The key to a successful loyalty program is to ensure that consumers actually end up purchasing the product or brand in question (as opposed to simply taking advantage of a good deal and walking away,) and GaGa Rewards is a new app-based loyalty system that does just that. Rather than relying on physical or digital coupons that provide extreme discounts, GaGa Rewards users earn points by making purchases at supporting businesses, and those points can only be accumulated by scanning the QR codes on their receipts.
Part of the benefit of using a QR code for consumers is that the codes are highly visible on receipts, so people aren't likely to forget to collect their points. Further, QR codes are almost universally readable on smartphones, so users need not download an app in order to store their points. The GaGa Rewards app itself on comes into play when users look to redeem their rewards, and each participating vendor offers different rewards for various point values.
Why This Trend Is Growing
- QR Code Loyalty
- Implement loyalty programs that use QR codes on receipts to encourage repeat customers and automate reward tracking.
- App-based Loyalty
- Exploit the prevalence of smartphones by developing loyalty apps that gamify customer engagement and reward spending behavior.
- Point-based Rewards
- Explore new ways to incentivize spending that move beyond traditional discounts, such as offering point-based loyalty programs that prioritize companies and products in the marketplace.
Industries Being Reshaped
- Retail
- The integration of QR codes into receipts can revolutionize customer loyalty in retail businesses, particularly for those with brick-and-mortar locations.
- Mobile Technology
- As smartphones increasingly become the primary means of digital communication, mobile technology companies have a prime position to develop and improve app-based loyalty systems.
- Marketing
- With traditional market offerings rapidly losing their luster, more and more marketing companies are turning to creative loyalty incentive programs as a way of forging strong relationships with consumers.
