tag:www.econsultancy.com,2008:/topics/coupons-vouchers-discounts Latest Coupons, vouchers & discounts content from Econsultancy 2016-12-02T14:27:26+00:00 tag:www.econsultancy.com,2008:BlogPost/68545 2016-12-02T14:27:26+00:00 2016-12-02T14:27:26+00:00 Five ways subscription box services can increase customer retention Nikki Gilliland <p><img src="https://assets.econsultancy.com/images/0008/1637/Customer_retention.JPG" alt="" width="650" height="289"></p> <p>So, how can subscription box services improve retention in the long-term?</p> <p>Here are five ways, as well as a few examples of the techniques in practice.</p> <h3>Offers for loyal customers</h3> <p>Most subscription services entice new users with delivery deals or a lower price for the first three months, and while this remains an effective acquisition strategy, an absence of incentives after this point is likely to be a big reason many jump ship.</p> <p>It’s no coincidence that people tend to cancel after four months – soon after most early offers expire. </p> <p>As a result, there needs to be more of a focus on offers built on loyalty.</p> <p><a href="https://econsultancy.com/blog/68525-how-birchbox-and-trendyol-approach-data-and-personalisation/" target="_blank">Birchbox</a> is one brand that delivers this, using its points program to drive retention. </p> <p>Customers can earn points with each box delivered, as well as when they review samples online. In turn, these can be traded for full sized products - a great incentive to stay signed up.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Finally used my <a href="https://twitter.com/hashtag/birchbox?src=hash">#birchbox</a> points and grabbed this <a href="https://twitter.com/hashtag/benefit?src=hash">#benefit</a> set <a href="https://twitter.com/hashtag/fotd?src=hash">#fotd</a> <a href="https://twitter.com/hashtag/instagram?src=hash">#instagram</a> <a href="https://t.co/yUCb3XLnSE">pic.twitter.com/yUCb3XLnSE</a></p> — LittleMissBeautyBox (@LMbeautyboxes) <a href="https://twitter.com/LMbeautyboxes/status/787941158861275136">October 17, 2016</a> </blockquote> <h3>Options to personalise content</h3> <p>Shorr’s survey found that one in five customers cancel a subscription service because they don’t like the products they receive.</p> <p>One way to combat this is by allowing people to tailor boxes to suit their own tastes. </p> <p>Graze does this with its choice of snack boxes, allowing customers to choose between ‘variety’, ‘light’ or ‘protein’. </p> <p><img src="https://assets.econsultancy.com/images/0008/1638/Graze_boxes.JPG" alt="" width="760" height="455"></p> <p>It also tells consumers about the snacks that are available, listing the nutritional values on its website.</p> <p><img src="https://assets.econsultancy.com/images/0008/1639/Graze_boxes_choice.JPG" alt="" width="600" height="603"></p> <p>While this tactic could negate the ‘surprise’ element that some customers enjoy, there are ways to get around it, such as asking about broad personal preferences and tastes.</p> <p>This could still deliver on the element of surprise, but ensure there is less chance of disappointment. </p> <h3>Flexible plans</h3> <p>Consumers might be reluctant about signing up to a subscription box service because of concerns over difficult cancellations in future.</p> <p>So while many brands might prefer to bury this information, being transparent and flexible on this issue could help to increase levels of trust.</p> <p>Dollar Shave Club is well-known for its personal, easy-going and <a href="https://econsultancy.com/blog/67434-four-brands-with-a-brilliantly-funny-tone-of-voice/" target="_blank">humorous tone of voice</a>, and this extends to how it reassures customers.</p> <p>Using ‘All reward, no risk” as its tagline, it’s encouraging from the start. </p> <p>Likewise, this kind of copy is littered throughout its website, reassuring customers that there are no commitments involved.</p> <p><img src="https://assets.econsultancy.com/images/0008/1640/Cancel_anytime.JPG" alt="" width="358" height="430"></p> <p>Pact Coffee takes this one step further by providing a number of flexible options around frequency and delivery.</p> <p><img src="https://assets.econsultancy.com/images/0008/1650/Pact.JPG" alt="" width="750" height="502"></p> <p>Allowing customers to pause or cancel orders at any time - it gives them the confidence that they are entirely in control.</p> <p>Likewise, the flower subscription service, Bloom &amp; Wild, uses its app to reflect the brand’s flexible approach.</p> <p><img src="https://assets.econsultancy.com/images/0008/1641/Bloom___Wild_app.JPG" alt="" width="780" height="268"></p> <p>As well as allowing users to keep track of orders, it also sends out reminders and special offers – similarly useful tactics for keeping customers happy and engaged.</p> <h3>Custom packaging</h3> <p>Shorr’s survey found that 76% of consumers would be very likely to notice custom packaging versus standard brown paper boxes.</p> <p>One in three have also shared an image on social media to show off a box’s packaging.</p> <p><img src="https://assets.econsultancy.com/images/0008/1646/Custom_packaging.JPG" alt="" width="660" height="307"></p> <p>So, along with the added bonus of inspiring <a href="https://econsultancy.com/blog/67547-10-excellent-examples-of-user-generated-content-in-marketing-campaigns/" target="_blank">user generated content</a>, unique or custom packing is also likely to further a positive response. </p> <p>Not Another Bill – a subscription service that sends out surprise gifts – is a great example of this.</p> <p>Reflecting the brand's premium nature, the box acts as an extension of the overall experience. </p> <p><img src="https://assets.econsultancy.com/images/0008/1647/Not_another_bill.JPG" alt="" width="750" height="446"></p> <p>Consequently, customers are often quick to shout about it on social.</p> <h3>Additional value through content or education</h3> <p>Alongside monetary incentives, customers are more likely to renew their subscription if they are receiving something of additional value.</p> <p>Wine subscription box service, Sip and Learn, uses education.</p> <p>Essentially, the longer a customer is subscribed for – the more they will learn.</p> <p>By using this as the basis for its business model, it means customers are unlikely to cancel before they have reached the end of the 12-box program.</p> <p><img src="https://assets.econsultancy.com/images/0008/1648/Sip_and_Wine_programme.JPG" alt="" width="780" height="533"></p> <p>Similarly, other brands aim to deliver value outside of what’s in the box.</p> <p>Beauty subscription services in particular tend to use <a href="https://econsultancy.com/blog/68205-how-three-beauty-ecommerce-sites-integrate-editorial-content/" target="_blank">online editorial content to engage customers</a>, using expert advice and tips and tricks to help them get the most out of the products, as well as extra content based on general beauty.</p> <p><img src="https://assets.econsultancy.com/images/0008/1649/Glossybox_blog.JPG" alt="" width="750" height="677"></p> <h3>In conclusion...</h3> <p>While attracting new customers is an important part of the subscription box marketing model, it's certainly not the key to success.</p> <p>Rather, it is vital that brands think about long-term strategy.