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Analytics and Social Media Redemption Campaigns
A Canadian Tire loyalty program, social media and Tablet PC digital magazine App marketing campaigns may cultivate retail customer loyalty. A Tablet (eg. iPad, PlayBook, Samsung Galaxy, Android device) digital magazine rewards program campaign might also help Canadian Tire retain loyal customers who move from one part of Canada to another. The New Canadian Tire loyalty program may challenge iconic paper tender February 15, 2012 National Post article describes how a rewards program might retain Canadian Tire customers. Tablet Migration Marketing Analytics: Digital Marketing, Movers and Customer Retention also talks about how a Livestand from Yahoo! iPad digital magazine App might help Canadian Tire with customer loyalty. You may read about Livestand from Yahoo! in the following interview: Yahoo! Mobile Marketing Analytics Interview: Livestand from Yahoo! Tablet Magazines.
A points card loyalty reward redemption program would allow Canadian Tire to identify customer loyalty for each member and use social media, a Tablet digital magazine App and direct mail marketing campaigns to retain loyalty. Reward card analytics may identify which members will most likely not redeem for program rewards, for example. Unlike debit card transactions, points card reward program data allows for customer loyalty analytics that scores members according to a loyalty measure. Customer loyalty analytics segments may then guide social media and Tablet digital magazine App redemption marketing campaigns.
An April 16, 2011 National Post article Debit cards lack lure and loyalty reflects the analytics advantages of debit versus credit card loyalty programs. Credit card points rewards programs are popular since interest revenue generated from card members help pay for other program rewards. But having expensive loyalty program rewards does not ensure customer loyalty: nor does it entice all members to redeem their program points for rewards.
Canadian Tire’s loyalty program will face this same points breakage challenge experienced by AirMiles, Petro-Points, Aeroplan, and other points card reward loyalty programs. Predicting points card breakage is a key analytics challenge applies regardless of whether points are redeemed on Points.com or at a bricks and mortar Canadian Tire location. Social media and Tablet PC direct marketing campaigns may help Canadian Tire retain existing loyal customers and cultivate increased customer loyalty.
Points card breakage occurs when a rewards program loyalty card member does not redeem his or her points for program rewards. Points breakage costs the loyalty program revenue that it would have received from the company whose product was redeemed for. Bill Hanifan’s loyalty blog article on loyalty program financial liability explains how points breakage financially impacts a customer loyalty rewards program.
Canadian Tire’s loyalty program analytics staff may utilize time series analysis to identify points card members who will most likely not redeem for rewards. Using historical data, a pattern of points card redemption behaviour may be observed for individual loyalty program members. Probability theory may develop the following type of statement: ‘If a rewards card program member has not redeemed for a reward within ‘x’ days of first earning points, the card owner is ‘y’ likely to never redeem points.’ Points card loyalty program members may not redeem their reward points for one or more reasons:
- lack of knowledge about what card points will get
- no interest in the current rewards program offering
- a desire to accumulate points cards points for a better, future redemption
Points card members with a high probability of not redeeming points for rewards – causing points breakage – be targeted with a social media, Tablet digital magazine or direct mail marketing customer loyalty marketing campaign. A random survey of non-redeeming loyalty program members might pinpoint customers who do not redeem points. Customer loyalty survey results may be cross-referenced with high-probability points breakage segments identified through time series analysis. Canadian Tire may find itself targeting high-probability breakage points card members who lack knowledge about reward redemption options after the Canadian Tire Advantage loyalty points card has circulated for a while.
Environics Analytics’ social media and lifestyle database segments may help Canadian Tire analytics staff to best understand how best to reach loyal – and disloyal – reward program members: via social media, Tablet PC digital magazines or direct mail marketing campaigns. The popularity of a social media redemption campaign that involves online video may be evaluated using Viral Tracker’s online media campaign metrics. The measure of success for a social media, Tablet PC digital magazine App or direct marketing redemption campaign will be the number of redemptions that it generates. Marketing analytics must also track points card redemptions, points redeemed and number of rewards redeemed for using social media channels such as Twitter, Facebook, YouTube, and FourSquare. Perhaps Canadian Tire’s rewards program and Advantage loyalty points card will help to analyze, predict and cultivate customer loyalty with competition from Target.
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Marketing Ideas: Social Network Marketing Analytics, Time Series Analysis Marketing Analytics, Website Marketing Analytics · Tags: analyticscomment, Canadian Tire, customerloyalty, loyaltyprogram, pointsbreakage, pointsbreakageanalytics, Red Card loyalty program, rewardredemption, social media campaigns, socialmediaanalytics, Target, timeseriesanalytics
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You may be interested in subscribing to the Tumbleweed Marketing Analytics RSS feed in order to keep up-to-date on the most recent marketing analytics posts. The most recent post is Internet Search Marketing Analytics: Average Number of Searches Per Canadian.
Two other hotel marketing analytics articles may be of interest to you as well, wembley hotels. One article indirectly addresses Internet search volume for hotels and tourism-related subjects, while the other specifically speaks about how Tablet computers (eg. iPads, PlayBooks) may be used to market hotels.
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