The Italian scenario of the offer of services in general and of telecommunications in particular has strongly changed in recent years, with a strong push to the evolution in the wake of social and technologies "2.0".
One of the areas most affected by this trend is that of the so-called Loyalty.
Italy is a market that in terms of loyalty has become mature very quickly, with a circulation of cards in loyalty 90% family (Nielsen data) and a share of turnover, such companies GDO food, registered with paper 75%. From the point of view of the activities of traditional loyalty market is definitely ripe.
It is however also a market that has proved very lively in recent years from the point of view of the promotional activities of the digital type, and the world of loyalty has been increasingly tied to the tools from both web and mobile services companies and distribution, but also by manufacturers of consumer goods. Obviously, the trend was also confirmed internationally. Industrial companies, especially the big brands, They are discovering the advantages of using the digital promotions to retain customers.
Another aspect, from the point of view of the dynamic, It is of special promotions and short collections, the collections of short period, a trend still in place.
Then there is the excitement on the face of the coupons, with the development of the market for "intermediaries coupons", who she was born in Italy for several years, while abroad it was stated.
Obviously, the promotional world, even more than other sectors, It is a world where you have to constantly invent something new, because the essence of doing promotion is precisely to provide always new and temporary stimulus to induce specific behaviors in the client. The novelty is the spice of promotion.
In general, the sector of promotional activities in Italy is very varied as it is activities of advertising agencies, promotional agencies, service providers, data managers, technology providers, agencies specializing in contests and many others. With regard to the business of the loyalty that has to do with the digital expectations are very high, especially for those solutions that are able to digitize the customer journey Customer.
Paradoxically, the current situation favors the success of the initiatives of loyalty. In these years of crisis, consumers have become more aware of saving opportunities, so for example the use of loyalty points for discounts, as well as the chance to get something for free or at conditions favorable, and then gifts of loyalty programs, gadget, extra benefit. Ultimately, the participation of the customer loyalty in the world is growing, consumers are very careful with this type of initiatives and the like; at the same time, It is seen that this is a broad sector, we are of the most dynamic and other less dynamic, with the result that some of the many active players is growing, while others most affected by the crisis.
In general, but, in times of crisis to invest in loyalty can help companies. Scientific research for years now shows that much of the income and corporate profits is generated by loyal customers, much more than produced by those customers that are acquired at a given time and are subsequently lost. Work to keep its customers and the business of its customers is definitely a strategy that secures long-term profits of the company. When the pressure increases promotional, customers are exposed to many proposals and initiatives but have in mind the positive image of their usual supplier, then the usual supplier must not abandon them in times of crisis because it has the climate of confidence to be protected. Reminding him that the company exists and continuing to treat it in a differentiated way preserves the client company, reassures him, and this is particularly important precisely in times of crisis, when there is a need to reassure customers about the value of what you buy, that does not lose opportunity forgoing promotions competitors. In short words, We need to communicate more and better with the customer in time of crisis.
Many companies instead bind the investment in communication to sales, and when revenue falls you spend less to communicate, giving rise to a negative cycle. When you have a database of customers, you can communicate effectively, because you can use a variety of tools and channels that often cost little and help maintain the relationship. Especially if you do not have the resources to invest in mass media (over the years they have lost much of their effectiveness), worth much more focused on the means to invest because it is they who make the customer feel special, who make the report. Certainly, even more so in times of crisis, invest loyal customers pay.
In this context, It should also clarify a concept. It is not the paper provides the customer, This provides the customer a product or service of high quality, or more generally a marketing proposal of value for the customer himself. The loyalty card is only a tool to recognize when the customer comes back and be able to identify and therefore give him those benefits that otherwise would be given "in the dark", without knowing how much that customer is worth to your business. In other words, the card allows you to make favorable conditions and communicate with customers in a targeted manner.
The data are used to talk specifically with the target, proposing offers that are not overcrowded but based on customer preference, based on its needs and studied on his past behavior. In this dialogue, "custom" the customer finds its satisfaction, and this supports his loyalty to a product or service quality, more in general to a Brand. Without the product or service quality, without the value perceived by the customer, The loyalty card is of little use.
To draw customers, today, the tools are so many. Meanwhile, there are business where the company has by definition Customer data. One example is that of the banks, rather than publishers that sell magazines subscription, rather than many online services, o le public utilities. In all these cases the database already exists, because customers give their data for the product or service. There is nothing left, then, that work and do the analysis of these data, placed in an appropriate form to do marketing analysis and then build a communication plan targeted, development of promotional products and that the targeted marketing strategy that goes into creating products and services for the segment of customers that matter most. In these cases, as well as actions on the existing customer base, become important actions for the engagement of prospects to convert into new customers, Additional.
So there are areas where the analysis is done because it allows the business to have the data. Much more disadvantaged are those sectors that must implement strategies to collect customer data. In many sectors using the instrument of plastic loyalty card; this in recent years has been gradually replaced by smartphones, the use of which allows a multiplicity of methods of use, from the image of the paper stored in the smartphone, RFID recognition through the telephone, the use of mobile app to bluetooth, or through the digital credentials of identification as may be username and password when the company reports to the customer via web-like instruments. The ways to identify the customer with technology are more and more, and generally it costs more and more acceptable for the company.
In summary, if the brand does not have direct data on its customers, It needs initiatives to track them. The main market players are investing heavily in recent years in both the construction of digital initiatives loyalty in both begin to analyze customer data.
From traditional paper you are then going to a world of services, with database management, creating promotional activities, the involvement of more and more consistent service providers innovative marketing.
It is also important to implement the continuous monitoring of customer loyalty. Measuring and monitoring the performance of customer loyalty is an established worldwide services and starts to become a widespread practice, although with other instruments, in industry. The importance of measuring the fidelity is very clear for the companies in Italy for several years.
In addition to Marketing, one of the areas strongly affected by trends just described is that of CRM (Customer Relationship Management). CRM includes among others the tools to do the data collection, analysis, and more in general the actions on the data which in turn are used for the marketing strategies addressed to individual customers. In a broader sense it is called CRM orientation to collect data on customer behavior and measure, thus a sort of "philosophy" of the company. CRM supports the philosophy of loyalty and fidelity to the company devoted uses advanced CRM tools.
As regards the future trends of this market, We have to start from a consideration. The crisis has made companies more attentive, because revenues do not grow, and it has stimulated even more to invest wisely in marketing choosing only those that give immediate feedback and results if not least measurable, and then a concrete return on investment.
Consequently, there is an increased focus, greater than in the past, for loyalty initiatives, for the direct initiatives on its customers and on those designed to acquire and maintain new customers.
In this scenario, one of the most advanced platforms currently available on the market, that allows you to manage in an evolved not only loyalty but the entire lifecycle of customer, dall'engagement to the set of all subsequent touch points, it's surely Kingdon.
The solution Kingdon is distributed exclusively in Italy by Bizando Srl.