</p> <p>By delivering extra incentives and increased value for loyal customers, cancelling will hopefully be the last thing on their minds.</p> tag:www.econsultancy.com,2008:BlogPost/68587 2016-12-01T14:56:00+00:00 2016-12-01T14:56:00+00:00 Black Friday & Cyber Monday 2016 ecommerce stats bonanza Nikki Gilliland <h3>Black Friday 2016 breaks US online sales records</h3> <p>Adobe has revealed that this year’s Black Friday shopping frenzy broke online sales records in the US, with $3.34bn being spent online and a 17.7% increase on sales last year.</p> <p>It also found that retailers who invested in mobile, email and social saw 30% more sales on average than those concentrating on just one or two channels.</p> <h3>Black Friday traffic up 220% on a normal day</h3> <p>Confirming the success of this year’s event is Qubit, which has analysed more than 50m visits from 120 UK and US retailers to discover how consumers reacted.</p> <p>The results show a huge increase in both traffic and revenue.</p> <p>When comparing Black Friday to a normal Friday, it found traffic was up 220%. Similarly, traffic increased 155% on Cyber Monday when compared to a normal sales day.</p> <p>The same goes for revenue, which was up 240% and 380% on the Friday and Monday respectively.</p> <h3>Lego is the top-selling toy</h3> <p>Adobe’s results from Black Friday show that Lego is still a hot favourite this festive season, with Lego Creator Sets coming out as the top-selling toy.</p> <p>This was closely followed by Razor electric scooters, Nerf guns, DJI Phantom Drones and Barbie Dreamhouse. </p> <p>With items under $300 being 20% more likely to sell out, this gives us a good indication of the toys parents need to snap up if they still want to get them in time for Christmas.</p> <p>The five bestselling electronics from Black Friday were Apple iPads, Samsung 4k TV’s, Apple’s MacBook Air, LG Televisions and Microsoft Xbox.</p> <p><img src="https://assets.econsultancy.com/images/0008/1970/Lego.JPG" alt="" width="536" height="345"></p> <h3>Travel companies see greater interest than in 2015</h3> <p>Data from Sojern shows that consumers spent more on travel this year than last, specifically taking advantage of Cyber Monday.</p> <p>On the Monday, there were 32% more searches for flights from the US compared to the week before. </p> <p>Similarly, while 2015 saw an increase in bookings of 9%, this Cyber Monday resulted in a jump of 21%.</p> <p>Out of the most searched for destinations, Italy, Japan and Colombia were in the top 10, while Canada, Haiti and US Virgin Islands were among the most-booked.</p> <h3>Consumers embrace mobile shopping</h3> <p>According to PayPal, Black Friday demonstrated the enormous growth of mobile shopping and its popularity with consumers.</p> <p>On Black Friday, one third of all PayPal payments were made on mobile devices, as PayPal handled $15,507 in payments per second.</p> <p>Cyber Monday resulted in similar activity, with PayPal seeing over 50% year-on-year growth in global mobile payments.</p> <p>Based on the data, it is also expecting more than 40% year-on-year growth in total payments.</p> <p><img src="https://assets.econsultancy.com/images/0008/1972/mobile_shopping.jpg" alt="" width="700" height="370"></p> <h3>Brits more confident in shopping on mobile</h3> <p>While results show that mobile overtook desktop as the most preferred shopping channel overall, data from ChannelAdvisor suggests that Brits are more at ease than US shoppers when it comes to following through on mobile purchases.</p> <p>Throughout the five-day sales period, 75% of shopping searches in the US took place on mobile devices, however, mobile accounted for less than one in two purchases.</p> <p>Meanwhile, despite the percentage of UK shopping searches on mobile platforms being slightly lower, more than three in five sales conversions took place on mobile.</p> <h3>1.2m app installs on Black Friday</h3> <p>Continuing the mobile trend, it seems there was a significant increase in retailers targeting consumers via mobile apps this year.</p> <p>According to Urban Airship, retailers sent 56% more holiday notifications in 2016 than in 2015.</p> <p><img src="https://assets.econsultancy.com/images/0008/1966/App_notifications.png" alt="" width="624" height="469"></p> <p>The big difference this year was retailers embracing targeting, with 88% of notifications being highly targeted to shopper’s locations, preferences and behaviours. Only 12% of messages were broadcast to everyone.</p> <p>The data also shows daily app installs averaged more than 696,000 per day in November, up 24% from the average daily rate in October. </p> <p>On Black Friday itself, there was a peak of more than 1.2m app installs.</p> <h3>Gilmore Girls generates more excitement than Black Friday on social</h3> <p>The latest data from Spredfast shows that there was a huge increase in noise around Black Friday this year, with the event racking up 2.4m mentions on social media - over 1m more than in 2015.</p> <p>However, insight suggests this could be due to more interactions on social overall, rather than direct interest in the shopping event.</p> <p>Despite Black Friday trending in many of these countries last year, the hotly anticipated return of Gilmore Girls, and the hashtag #GilmoreGirlsRevival, came out on top in France, Italy, New Zealand, Ireland and Germany.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">When everyone is hyped for black friday but you've been waiting 9 yrs for this day and it's because the <a href="https://twitter.com/GilmoreGirls">@GilmoreGirls</a> revival is today!!</p> — frayadawe (@frayadawe44) <a href="https://twitter.com/frayadawe44/status/802047855955505152">November 25, 2016</a> </blockquote> <h3>Rise in footfall to UK high streets</h3> <p>Springboard has analysed where UK consumers did their shopping on Black Friday, measuring both online sales and footfall in high streets and retail parks.</p> <p>It found that, while online transactions rose on Saturday by 1.9%, they had dipped by 5.5% on Sunday compared to last year. Footfall also dipped by 0.6%.</p> <p>In terms of the entire weekend, online transactions rose by just 2.3%. </p> <p>Footfall declined by 0.5%, however the 1.4% uplift in footfall to high streets apparently demonstrates the increasing importance of leisure-based trips to retail destinations.</p> <p><img src="https://assets.econsultancy.com/images/0008/1967/Footfall.JPG" alt="" width="780" height="176"></p> <p><em>For more on this topic, read:</em></p> <ul> <li><a href="https://econsultancy.com/blog/68432-black-friday-2016-how-are-uk-retailers-optimising-search-landing-pages/"><em>Black Friday 2016: How are UK retailers optimising search landing pages?</em></a></li> <li><a href="https://econsultancy.com/blog/68573-seven-examples-of-black-friday-email-marketing-from-retailers/"><em>Seven examples of Black Friday email marketing from retailers</em></a></li> <li><a href="https://econsultancy.com/blog/68577-the-whisky-exchange-increased-prices-on-black-friday-did-it-work/"><em>The Whisky Exchange increased prices on Black Friday: Did it work?</em></a></li> </ul> tag:www.econsultancy.com,2008:BlogPost/68577 2016-11-30T13:47:42+00:00 2016-11-30T13:47:42+00:00 The Whisky Exchange increased prices on Black Friday: Did it work? Nikki Gilliland <p>Well, kind of.