How can a business retain its customers and make them fall in love with the brand? AI-powered loyalty programs that simplify the sales cycle and assist achieve success underpin today’s user data collecting and retention methods.
Obtaining a new customer is seven times more expensive than retaining an existing one. According to Harvard, if you boost your client retention investment by just 5%, your benefits can grow by 25% to 95%. As a result, an existing customer spends nine times more than a new one. As a result, investing in loyalty programs is always a safe option for improved results.
Now, how does one go about boosting customer loyalty? There are numerous methods – in the past, many of these duties were done by hand – but now, owing to new technologies, they are done automatically and precisely.
What are loyalty platforms?
Before we begin, it is important to understand that a retention platform is not the same as a loyalty platform. While the former aims to reward customers with discounts, points, or privileges, the latter works more surgically, offering customers custom-tailored products or services.
Loyalty platforms are technical solutions that assist firms in building, automating, personalizing, and making their client relationships more efficient and long-lasting.
Because they interact as middleware, these solutions are easily connected with CRMs, Marketing Automation platforms, and other existing loyalty programs.
Artificial Intelligence can be used to identify clusters of users who behave similarly in order to determine the wishes of each of these clusters. As a result, it is feasible to employ technology to learn more about people in real time, discover the best value proposition, and choose what to provide them at the correct time. Finally, what is offered and what the client preferences are are what determines loyalty.
5 Benefits of Artificial Intelligence-Enabled Loyalty Platforms
1. Create personalized offers
Create customized programs for huge groups of people that are more personalized. This allows you to center the full context of the relationship, decide what to propose and when to propose it, and analyze how the relationship is evolving.
2. Enhanced reputation
A brand’s recognition and endorsement are critical for gaining new clients. At the same time, a strong reputation is an enormously effective intangible asset for positioning itself in front of clients, prospects, and the competition.
3. Brand love
Leading customers to have a “wow effect” that emotionally connects them to the company enables for a long-term relationship. Large corporations, such as Apple or Nike, have a captive audience that is completely devoted to them and excitedly awaits the release of each new product.
4. Identify the impact of actions
Knowing how to identify the outcomes of various actions taken by tracking the user and the contact points enables you to learn from users and enhance tactics and offers.
5. More and more sales
Since they assist businesses in retaining customers, they play an important role in strengthening the user base and, as a result, boosting sales.
Who is eligible to use loyalty platforms?
All brands, regardless of size, market, or industry, want (and need) to learn from their customers — to understand what they do, how they behave, and what preferences they have. As a result, including this type of platform is feasible for anyone.
Notably, according to an Adobe study, firms that prioritize user experiences increased revenue 1.7 times faster and customer lifetime value 2.3 times faster than those who did not.
Multiplica’s vision, and our partnership with Synerise
At Multiplica, we carry out our consultation work at the intersection of technology, brands, and users. We act based on the client’s understanding — in order to provide the most relevant experience — the modification of the strategy to each of them, and the enhancement of it, through optimal execution that is tailored to the specific technical conditions.
In this regard, Multiplica collaborates with Synerise, a Marketing platform that enables us to create loyalty and loyalty programs. It also contains Artificial Intelligence algorithms that work on predicting client expectations through the development of engagement scenarios.
This technology is critical in discovering the most profitable user clusters while also giving the value proposition that is most suited to each of them. The prediction of the churn and the financial valuation of the main indicators of the relationship is essential for making decisions in advance.
Synerise, a Microsoft partner and winner of competitions such as the SIGIR eCom Rakuten Data Challenge 2020 and the ACM WSDM Data Challenge 2021 from Booking.com, has clients in Europe such as Carrefour, IKEA, Walmart, and Decathlon. Multiplica is now bringing it to Latin America to assist our clients in optimizing their relationships with their users in the region.
According to Microsoft CEO Satya Nadella, Synerise “can track each occurrence, on all channels, for each customer, whether on mobile, web, or in a physical shop.” All of these are signals that are collected, analysed, and then used to continuously apply AI with automated flows to improve the user experience and increase income.
We encourage you to contact Lucio Grimaldi, US Tribe Leader at Multiplica, to learn more about how automation solutions can help you increase customer loyalty.