Presentation on theme: "2 Loyalty and incentive coming of age Lee Griffin - Head of Publisher Services, TradeDoubler Duncan Jennings - Managing Director, eConversions Richard."— Presentation transcript:
2 Loyalty and incentive coming of age Lee Griffin - Head of Publisher Services, TradeDoubler Duncan Jennings - Managing Director, eConversions Richard Yendall - Chairman, The Loyalty Association Paul Nikkel - Co-Founder, Quidco
3 Users drive the market Tough times, savvy users & partnerships We’ve come a long way Development, best practice &the future Cashback Partnerships Community, technology &promotions Questions for the panel
4 Growth & Trends
7 Who Said This? “We see cashback as an important opportunity to deliver additional value” “Loyalty schemes, vouchers and cashback have become very important. It's an issue that has to be addressed.“ Bruce Fair, Kelkoo UK MD Bill Gates, Microsoft
October 2007 purchase Jellyfish (comparison/loyatly) May 2008 launches Live Search Cashback in the USA 10 million product offers, 700 merchants “Cashback has done very well in the US and we will be looking to roll it out in other markets; the UK will be next” Chris Dobson, Microsoft VP of global sales
10 Who’s next?
11 Myth-Busting... Loyalty is not the villain Overwriting – Loyalty <1%, less than other categories Starting point of the majority of attributed sales Return visits are frequent - key to the impulse/browser? Last click or contribution? Not an easy call...
Retail sales slump surpasses 1990s recession 28th August 2008 Boom is now bust after 16 yrs 23 August 2008 Inflation doubles in just six months as millions of families face soaring food bills 13th August 2008 Economy at 60-year low, says Darling. And it will get worse 28th August 2008
Everyone is becoming more cautious with their money The web has always been known as the place to save money Press, credit crunch, inflation & recession are taking this to the next level In tough times people still spend but they need a nudge / elbow
With the economy slowing and prices rising, everyone is on the lookout for a bargain. Vouchers have become a popular way of promoting discounts, particularly around Christmas time. In fact, they have become so popular that price sensitive shoppers are looking for them in increasing numbers. Robin Goad – Research Director Hitwise
Flexible – Advertisers can restrict codes by time, product, category etc Ramp up sales – “40% off!” Increase basket values – “Save £5 when you spend over £75” Clear distressed stock – “Get Water World for only £1” Push higher margin products “10% off Caribbean All Inclusive Holidays” Voucher Codes satisfy the deal hunting desire without killing your margin
VoucherCodes.co.uk launched in “BETA” August 2008 We’re building long term relationships with advertisers to promote only valid, working codes Advertiser / Network login allowing instant code suspension and flagging Working with networks and merchants on technology for real exclusive codes, customer targeting and more
If you’ve got a voucher code or deal you’d like us to promote or if you’d like to find out more about how voucher codes could help grow your sales contact me: email@example.com firstname.lastname@example.org Tel: 020 7566 9849
21 “We’ve come a long way” Richard Yendall Chairman, The Loyalty Association CEO Rpoints & Cashback Kings
Development of Loyalty “A new way to make money” Growth Publicity Innovation Diversity
Doing it well The Loyalty Association Network and merchant buy-in Standards and best practice Make loyalty model work
Combo sites Mobile Diversification Consolidation Bigger brands Offline Where are we heading?
25 “Cashback Partnerships” Paul Nikkel Co-Founder, Quidco
Cashback Community Cashback has come of age and is now recognised as a unique channel. The opportunities for merchants to engage with members and attract them into their "community" (as customers) is huge. Cashback is not monolithic Many sites with their own branding, model and demographic. Effectively managed relationships capitilize on community brand equity but do not bleed equity. Cashback members have brand loyalty to their community. Learn it to leverage it.
Find and use the promotional tools available in the community. Email shots on Greasypalm, forums on Rpoints, Savvy Tips and blog on Quidco. Talk to us and your account managers! Good communities are viral–good cashback is viral. The big cashback communities today have grown almost entirely from WoM. Highly connected, highly influential consumers.
Technical Enhancements Manual validation put in place for increased merchant security and ability of validate off-line information Cookie checkers to ensure that cookies are being accepted by the member’s browser at point of purchase, resulting in fewer untracked sales and less work for merchants Enquiries XML data exchange, click-tracking and approval process implemented to improve data integrity. Fast, accurate resolution results in decreased manual resources needed from merchants, decreased call-centre contact, increased purchase confidence and satisfaction.
Promotional Activities Leveraging exposure for different needs ie. Increase sales during seasonal peak or increase traffic volume and brand/site awareness Case Study #1: HMV Goal: Expose traffic to a newly branded site Placements: Savvy Tips and Blog
Case Study #2: Merchant “X”
Case Study #3: TalkTalk
Case Study #4: Merchant “V”
Case Study #5: Hotels.com
37 Questions for the panel Duncan Jennings - Managing Director, eConversions Richard Yendall - Chairman, The Loyalty Association Paul Nikkel - Co-Founder, Quidco Lee Griffin - Head of Publisher Services, TradeDoubler