Recently, E-commerce has been developing and growing faster than ever, especially in the retail industry. The concept of O2O commerce has brought a new breeze to the field, making it easier for businesses to enhance their loyalty programs in Point of Sale (POS) and rocket sales revenue at the same time.
As loyal customers are key factors to any successful businesses, well-planned and effective POS loyalty programs are indeed necessary. Let’s dive in and get to know more about this fascinating marketing strategy.
What is the O2O business model?
O2O stands for Online to Offline, which is a business strategy aimed to draw a large number of potential Internet customers from businesses’ online stores to offline physical shops. This, ultimately, results in enhancing the number of in-store transactions. A good example to understand this strategy is when a customer receives a message directly to his/her mobile phone offering a membership discount code. Later, he/she can visit the store to use that code for a purchase.
3 effective POS loyalty programs in the O2O commerce
O2O business model allows business owners to maximize their customers’ experience through loyalty programs integrated into POS. This would encourage customers to continue trusting and using the services or products of a business. Following are some of the most prevalent POS loyalty programs for any retailers to apply for their businesses.
A points program is one of the most popular types of customer loyalty programs in POS since points are quite easy to earn and redeem. For instance, customers can simply buy an item or sign up for email newsletters from businesses. Points would be automatically added into their points loyalty wallet afterward for later exchanging gift cards or vouchers.
Points are so flexible that you can assign them to different customer behaviors that you want to reward. Moreover, it would be easy to track and analyze the points system.
As an illustration, ConnectPOS – a feature-rich cloud POS, allows using and spending reward points both in physical and virtual stores. Retailers can hold data on the points balance of customers and keep a record of their purchases. There are discounts for ConnectPOS clients as well.
To please the clients and keep them revisiting for more, POS loyalty gift cards can be a great component of your customer loyalty campaign. Gift cards would be perfect presents for family and friends when you don’t know what they like. Family and friends are likely to become your target audiences one day.
When gift cards are offered to customers, they would have the option to choose what they want to have rather than receiving a chosen reward by the business. Also, they can decide when to use those gift cards, either at once or save them for later purchases. Below is an example of how gift cards are integrated into the ConnectPOS system, enabling customers to use and redeem immediately in real-time.
The benefit of a mission-driven loyalty program is that it makes customers feel like their purchasing actions, no matter how big or small they are, help improve others’ lives. Take TOMS, a US shoe company, for example. TOMS’ campaign is that when you bought a pair of shoes from them, one pair of shoes would be sent to a child in need. In this way, the customer can buy a pair of shoes for a kid without any additional processes.
This is always a great option for businesses that have a strong focus on ethical affairs. If you opt for this reward system, make sure it is aligned with your target customers and the society we are in.
To sum up
In E-commerce, POS loyalty programs are key elements to maintain the chances of customers coming back frequently. That’s why businesses always try to develop and integrate them into their POS systems, which support both online and offline platforms. Better customer experience, higher business revenue!
Our ConnectPOS provides various loyalty programs integration for you to choose from. We cooperate with many extension providers, such as Aheadworks, to assist you with the best services for reward points and gift cards. You can use or redeem points and gift cards across all channels, and keep track of them directly on ConnectPOS. Register our 14-day free trial now for more useful details!