</p> <p>Here’s a bit more on its campaign as well as a few reasons why it was one of the best around.</p> <h3>Taking a different tack</h3> <p>The Whisky Exchange’s campaign was borne out of the company’s own boredom with Black Friday.</p> <p>Which, if you’re subscribed to more than one or two <a href="https://econsultancy.com/blog/68573-seven-examples-of-black-friday-email-marketing-from-retailers/" target="_blank">retailer emails</a>, isn’t hard to relate to.</p> <p>Instead of doing the same thing as everyone else and pushing sales and discounts, it aimed to come up with an original idea that wouldn’t devalue the high-end nature of its product.</p> <p>The concept was to sell a discontinued whisky, the Glendronach 15 Year Old Revival, for 60% higher than it would when the spirit was widely available.</p> <p>Since being discontinued in 2015, it has been virtually impossible to find, and now regularly sells for over £100 in auctions. </p> <p>So, despite formerly selling on the site for £49.95, the Black Friday price of £79.95 actually turned out to be a bit of a bargain. </p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Our <a href="https://twitter.com/hashtag/BlackFriday?src=hash">#BlackFriday</a> deal is now live – <a href="https://t.co/n46pDdBE4I">https://t.co/n46pDdBE4I</a> <a href="https://t.co/wY5Ybh7U2K">pic.twitter.com/wY5Ybh7U2K</a></p> — The Whisky Exchange (@WhiskyExchange) <a href="https://twitter.com/WhiskyExchange/status/802059499833987072">November 25, 2016</a> </blockquote> <h3>Tapping into consumer demand</h3> <p>With a rather discerning customer-base of whisky fanatics, the retailer knew that many would jump at the chance to get their hands on the Glendronach Revival.</p> <p>And sure enough, it was right.</p> <p>Even limiting customers to one bottle per order, all 450 were entirely sold out by 6pm.</p> <p>What’s more, the retailer experienced a halo effect, resulting in double the orders from the previous day and online sales 25% higher than Black Friday 2015.</p> <p>With a good understanding of its customers, as well as the confidence to go against the grain of what other retailers were doing, it proved to be a successful tactic overall.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">A Black Friday gift to myself, a bottle of discontinued bottle of Glendronach 15 year old revival. Lovely! <a href="https://t.co/QT3Fb843Fa">pic.twitter.com/QT3Fb843Fa</a></p> — The Jedi Mantis (@TheJediMantis) <a href="https://twitter.com/TheJediMantis/status/803338183140380672">November 28, 2016</a> </blockquote> <h3>Short-term exposure, long-term gain</h3> <p>That being said, the response was not entirely positive.</p> <p>The Whisky Exchange received some poor feedback on its price hike approach, however, the majority of this stemmed from consumers dismissing the concept as a gimmick or simply missing the point. </p> <p>There were also a few accusations that the retailer has been hoarding bottles of the whisky merely to charge consumers more on Black Friday. Which, I have been assured, is untrue.</p> <p>Regardless, feedback was largely good. And like any disruptive campaign, the exposure and awareness it gained is sure to have outweighed any negativity.</p> <h3><strong>But was it just a PR stunt?</strong></h3> <p>Maybe this was part of the aim, but it was also quite clever in how it helped the company to win customer favour and build loyalty.</p> <p>Unlike a large fashion or technology retailer, The Whisky Exchange's core demographic is small and rather niche. </p> <p>Consequently, despite the fact that it also benefited the retailer in terms of increased exposure, it still provided the customer with something of real value.</p> <p>Combined with a humorous and subversive take on the whole Black Friday experience, it created something really quite memorable.</p> <p><img src="https://assets.econsultancy.com/images/0008/1899/Black_Friday_Whisky.JPG" alt="" width="760" height="406"></p> <h3>In conclusion…</h3> <p>According to the Whisky Exchange, it has no plans to repeat its Black Friday ‘price hike’ campaign – mainly because a joke is never as funny second time around.</p> <p>But it could inspire other retailers to go against the tradition or even just opt out in future.</p> <p>With the event appearing to get bigger each year, it’s always refreshing to see retailers think of an original approach.</p> tag:www.econsultancy.com,2008:BlogPost/68563 2016-11-25T14:29:12+00:00 2016-11-25T14:29:12+00:00 10 exciting digital marketing stats from this week Nikki Gilliland <p>Don’t forget to download the <a href="https://econsultancy.com/reports/internet-statistics-compendium" target="_blank">Internet Statistics Compendium</a> for further insight. </p> <h3>82% of young people unable to distinguish between news and native ads</h3> <p>Stanford University has found that young people show a surprising inability to decipher the type of information they find online.</p> <p>In a study on the behaviour of ‘digital natives’, it discovered that most were able to identify banner ads, however, 82% were unable to see the difference between a news article and native advertising.</p> <p>In fact, a number had no idea what ‘sponsored content’ even meant, leading to the suggestion that media literacy should be taken more seriously in schools.  </p> <h3>Black Friday spend predicted to surpass £1.1bn</h3> <p>Analysis from Captify suggests that <a href="https://econsultancy.com/blog/68557-how-uk-retailers-are-promoting-black-friday-online/" target="_blank">Black Friday 2016</a> will surpass last year's record spend of £1.1bn.</p> <p>Based on the analysis of 15bn online searches, it found an 11% jump in people searching Black Friday during the month of October compared to the same time last year.</p> <p>Two key trends have also emerged. </p> <p>The first is retailers offering huge discounts across a greater number of days, and the second is consumers researching as early as August to ensure they get the best deal.</p> <p>Taking both into consideration, it has been predicted that this year’s spend will blow last year’s record out the water. Be sure to come back next week to find out...</p> <h3>15% of consumers paying over the odds due to direct debit</h3> <p>New research from Echo Managed Services has found that direct debit payments are leading to a loss of consumer trust, with many paying out more than necessary.</p> <p>In a survey of 1,000 UK consumers, 15% were found to be spending more than they should.</p> <p>So why is this occurring?</p> <p>Poor customer engagement looks to be a big issue, with one in five receiving a higher than expected bill without any warning.</p> <p><img src="https://assets.econsultancy.com/images/0008/1768/Direct_Debit.JPG" alt="" width="656" height="421"></p> <h3>Online Christmas shopping sales already up from 2015 </h3> <p>Hooklogic has revealed the first round of ecommerce data from the 2016 Christmas shopping season.</p> <p>The results show significant growth from last year, with the amount of shoppers growing 13.8% YoY and conversion volume rising 1.8%.</p> <p>While the US election delayed proceedings for a while, the rebound was rapid, with a growth of 36.5% in ecommerce shopping on the Friday after results day.