behaviors – what they’re buying, where and when, and how they paid for it while staying data compliant.

Revenue hungry brands are eager to tap into this rich vein of data to re-energize their loyalty programs with seamless access to personalized content and tailored rewards. But, without the technology to link it securely to a specific customer, and across business functions, the prospect of meaningfully monetizing is lost.

Smart and safe: Harnessing data and tokenization

So how to unlock it? For omni-channel brands focused on driving stickier relationships, the easiest way to harness data and ID is using tokenization. This works by generating a customer identifier code or ‘token’ which is linked to the payment mechanism. Data from an individual’s sales journey can then be tracked invisibly, with no friction, and without compromising sensitive cardholder details.

Used in tandem with a connected commerce platform, tokens can be shared across business functions breaking down operational silos and connecting sales, CRM, social and marketing activities.

Near-money loyalty: Expanding tokenization

Not only that but tokenized points are 100% transferable and tradeable so they become a near-money currency across brands and outlets. This lends itself seamlessly for loyalty programs. Loyalty suddenly becomes more versatile, usable and attractive for customers – and a potential source of revenue for the merchant.

Using customer data in this way allows brands to execute loyalty as part of their business operations – as a platform not as a ‘point’ solution.

By doing so they can make the shift to truly seamless customer centric loyalty programs, delivering highly targeted and fluid rewards that flow smoothly between multiple vendors. Creating more value-rich experiences, boosting uplift and connecting with customers for longer.

All of this and more is just sitting on the POS waiting to be freed.

SHARE NOW