Have you seen The Customer Experience Factbook?

In this 180+ page report, you'll find all the information and support you need to build a profitable, effective CX Improvement Program that spans every part of your business. You'll be able to implement and manage meaningful and profitable change, and grow your bottom line despite a slowing economy.

Get it on Amazon (Kindle/Print)

Aimia explains the rise of the 'savvy shopper'

The white paper, entitled 'The rise of the savvy shopper: The impact of the recession on customer loyalty', acknowledged that the traditional approach of rampant promotions and steep discounting does drive short-term results amid a tough economic climate, but also found that today's consumers also want to be rewarded and recognised for their loyalty to their chosen brands.

The white paper examined both attitudinal and transactional research carried out by Aimia among 2,000 UK consumers, and found that a new breed of consumer - what Aimia calls 'the savvy shopper' - has emerged. For example, the study found that:

• 64% of UK shoppers are actively using reward programmes;
• 78% admit to collecting points whenever they can;
• 66% say they always use vouchers or coupons when shopping;
• 77% are more careful with money than they used to be.

Consumers now expect brands to work harder for their loyalty and demonstrates how many brands have subsequently adjusted their value propositions to build loyalty in response to these new consumer norms. Marketers must therefore recognise that today's consumer has evolved and the route to true loyalty has become harder to navigate. They must fundamentally change the way they build loyalty with these newly discriminating consumers, leveraging shopper data and insight to understand customers better, and use the tools of loyalty management to influence behaviours and build lasting relationships.

Aimia's research suggests that it's largely down to the marketer to unlock a data-focused optimum loyalty formula, bespoke to each marketer's organisation. Consequently, the company has compiled the following ten steps for marketers explaining how to use reward, recognition and loyalty programmes to build real relationships with today's savvy shopper:

1. Design rewards to appeal to specific behaviour segments
   By understanding which behaviour segments make up your customer base, you can design rewards to appeal to their needs.
2. Avoid drastic programme changes
   When evolving your reward programme, tread carefully. Roll out changes over time, and give your customers enough time to absorb the shock.
3. Use data to personalise
   Personalise customer interactions by using your customer data to create shopper profiles and identify likely next purchases.
4. Empower your frontline staff
   If customers experience problems, make sure your frontline staff have the training and authority to offer real-time solutions.
5. Use data to get closer to your customers
   Target your marketing directly to customers rather than through third-party channels.
6. Rectify and reassure in real time
   Hearing what consumers have to say about your business on social media channels is an effective way for you to check your business is delivering on its brand promises.
7. Make your customers feel like individuals
   A 'one-size-fits-all' approach to customer relations is no longer relevant or appropriate.
8. Invest in long-term customer value
   Investment in loyalty comes not solely from quarterly impact, but from customer lifetime value. Use data and customer insight to drive profitable behaviour change over the long term, and the compounding effect of your loyalty investment will pay dividends over time.
9. Aspire to be more than just a loyalty programme
   Make your loyalty programme more distinctive, connect your brand with new and exciting experiences to create true value and stand-out.
10. This is no time for ease and comfort
    The world of consumers and businesses is changing. While we have seen the UK consumer adapt to the new retail landscape and become savvier, some businesses have been left behind. For these businesses, the time to adapt and do things differently is now.

"While the recession has altered the way consumers evaluate brands and make purchase decisions, the fundamental rules of customer loyalty still apply," explained Maria Sealey, director of research services for Aimia. "The new 'savvy shoppers' expect savvier marketers - and to build relationships with them, marketers must focus on the basic loyalty drivers while using data science and customer insight to deliver targeted combinations of reward and recognition. There is not a one-size-fits-all approach; instead marketers must make the best use of data available to them to tailor their efforts accordingly."

Have you seen The Customer Experience Factbook?

In this 180+ page report, you'll find all the information and support you need to build a profitable, effective CX Improvement Program that spans every part of your business.

You'll be able to implement and manage meaningful and profitable change, and grow your bottom line despite a slowing economy. Grab this goldmine of easily adaptable and up-to-date strategies, walk-throughs, trends, technologies, research, suppliers and partners, plus all the supporting arguments you need to build a solid CX strategy.

While most marketers could list maybe a dozen key points for improving their brand's Customer Experience (CX), the researchers and writers at The Marketing Factbook have identified FORTY main 'CX Keys' which will help you drive your customers to new levels of delight, loyalty, advocacy and profitability.

The areas in which customers have direct contact with your organization are perhaps the most obvious places in which CX improvements can be made, and this report addresses all 24 of these 'Direct CX Keys', applicable to offline and online businesses alike.

At the same time there are many other areas that indirectly affect CX (such as the supply chain, policies and processes) in which every business can make simple but far-reaching improvements. This report guides you through the problems and solutions for all 16 of these 'Indirect CX Keys', many of which are often forgotten or under-played even in the best CX strategies.

Get it on Amazon (Kindle/Print)