</p> <p>Hooklogic also found that mobile is becoming the device of choice for consumers, with a slight decline in desktop conversions overall.</p> <h3>People who share content are nine times more likely to buy</h3> <p>A new report by RadiumOne has found that consumers who click and share content online are nine times more likely than non-sharers to go on to buy.</p> <p>According the research, <a href="https://econsultancy.com/blog/67529-the-rise-of-dark-social-everything-you-need-to-know/" target="_blank">dark social</a> is a huge purchase driver, with 77% of converted shares originating from dark social channels compared to just 12% from Facebook.</p> <p>This suggests that brands should pay more attention to analytics that track non-public sharing, as well as offer incentives to the most active sharers.</p> <h3>43% of Christmas shoppers turn to Amazon</h3> <p>New statistics from Astound Commerce show that 43% of shoppers will buy their gifts on Amazon this year, demonstrating the retailer’s long-standing popularity.</p> <p>Despite this, a survey found that shoppers could be tempted elsewhere, but only if retailers rise to the occasion on a number of factors.</p> <p>65% of respondents said that better prices would sway them away from Amazon, while 46% cited special offers and promotions.</p> <p>Interestingly, only 29% say that on par or faster delivery times would prompt a purchase elsewhere.</p> <p><img src="https://assets.econsultancy.com/images/0008/1771/Amazon.jpg" alt="" width="750" height="499"></p> <h3>Shoppers aware of 9.3 brands at the beginning of path to purchase</h3> <p>When it comes to the path to purchase, consumers enter the journey with a very limited shortlist of brands - this is according to new insight from Quantcast.</p> <p>Research has revealed that shoppers tend to be aware of nine to 10 brands during the initial stages, before narrowing it down to consider just two or three.</p> <p>Finally, they will seriously consider one or two before making the final decision.</p> <p>However, only four out of 10 consumers are said to go on to buy from one of their shortlisted brands, with price, value and promotions being the strongest influences in changing their minds.</p> <p><img src="https://assets.econsultancy.com/images/0008/1766/Shortlist.JPG" alt="" width="780" height="247"></p> <h3>Marketers choose to represent diversity over brand messages</h3> <p>In a survey of 500 marketers in the UK, Shutterstock has discovered that many prefer to choose images that represent diversity in Britain today - rather than those that align with the brand message alone. </p> <p>Representing ethnic minorities and diverse communities is becoming an important priority for marketers, with 49% having used images relating to this in the past 12 months.</p> <p>Likewise, non-traditional family images are also becoming more popular, with 66% choosing these types of images over traditional ones.</p> <h3>Online search reflects growing demand for Hatchimals </h3> <p>New data from Hitwise has revealed the products that UK consumers have been searching for in the run up to Black Friday.</p> <p>As we reported a couple of weeks ago, Hatchimals retains the title of the most-searched for item, followed by the ever-popular Fitbit.</p> <p>There has also been a spike in searches for the term ‘Hatchimal in stock’, demonstrating the high demand for the toy.</p> <p>With Argos and Tesco recently announcing the appearance of more stock in stores, Hitwise recommends consumers move fast if they want to get their hands on it.</p> <p>Lastly, it is interesting to note that the PS4 Pro is making waves, now up three places to become the fourth most-searched for product.</p> <p><img src="https://assets.econsultancy.com/images/0008/1767/Hitwise.jpg" alt="" width="780" height="476"></p> <h3>Generation Z shops in-store an average of seven times a month</h3> <p>A new report by Shoppercentric suggests that Generation Z, or consumers aged between 15 to 24, are becoming a bigger priority for retailers. </p> <p>Interesting stats from the report include:</p> <ul> <li>Generation Z shop in-store around seven or eight times a month.</li> <li>62% of Gen Z agree that online shopping is a great way to prevent boredom.</li> <li>70% say that they often browse online with no intention of buying.</li> </ul> <p>For more analysis on this, read our article on <a href="https://econsultancy.com/blog/68554-how-retailers-are-targeting-generation-z/" target="_blank">how retailers are targeting Generation Z</a>.</p> tag:www.econsultancy.com,2008:BlogPost/68557 2016-11-24T10:00:00+00:00 2016-11-24T10:00:00+00:00 How UK retailers are promoting Black Friday online Nikki Gilliland <h3>AO.com</h3> <p>AO saw <a href="https://www.ft.com/content/52679ff2-9a2e-11e4-9602-00144feabdc0" target="_blank">record sales figures from Black Friday 2015</a>, and by the looks of it, it is banking on a repeat performance this year.</p> <p>Instead of simply focusing on Black Friday (and Cyber Monday), it is selling all week-long.</p> <p><img src="https://assets.econsultancy.com/images/0008/1721/AO.JPG" alt="" width="760" height="436"></p> <p>By describing the deals launched before Friday as 'earlybird', it sounds as though prices will drop further or more deals will appear as the week goes on - annoyingly, this is a little unclear.</p> <p>Regardless, it is promoting pretty heavily across social media, even going so far as creating its very own 'Black Friday Survival Guide' for consumers.</p> <p><img src="https://assets.econsultancy.com/images/0008/1722/AO_survival_guide.JPG" alt="" width="760" height="610"></p> <p>Despite last year's success, it has been suggested that Black Friday cannibalised AO sales from Christmas and New Year.</p> <p>However, with consumers being more likely to search for larger household goods now, we doubt it's much of a concern.</p> <h3>Argos</h3> <p>Argos isn't beating around the bush this year, extending its Black Friday event to a mammoth 13 days.</p> <p>Instead of counting down to the best deals, it is using a 'buy now' price promise to reassure customers that offers won't go lower until the entire event ends.</p> <p>However, when they're gone - they're gone.</p> <p><img src="https://assets.econsultancy.com/images/0008/1723/Argos_Black_Friday.JPG" alt="" width="760" height="374"></p> <p>Not stopping there - it is also using the additional tactic of bonus discounts, such as 25% off when you spend a certain amount on an item.</p> <p>With feverish promotion on Twitter, and one of the longest events out of all UK retailers, Argos could be in danger of alienating uninterested followers or cannibalising those Christmas sales at reduced prices.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Get this <a href="https://twitter.com/hashtag/AcerAspire?src=hash">#AcerAspire</a> with 4GB memory &amp; 1TB storage at our lowest price EVER this <a href="https://twitter.com/hashtag/BlackFriday?src=hash">#BlackFriday</a> <a href="https://t.co/B7EfpxEsOI">https://t.co/B7EfpxEsOI</a> <a href="https://t.co/rTIfbLayY7">pic.twitter.com/rTIfbLayY7</a></p> — Argos (@Argos_Online) <a href="https://twitter.com/Argos_Online/status/801433376720875520">November 23, 2016</a> </blockquote> <h3>House of Fraser </h3> <p>With sales up 40% last year compared to 2014, the event has traditionally been a success for House of Fraser.