When it comes to loyalty programs, there’s still some work to be done to bridge the gap between the retailer getting the repeat business it wants and the consumer finding value in the program. Plastic loyalty cards just aren’t doing the job anymore. Mobile phones and mobile loyalty, it seems, are the future for the loyalty industry.
In fact, 72% of consumers would be interested in saving their loyalty card data to their phones. The success of the next-gen loyalty program relies on one technology: Near Field Communication (NFC).
NFC in a Nutshell
You’re already familiar with NFC technology: it’s what allows you to tap your phone to a payment kiosk in a store and automatically pay for goods through an app or mobile wallet.
Essentially the data stored in the mobile app or mobile wallet is transferred wirelessly through NFC technology to the NFC-ready payment terminal.
But what’s really fun in regards to NFC and loyalty is how easy it makes it for people to sign up for your loyalty program and then redeem loyalty offers. Using Apple Pay or Android Pay, loyalty members can redeem offers with a tap of their phone to a payment terminal. And if they’re not members yet? They’ll have the opportunity to easily enroll right that are the point of purchase.
Boosting Loyalty Enrollment
Rather than requiring customers to visit your website after being in your store, you can leverage what’s called automatic loyalty enrollment, or ALE, to instantly enroll them in your loyalty program at the point of purchase.
ALE makes it easy to grow loyalty program membership, capture accurate customer identification information, and take advantage of dynamic, location-based messaging and notifications, as well as mobile wallet offers.
Once a shopper uses their mobile wallet to pay for a purchase, they are presented with a notification offering them the opportunity to enroll in the loyalty program right there. Because the mobile wallet already has the customer’s data, these enrollment fields are pre-populated. The customer is then asked to agree to terms and conditions, and voila! You’ve got another customer enrolled in your loyalty program.
Alternately, you can send consumers a link to your loyalty enrollment process via email, text, or website.
To accrue and redeem loyalty points, the shopper need only tap their phone to the payment terminal. You can even customize your preferences so that shoppers can both redeem points and pay with a single tap, or separate out the two functions.
Benefits of Automatic Loyalty Enrollment
What’s great about ALE is that it doesn’t require a point-of-sale system to work. Everything is done through NFC, the customer’s phone, and the payment terminal.
Because the entire onboarding process can be completed through a user’s phone, brands skip the lengthy paper-based enrollment forms and boil down enrollment time to just seconds, letting consumers benefit from becoming loyalty members sooner.
Having the information for the loyalty program pre-populated based on mobile wallet data is not only a time-saver for consumers, but is also avoids errors in data entry.
From the retailer’s point of view, you get access to unprecedented loyalty data that you simply can’t get with plastic membership cards. You can get real-time updates that help you understand which incentives are being redeemed the most, and you can customize notifications to boost loyalty purchases.
The Vibes mobile loyalty solution with ALE helps you increase membership in your loyalty program as well as gives you the ability to personalize the experience for each member.
Gone are the days when consumers were willing to carry around stacks of plastic loyalty cards. They rely on their phones for so much, and it makes sense that retailers should match that need by transitioning to digital loyalty programs, like those that use NFC.
Ask how Vibes can help you update your loyalty program using automatic loyalty enrollment today.