• by Donald Fairbanks , Columnist, July 18, 2018

For consumers, “value” is no longer limited to coupons and discounts. From Millennials inundated with notifications to frazzled parents hoping to make the most of a grocery trip, consumers are now thinking beyond deals, associating value with time-efficient experiences that help them better navigate life. Brand interactions that add utility are gaining popularity, whether sending consumers timely coupons when they’re running out of products or sharing personalized shopping maps while in-store. 

But how can brands ensure they’re transcending spend-and-earn models and providing consumers real value? Here are ways to embrace efficiency and design strategic initiatives that support an expanded definition of loyalty.

Know your audience 

Today’s digital world has conditioned consumers to prioritize advanced ordering and instant pickup, evolving perceptions of value. But while utility-based interactions are becoming standard, different audiences are still motivated by different loyalty tactics. To truly provide value, brands must understand consumers and their specific preferences. Some consumers remain deal-oriented, primarily seeking savings. Others trust brands that recognize their individuality with personalized initiatives. Digital natives typically crave convenience the most, as their attention is split by an overwhelming number of apps and alerts.

Survey consumers to determine how they interpret value, whether it’s personalized birthday coupons or the ability to reorder products with the tap of a button. Ultimately, the most impactful brands are those that understand their audience, and then implement dynamic offerings that appeal to these consumer profiles. 

Take loyalty out of its silo

Consumers shouldn’t see your brand as “a company with a loyalty program,” but perceive it as a “loyal company.” Be sure your model is not solely centered on transactional experiences, and make convenience a top priority across the shopper journey.  For example, your brand might enhance customer service by adding a live chat feature to alleviate "hold button" friction. Bolstering consumer relationships should be a focus at all levels of the consumer experience, as each interaction is an opportunity to provide value and, in turn, build loyalty.

Fine-tune your model

Convenience is king; however, figuring out how to best offer utility may take some trial and error. After surveying consumers, don’t be afraid to try new loyalty strategies to determine what resonates most. One way to experiment is through shorter promotion-based campaigns that make consumers’ lives a little easier.  

For example, you might run a promotion offering the chance to win free next-day delivery for a year. Or, design a campaign that leverages consumers’ purchase history, adding a surprise bonus item to their orders. If consumers respond positively to such initiatives, consider folding these perks into your overall strategy. 

In the end, consumers are most loyal to brands that support their lifestyles. From remembering a customer’s favorite store location to queueing previously purchased products, experiences that enhance everyday activities are gaining popularity among today’s time-scarce consumers. In order to provide value, brands must get to know their audience and use this understanding to meet consumers in their daily life, ultimately ushering a new era of brand loyalty.