</p> <p>Once again it looks intent on capturing search interest around Black Friday - it has even optimised its H1 to incorporate the phrase.</p> <p><em>(Read more on <a href="https://econsultancy.com/blog/68432-black-friday-2016-how-are-uk-retailers-optimising-search-landing-pages/" target="_blank">how retailers are optimising landing pages here</a>)</em></p> <p><img src="https://assets.econsultancy.com/images/0008/1724/House_of_Fraser_H1.JPG" alt="" width="600" height="699"></p> <p>With healthy sales figures post-Black Friday last year, the department store's strong promotion appears to be effective.</p> <p>Running for six days, it is offering up to 50% off selected lines as well as new deals specifically for Cyber Monday.</p> <p><img src="https://assets.econsultancy.com/images/0008/1725/House_of_Fraser_flyer.JPG" alt="" width="760" height="447"></p> <p>The event hasn't overtaken all its current promotion either - it is still talking about Christmas and unrelated editorial content online - which means it's avoiding instilling the fear of 'buy now or never' into loyal customers.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Christmas is the all consuming season. The festive flurry is inescapable. Enjoy it. <a href="https://twitter.com/hashtag/ReadyorNot?src=hash">#ReadyorNot</a> Christmas is coming for you! <a href="https://t.co/LP3ZE0SRLf">pic.twitter.com/LP3ZE0SRLf</a></p> — House of Fraser (@houseoffraser) <a href="https://twitter.com/houseoffraser/status/794994514905669632">November 5, 2016</a> </blockquote> <h3>Body Shop</h3> <p>The Body Shop is promoting its 'wildest Black Friday yet' with a special 'bundle' deal.</p> <p><img src="https://assets.econsultancy.com/images/0008/1726/Body_shop.JPG" alt="" width="760" height="369"></p> <p>It allows users to get a selection of products worth £93.50 for just £35.</p> <p>It's a surprisingly enticing deal - in just one click of a button, all products will be automatically added to your basket with the discount applied.</p> <p><img src="https://assets.econsultancy.com/images/0008/1727/Bundle.JPG" alt="" width="760" height="420"></p> <p>Alternatively, consumers can take advantage of the 40% off code in the run up to Friday, when an abundance of top deals are expected to land.</p> <p>A retailer that tends to rely on loyal and regular shoppers as well as seasonal gift buyers - opting in to Black Friday is likely to be a positive move, as long as it doesn't overshadow the Christmas rush.</p> <h3>River Island</h3> <p>River Island's Black Friday landing page has some confusing copy telling shoppers that they are a 'little too early' to find deals, despite the fact it does appear to be partaking in the earlybird trend (a week of 'style steals').</p> <p><img src="https://assets.econsultancy.com/images/0008/1728/River_Island.JPG" alt="" width="760" height="403"></p> <p>Using daily deals in each category and the 'limited time only' tactic, it could whet customers appetites for the big day itself.</p> <p>Or, it could end up being a bit of a disappointment.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Shoe love is true love, don't miss today’s style steals! &gt; <a href="https://t.co/vgcXu4i4W3">https://t.co/vgcXu4i4W3</a> <a href="https://t.co/hO8O70FvqO">pic.twitter.com/hO8O70FvqO</a></p> — River Island (@riverisland) <a href="https://twitter.com/riverisland/status/801335674016321538">November 23, 2016</a> </blockquote> <p>Regardless, with Black Friday traditionally being seen as a way to get discounted technology and household items - it's interesting to see more clothing retailers take part.</p> <h3>Boots</h3> <p>Recognising that consumers are put-off shopping in-store during Black Friday madness, Boots is cleverly using an online-only tactic.</p> <p>Of course, there are in-store offers, however it is keeping a fairly hefty percentage for ecommerce orders.</p> <p><img src="https://assets.econsultancy.com/images/0008/1729/Boots.JPG" alt="" width="720" height="474"></p> <p>Building on the opportunity to capture online customer data - it's a good tactic for a retailer that is better known for its physical presence on the high street and <a href="https://econsultancy.com/blog/68371-why-travel-retail-is-big-business-for-beauty-brands/" target="_blank">travel retail </a>stores.</p> <p>Lastly, with excitement over its Christmas gift range generally beginning in December, it is using the sales bonanza as a nice jump off for festive-related advertising.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Get a Christmas ready smile with <a href="https://twitter.com/Philips">@Philips</a> DiamondClean toothbrushes. Offer ends 28 November - get yours now. <a href="https://t.co/ZPQO3ciSQH">https://t.co/ZPQO3ciSQH</a> <a href="https://t.co/tdNKPXCt2r">pic.twitter.com/tdNKPXCt2r</a></p> — Boots (@BootsUK) <a href="https://twitter.com/BootsUK/status/801161597427261440">November 22, 2016</a> </blockquote> <h3>Final points</h3> <p>While they are using some of the most interesting tactics, the aforementioned examples make up a mere snapshot of the retailers partaking in Black Friday 2016.</p> <p>Of course, there are those that are choosing to opt-out, such as Next and Asda, but most do seem to be getting in on the act.</p> <p>The main question is whether customers will embrace this year's trend for extended sales, or whether it will truly be overkill.</p> <p>Similarly, with questions raised over whether Black Friday deals are <a href="https://www.internetretailer.com/2016/11/21/black-friday-deals-uk-face-criticism-over-pricing" target="_blank">actually worth buying</a>, it remains to be seen how consumers will respond.</p> <p>Let the madness commence.</p> tag:www.econsultancy.com,2008:BlogPost/68540 2016-11-22T09:50:00+00:00 2016-11-22T09:50:00+00:00 How four UK retailers are giving consumers the ‘VIP’ treatment this Christmas Nikki Gilliland <p>In a survey of over 4,000 millennials , 57% were found to be willing to share information about themselves if it meant getting a better service in-store. </p> <p>Similarly, 47% of millennials would like retailers to know exactly who they are when they walk through the door, using location-based technology.</p> <p><img src="https://assets.econsultancy.com/images/0008/1601/Salesforce.JPG" alt="" width="720" height="395"></p> <p>While personalisation is becoming more prevalent across the board, a few retailers appear to be upping the ante this Christmas.</p> <p>Here are four recent examples I've come across.</p> <h3>Boots Emporium</h3> <p>Just in time for the festive period, Boots has launched an in-store Emporium to help position itself as the number one retailer for beauty gifts.</p> <p><img src="https://assets.econsultancy.com/images/0008/1584/Boots_emporium.JPG" alt="" width="670" height="448"></p> <p>Describing itself as a way to ‘immerse yourself in personalised beauty’ – it satisfies the customer in two ways.</p> <p>First, it delivers on personalisation in a literal sense, allowing you to customise gifts for friends and family. </p> <p>You can choose to get items engraved or select the make-up to go in a bespoke palette - an attractive prospect for people who want something a bit more special than a basic gift set.</p> <p>Secondly, it results in a more memorable shopping experience overall.