Shoppers are more sophisticated in their choice of channels and payment methods, but still respond to incentives and rewards
Consumer expectation are shifting and technological innovations continue to rapidly change how customers shop. Meanwhile, the retail industry is continuously examining how to stay ahead of the curve when it comes to connecting with shoppers. And making those connections is more important than ever.
Hawk Incentives provided Fintech Finance with a few strategies retailers can use to embrace the digital payments evolution and connect with tech-savvy shoppers through incentive programs.
We advised readers to consider these, and other, up-and-coming trends in incentives and leverage fintech solutions to complement today’s consumer purchasing habits:
Reward-based promotions reign supreme
Recent research from Hawk Incentives revealed that consumers prefer rewards to discounts across 11 merchandise categories. These categories include personal care, home remodeling, telecom, pet pharmaceuticals and more. Additionally, companies that leverage rewards report better brand perception and customer loyalty, according to Aberdeen.
Leverage technology to personalize shopping experiences
With the data-mining capabilities available in the retail industry today, shoppers expect to receive personalized experiences. Retailers wanting to improve the overall shopping experience are looking to fintech for the data to compile a wealth of insights. Data can be gathered during the purchase process, or through promotions like rebates and loyalty program rewards that are paid out on prepaid or gift cards and can track redemption behavior and purchase.
Advance digital rewards and loyalty programs
There are several existing and upcoming types of digital and wallet-enabled incentive options leveraging fintech. These include egifts, wallet-enabled prepaid cards, digital loyalty programs and more. Constantly connected consumers continue to embrace mobile and digital payment options and migrate toward multichannel purchasing patterns. They are also looking for digital rewards and promotions and have become increasingly confident about using them.