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Why Mobile Makes Loyalty Rewards Better

Consumers love deals. In fact, according to Vibes’ 2019 US Mobile Consumer Report, deals like bonus loyalty points, coupons, and special offers are what spur 56% of consumers to opt into text message marketing from a brand.

The reason? Many. Paper coupons are all but extinct these days (who subscribes to the physical newspaper anymore to get them?) and consumers are increasingly relying on their phones to serve as personal shoppers. Our research found that 77% of consumers would rather use digital than paper coupons, which is something that brands can’t ignore.

Here are a few more insights about mobile loyalty rewards and digital deals that we uncovered in our Mobile Consumer Report.

How Much is Too Much When It Comes to Mobile Offers?

If you’ve dabbled in digital deals and not found great success, it may be because you’re sending too many offers to your mobile subscriber base: 86% of people unsubscribe because they get too many (or irrelevant) messages from a brand.

That’s why it’s extremely important that brands who send offers via text, mobile wallet, or push notification test, test, test. Pay attention to response rates for different types of offers, as well as the timing of the offers you send. Note at what frequency people start to unsubscribe, and send fewer at that point.

Mobile data is there for you to use it to improve your mobile marketing campaigns!

Mobile Loyalty Rewards Drive Action and Retention

For consumers, brands offering loyalty programs is a significant factor in where they decide to shop. And brands who use mobile loyalty rewards programs have a significant opportunity to engage consumers with offers and build ongoing relationships to drive repeat sales.

Just like with paper coupons, analog loyalty programs are also fading fast: consumers are 85% more likely to shop at a store with a loyalty rewards program, and they want to access that account on their phones. Grocery stores, airlines, and hotel brands are among the most popular loyalty rewards programs for consumers, followed by coffee shops/restaurants, department stores, and specialty stores that sell many brands, like Lowe’s.

The Power of Mobile Wallet

The mobile wallet provides an excellent opportunity to engage loyalty members via mobile long-term, and 63% of consumers want to save their loyalty account information to a mobile wallet. With a simple tap-to-join interface, shoppers can join your rewards program at checkout in seconds. Any time they save an offer that you send via push notification, you can continue to update that offer over time so that you keep delivering relevant content to your mobile audience.

Understanding that consumers like to save and receive deals and offers on their mobile devices allows you to be relevant, useful, and successful at driving in-store sales through mobile. After all, mobile messaging plays an integral part in influencing consumers’ buying behavior. Using mobile messaging in mobile wallet, you can engage customers with:

  • Loyalty benefits
  • Incentives or coupons
  • Information or product updates
  • Exclusive content
  • Store news and events

We’re seeing an uptick in mobile wallet use: 28% of consumers currently use it, compared to just 22% in 2018. Deals are driving this boost, and as brands learn how to personalize their offers to align with what each customer wants (through sophisticated automation), we know this number will only increase in the coming months.

The data we gleaned from the Mobile Consumer Report was no surprise: today’s consumers are becoming increasingly savvy when it comes to relying on their phones to find great deals and loyalty rewards offers. The question is: is your brand fully leveraging these mobile tools, or will you be left behind?