Growing up I spent most summers working at small businesses. I used to hate it. While my friends were playing video games and riding bikes I was sweeping floors and packing boxes. In my teenage years my friends would get cool summer jobs at large supermarket chains or national fast food restaurants while I would be working at my family’s dusty, simple, small business. However, as I got older I started to appreciate the distinct qualities of small businesses. …
We are starting to see more and more human interaction move online, from buying and selling goods to dating and networking. Historically, humans were more comfortable interacting with someone if we knew and trusted them personally. In those times you would have no problem buying vegetables from your farmer friend next door or marry someone from your town. Trust was developed over time due to strong personal relationships.
However, eventually, large companies and organizations started to arise. Along with this rise, the idea that we could trust a brand was put forth through strong marketing efforts. As brands and networks grew larger and, more trustworthy, we started to defer trust to them. If the brands vouched for something, than we trusted it. …
Consumers now have more choices than ever before; thanks to the Internet, a tremendous amount of information is at their fingertips to influence those choices. This access to information allows consumers to choose where and how to spend their hard-earned dollars, often times choosing a business that will reward them for their spend. Securing a new customer anywhere from 5 to 25 times more expensive than retaining existing ones, depending on the industry of the business. As a result, the core focus of a business should be on keeping the customers they have already acquired.
Loyalty programs are nothing new; these programs were available way back in the 80’s in the form of airline points. Over the years, loyalty programs have grown beyond the transportation industry. They now span all segments and business verticals. With businesses now finding themselves in a race to the bottom on price, it’s important that they find ways to creatively increase their value-add to retain the customers they currently have. In the current global market, consumers are not as loyal to brands as they used to be. Businesses now have to look at what makes a millennial a repeat shopper. The business has to ask itself what are the key driving forces that would cause a millennial to continually frequent their establishment. …
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