</p> <p>Whether or not you actually buy anything personalised, the Emporium encourages you to experiment with trends and ask for expert advice.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr"><a href="https://twitter.com/fashionbellee">@fashionbellee</a> You've picked some gorgeous shades for your Makeup Obsession palette Sophie. We hope you liked our <a href="https://twitter.com/hashtag/BootsBeauty?src=hash">#BootsBeauty</a> Emporium</p> — Boots (@BootsUK) <a href="https://twitter.com/BootsUK/status/793082497756168192">October 31, 2016</a> </blockquote> <p>For customers, this one-to-one interaction with employees results in the sense that you’re being given the star treatment.</p> <h3>Selfridges' Elfridges</h3> <p>Selfridges has been big on aligning its <a href="https://econsultancy.com/blog/68034-how-selfridges-s-body-studio-blurs-the-lines-between-digital-in-store/" target="_blank">physical and digital presence</a> in 2016.</p> <p>It now looks intent on creating an extra special Christmas with a range of festive related experiences, including events such as an in-store pantomime and breakfast with Santa.</p> <p>Another big initiative is its ‘Elfridges’ service – a personal shopping option to help customers find the perfect gift. </p> <p><img src="https://assets.econsultancy.com/images/0008/1600/Selfridges_Christmas.JPG" alt="" width="600" height="565"></p> <p>Instead of promoting it as a premium or luxury service, Selfridges looks intent on reassuring customers that it is accessible for all.</p> <p>Described as a ‘complimentary service for lists both big and small’ – it’s a great example of how to give everyone the same level of treatment, regardless of budget.</p> <p>The service also extends to online, allowing users to ask for help via the dedicated Elfridges Twitter account.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Come visit us in all stores for gifting advice! <a href="https://t.co/keTMYBowSW">https://t.co/keTMYBowSW</a> <a href="https://t.co/O4nlqp6KBl">pic.twitter.com/O4nlqp6KBl</a></p> — Elfridges (@Elfridges) <a href="https://twitter.com/Elfridges/status/798163808141344768">November 14, 2016</a> </blockquote> <h3>John Lewis's VR experience</h3> <p>This year’s <a href="https://econsultancy.com/blog/68512-john-lewis-combines-tv-ad-with-snapchat-lens-and-email/" target="_blank">John Lewis Christmas advert</a> has already broken records for the most shares within an hour.</p> <p>Now the retailer wants to let fans become part of the story through an immersive VR experience, enabling users to feel like they are bouncing just like the famous Buster the Boxer.</p> <p>There are two ways to get involved – either by using Oculus Rift technology in-store or Google Cardboard and its accompanying 360 degree video.</p> <p>With technology allowing customers to experience something out of the ordinary, this is a great example of how to build on existing consumer interest to deliver even more value. </p> <p><iframe src="https://www.youtube.com/embed/wOPEWJN9gUw?wmode=transparent" width="854" height="480"></iframe></p> <h3>Wool and the Gang's Hand-made checklist</h3> <p>Salesforce found that 79% of consumers appreciate it when a retailer offers a complimentary promotion based on a previous purchase.</p> <p>Online retailer Wool and the Gang uses this technique as part of its email strategy, often targeting consumers with tailored deals.</p> <p>However, instead of sending out offers in isolation, I’ve noticed how the retailer tends to provide extra value for consumers by teaming it with seasonal content. </p> <p>One example is a recent email promoting its downloadable holiday checklist – a fun piece of marketing material in its own right.</p> <p><img src="https://assets.econsultancy.com/images/0008/1599/Wool_and_the_Gang.JPG" alt="" width="600" height="539"></p> <p>However. on the bottom of the email was also a 25% off discount code for online orders, which ramps up the (surprise) value for customers.</p> <p><img src="https://assets.econsultancy.com/images/0008/1594/25_percent_off.JPG" alt="" width="300" height="394"></p> <p>With the prediction that consumer expectations will continue to rise for future generations, personlisation won't just be a tactic used at Christmas-time.</p> <p>As technology improves, we could be in for VIP treatment all year round.</p> tag:www.econsultancy.com,2008:BlogPost/68341 2016-09-30T11:45:00+01:00 2016-09-30T11:45:00+01:00 Reimagining customer loyalty: Why it's about more than just a store card Ben Pask <p>It comes as no surprise, as macro-economic forces drive customers to seek better value in some of the more considered purchases they make each day.</p> <p>However there are indications that the market for loyalty scheme membership, is reaching <a href="http://www.telegraph.co.uk/finance/personalfinance/money-saving-tips/11912823/Shoppers-waste-6bn-of-loyalty-reward-points.html">saturation</a>.</p> <p>How can it be the case that one person can amass 16 loyalty cards, and not redeem any points?</p> <p>Both halves of that sentence seem a little bonkers to me, but perhaps the way that the marketing industry imagines loyalty to be, isn’t solving the problem it’s trying to fix.</p> <p>Before going into detail on whether loyalty schemes work or not, it’s worth defining what we mean when we say loyalty.</p> <p>True loyalty considers two important elements: A positive attitude and repeat patronage towards a brand.</p> <p> <img src="https://assets.econsultancy.com/images/0007/9587/Dick_and_Basu.png" alt="Dick and Basu on Loyalty" width="359" height="218"></p> <p>To understand how to create loyalty, we need to understand where it comes from.</p> <p>In a recent piece of research, it was identified that the drivers of customer loyalty are ‘brand likeability’, ‘delivering on brand promise’, ‘product quality’ and ‘ease of use’.</p> <p>Four in five customers <a href="https://www.marketingweek.com/2016/07/13/are-loyalty-schemes-broken/">identified these elements</a> as important in driving customer devotion.</p> <p><img src="https://assets.econsultancy.com/images/0007/9586/Chart_-_drivers_of_customer_loyalty.png" alt="Drivers of customer loyalty" width="549" height="326"></p> <p>A good example of creating customer loyalty through these drivers <a href="https://erply.com/case-study-how-you-can-copy-nordstroms-secrets-to-massive-retail-success/">comes from Nordstrom</a>. The retailer is synonymous with excellent customer service.</p> <p>The culture of a customer-first approach to loyalty is apparent through the company's DNA - with all staff embodying the three core standards:</p> <ol> <li>Why the service is of value (why we’re doing this in the first place).</li> <li>The emotional response the customer should feel.</li> <li>The expected method for accomplishing the service in question.</li> </ol> <p>With these three standards in place, employees are empowered to create great customer experience, by any means possible.</p> <p>This helps achieve some of the main components that drive loyalty - ‘quality’, ‘ease of use’, ‘likeability’ and ‘delivering on brand promise’.</p> <p>Nordstrom is successful because every decision is about encouraging an emotional response from the customer, simply to make them feel good.