Ultimately, he says, “creating messaging opportunities based on transactional data – you know that’s good, but using zero and first party, psychographic data to personalise those messages will differentiate your brand from your competitors.”
Glomb says loyalty is a “goal you can only achieve by truly knowing your customers and carefully nurturing every single relationship that you have… that means every action, the input, the communication, everything a customer receives should make them feel valued, respected.”
Of course, consumers can also be fickle irrespective of this, meaning there is a multitude of reasons that someone might turn towards a competitor. For example, Cheetah’s research found that 31% of consumers who switched brands did so because a competitor had better promotions, 26% said it was because they didn’t feel valued as a customer, and 19% of switchers said it was because of brand stance on social, political or environmental issues.
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Despite this, says Glomb, “40% of consumers are more likely to take part in a loyalty program than last year. And that is an 11% increase from those that said the same thing from 2020 going into 2021.”
One of the main benefits of loyalty programmes for brands, of course, is the data it can bring in. Whilst on the topic, Glomb also spoke about consumer attitudes towards data, particularly in relation to the type of data they are happy to share – and why they are happy to share it.
Location data is a no-no, but consumers increasingly comfortable with purchase history influencing their experience
“The overwhelming majority of consumers still feel that advertisements derived from location data, third party cookie tracking, and smart devices listening to them are creepy and they are not cool,” says Glomb. “They are however split on the use of chat bots accessing purchase history, and ads on social media based on recent shopping experiences.”