</p> <p><iframe src="https://www.youtube.com/embed/NTqBhdUnisI?wmode=transparent" width="640" height="360"></iframe></p> <p>This is a key differentiator compared to many of the traditional rewards programs we see today, with their points and discounts providing benefits that are easy to rationalise.</p> <p>By focusing on the emotional reaction and feeling of the customer Nordstrom makes loyalty a culture, not a route to market.</p> <p>There is a case for reimagining what loyalty means in categories that are associated with low involvement. Take Insurance as an example.</p> <p>David Moth’s <a href="https://econsultancy.com/blog/68273-is-customer-loyalty-extinct-in-financial-services">assessment of the Insurance category</a> presented some anecdotal evidence of a category struggling to get to grips with market forces beyond their control, leading to the commoditization of service through price comparison sites and new apps on the market.</p> <p>In such categories, brands need to consider the value they create, as opposed to the value they offer.</p> <p>One powerful example of this comes in the form of Oscar, a health insurance provider in the US. Oscar promises its customer hassle free insurance with personalised tariffs.</p> <p><iframe src="https://www.youtube.com/embed/eBNEKu-dH3Q?wmode=transparent" width="640" height="360"></iframe></p> <p>By issuing out wearable tech Oscar incentivises healthy behaviours and adjusts the insurance premiums it offers to customers based on their behaviours.</p> <p>Oscar has gained a name for itself by focusing on the implicit drivers that create loyalty.</p> <p>As highlighted in a recent <a href="https://econsultancy.com/reports/understanding-the-customer-journey/">Econsultancy report</a>, one of the biggest barriers to CX success is a lack of understanding of the customer journey.</p> <p>To understand what loyalty means, brands need to go back to understanding their customers' needs (“what is most important to me”), motivations (“why is this important”), and finally behaviours (“what am I doing when…”).</p> <p>Again perhaps one of the pitfalls of the way loyalty is imagined in many marketing departments is the lack of psychographic and attitudinal data to augment behavioural data such as customer lifetime value, frequency of purchase, etc.</p> <p>Don’t get me wrong, loyalty schemes have their role and have proven to be effective for some brands.</p> <p>The problem with brand behaviour around loyalty schemes is that there is often an assumption that ‘doing a loyalty’ scheme will magically paper the cracks of a poor brand experience.</p> <p>This, coupled with the idea that many marketing departments attempt to copy-paste the approach of others, leads to market filled with ‘me too' propositions.</p> <p>To do loyalty right requires a customer-first culture that flows through the business, which requires more than a store card.</p> <p>As people, we are only limited by our own imaginations when we think about loyalty, and perhaps the industry needs to readdress what loyalty means to them.</p> tag:www.econsultancy.com,2008:BlogPost/68058 2016-07-12T14:51:07+01:00 2016-07-12T14:51:07+01:00 Has Amazon Prime Day 2016 made up for 2015’s #PrimeDayFail? Nikki Gilliland <p>Despite some initial fanfare, social media was soon flooded with complaints about laughable discounts and naff products, with consumers gleefully using the hashtag #primedayfail to highlight everything that went wrong.</p> <p>Today, the sales event is back, with Amazon promising even more bargains to tempt consumers.  </p> <p>But has Amazon learnt from its mistakes? Here’s the situation so far…</p> <h3>Who’s eligible?</h3> <p>The clue is in the name. The biggest and best deals are only available to Prime members. </p> <p>With last year’s event resulting in the most Prime sign-ups in a single day (and a subsequent 19m US subscribers since) – the event is clearly just a vehicle to grow Amazon's member base.</p> <p>For regular consumers, this has the power to repel rather than pull people in, especially since the retailer has been intent on hammering home the ‘exclusive’ message on all its main email, website and social media copy.</p> <p><img src="https://assets.econsultancy.com/images/0007/6950/exclusive.PNG" alt="" width="700" height="218"></p> <p>It has to be said, there are <em>some</em> deals accessible to all, but they are extremely limited and very hard to find.</p> <p>It took a good few minutes for me to figure out that the ‘Featured Prime Day’ savings were eligible to me (a non-member).</p> <p>And let’s be honest, they’re far from exciting. (Unless vitamins and minerals are your thing...)</p> <p><img src="https://assets.econsultancy.com/images/0007/6942/prime_day_deals.PNG" alt="" width="780" height="243"></p> <p>Ironically, if you’re not a Prime member, you’re the consumer that Amazon probably cares about the most today.</p> <p>However, its heavy-handed targeting means that you might feel more inclined to avoid the whole thing rather than tempted to sign up. </p> <h3>Social promotion</h3> <p>If you follow Amazon on any of its main social media channels, you’ll have seen its attempts at building excitement around the event. </p> <p>A series of countdown tweets and Facebook posts means that the event has been well signposted and cleverly executed.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Only 5 days to go!<a href="https://t.co/pRdR7iWm6z">https://t.co/pRdR7iWm6z</a> <a href="https://t.co/6O9TMNVmmD">pic.twitter.com/6O9TMNVmmD</a></p> — Amazon.co.uk (@AmazonUK) <a href="https://twitter.com/AmazonUK/status/751113558352691200">July 7, 2016</a> </blockquote> <p>While the Facebook ads are slick and well-designed (with a simple and effective call-to-action for a free trial on the main site), the fact that it's so heavily geared around exclusivity surely means that non-Prime members are likely to ignore it.</p> <p><img src="https://assets.econsultancy.com/images/0007/6945/facebook_prime_day.png" alt="" width="550" height="588"></p> <p>In terms of emails, I only received one on the morning of the event itself.</p> <p><img src="https://assets.econsultancy.com/images/0007/6946/Amazon_email.PNG" alt="" width="780" height="522"></p> <p>Instead of promoting the discounts, I did find it slightly off-putting that it only showcased the products – an obvious attempt to get consumers to click through to learn more.</p> <p><img src="https://assets.econsultancy.com/images/0007/6947/Amazon_email_deals.PNG" alt="" width="600" height="772"></p> <p>Whether or not that click converts to a purchase, again, probably depends on Prime membership status.</p> <h3>The discounts</h3> <p>One of the biggest complaints from consumers last year was that the biggest discounts were not properly promoted on the site.</p> <p>Eventually, it emerged that Amazon used a broad algorithm to select the deals, leading to a lot of random items such as tupperware and dishwasher detergent.</p> <p>This year, it’s not entirely clear how it’s been set up, but according to a company spokesperson, Amazon has ‘increased the number of deals and at the same time, increased the volume of inventory behind those deals.’</p> <p>With a dedicated homepage, showcasing a variety of categories and filter options, there is a clear attempt to give the user greater direction.</p> <p>Navigation is simple, with good signposts to point customers in the direction of 'deals ending soon' and 'recommended deals'.</p> <p><img src="https://assets.econsultancy.com/images/0007/6949/amazon_homepage.PNG" alt="" width="780" height="654"></p> <p>In terms of savings, there does appear to be a decent amount of products on offer, with the best being discounts being on electronics and home appliances.</p> <p><img src="https://assets.econsultancy.com/images/0007/6939/prime_day_deals_tech.PNG" alt="" width="780" height="481"></p> <p>However that algorithm must be working its evil magic again... I also spied far too many irrelevant items for my liking.</p> <p><img src="https://assets.econsultancy.com/images/0007/6941/Amazon_deals.PNG" alt="" width="780" height="510"></p> <h3>In conclusion...</h3> <p>It’s probably too early to say for sure if this year’s Prime Day has been any more successful than the last.</p> <p>While clearly an attempt to bag even more Prime memberships, what the retailer fails to realise is that the hype might do more to put people off than draw them in. </p> <p>Similarly, there's already an amusing amount of social media backlash, so Amazon clearly hasn't done much to sort out that algorithm issue.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Thanks <a href="https://twitter.com/amazon">@amazon</a>! This is just what I needed! <a href="https://twitter.com/hashtag/PrimeDayFail?src=hash">#PrimeDayFail</a> <a href="https://t.co/mIiNUs4l6u">pic.twitter.com/mIiNUs4l6u</a></p> — Martin Untrojb (@MEUntrojb) <a href="https://twitter.com/MEUntrojb/status/752805002884898820">July 12, 2016</a> </blockquote> tag:www.econsultancy.com,2008:BlogPost/67841 2016-05-17T14:23:46+01:00 2016-05-17T14:23:46+01:00 As consumers clamor for good deals, discount strategy becomes key for retailers Patricio Robles <p>According to <a href="http://hitwise.connexity.com/05.09.2016_DealSeekingInspire_CD_US.html">a report</a> published by Hitwise, which we must also note is a division of Connexity, one in every 300 searches contains a bargain hunting keyword like <em>sale</em>,<em> coupon</em>, <em>deal</em>, <em>rebate</em>, <em>bargain</em>, <em>discount</em> or <em>clearance.</em></p> <p>Furthermore, these searches have increased by 40% in the past year alone.</p> <p><img src="https://assets.econsultancy.com/images/resized/0007/4913/dealsearches-blog-flyer.png" alt="" width="470" height="283"></p> <p>Approximately 60% of these searches originate on mobile devices, evidence of the fact that mobile devices are influencing consumers' offline shopping behavior.</p> <p>Not surprisingly, many coupon-related searches are branded, a reminder to retailers that many consumers are still in play even after they walk into their stores.</p> <p><img src="https://assets.econsultancy.com/images/resized/0007/4912/brandcouponsearch-blog-flyer.png" alt="" width="470" height="313"></p> <p>Interestingly, Hitwise's data reveals that many deal-seekers aren't undesirables that retailers would want to shun.</p> <p>60% of them are women, nearly half have a college degree, and well over a third have an annual income of $100,000 or more.</p> <p>In fact, these six-figure earners are 19% more likely to search for coupon codes.</p> <h3>Implications for retailers</h3> <p>Retailers shouldn't ignore growing consumer demand for a good deal.</p> <p>As more and more consumers become more savvy and comfortable using their mobile phones, retailers that don't respond risk losing sales to retailers that do respond.</p> <p><strong>So what can they do?</strong></p> <p>Obviously pricing strategy is key. Research suggests that younger consumers are <a href="https://www.entrepreneur.com/article/253582">among the most sensitive</a> to price, and Hitwise says Gen Xers and millennials are the most likely to search for coupon codes.</p> <p>Retailers should address these and other price-sensitive customers directly.</p> <p>Tools like <a href="https://econsultancy.com/blog/10894-best-buy-fights-showrooming-with-online-price-match">price matching</a>, <a href="https://econsultancy.com/blog/66128-consumers-demand-experiential-rewards-from-loyalty-programs">loyalty programs</a>, <a href="https://hbr.org/2015/03/price-sensitive-customers-will-tolerate-uncertainty">uncertainty</a> and rebates can be incorporated into pricing strategy and employed in a targeted fashion to reach specific customer segments.</p> <p>When offering deals, retailers also need to make sure that they <a href="https://econsultancy.com/blog/66984-how-to-get-the-most-out-of-your-online-coupon-campaigns/">get the most from their campaigns</a>.</p> <p>This includes ensuring that discounts are promoted properly on their websites and to customers via targeted emails. Retailers should also ensure that they're not overlooking affiliate channels and third-party services that aggregate coupon codes.</p> <p>The good news is that with smart strategy and good execution, retailers can not only please the bargain hunters in their existing customer ranks, but possibly also drive new customer acquisition.</p> <p>According to Hitwise, those who search for coupon codes are 19% more likely to shop at a store they don't frequent based on a sale, and they're 23% more likely than average to identify themselves as a source of purchasing advice to the people around them.</p> tag:www.econsultancy.com,2008:BlogPost/67731 2016-04-11T14:27:17+01:00 2016-04-11T14:27:17+01:00 Think affiliate marketing doesn’t work for luxury brands? Think again Chris Bishop <p>But no longer. Affiliate marketing has truly come of age.</p> <h3>Isn’t affiliate just voucher codes?</h3> <p>This is not just about voucher codes, cashback and last-click for advertisers, this is part of a holistic approach to digital advertising that promises real and sustained ROI for high-end brands.</p> <p><img src="https://openmerchantaccount.com/img2/whoaretheaffiliates.jpg" alt=""></p> <p>The modern managed affiliate programmes use sophisticated groups of content publishers, including mainstream “offline” publishing houses such as Condé Nast.  </p> <p>This is performance marketing through deep partnership, levered via tenancy, editorial, blogging, email and (yes) incentives like voucher codes or cashback. </p> <p>Partnerships with high volume and niche sites that can deliver the kind of primed-to-buy, long tailed traffic available nowhere else.</p> <h3>Are you at risk of losing control of your message?</h3> <p>No, but…</p> <p>For years affiliate networks and technology companies used the size and scale of the channel as a key selling point, promising brands access to tens of thousands of affiliates.  </p> <p>Given that they worked on tracking fees based upon revenue generated by activity, who can blame them? </p> <p>However, this wasn’t what luxury or designer retailers, already nervous about losing control of their brand’s messages, wanted to hear. </p> <p>Only now, with dedicated, digital agencies selling these solutions as part of a wider media strategy, are brands being given the whole picture.</p> <p>When properly managed, affiliate marketing allows brands to deliver relevant messages to highly-targeted customer segments.  </p> <p>But it’s the size and scale of the networks that makes this targeting possible in the first place.</p> <h3>But isn’t luxury all about exclusivity?  </h3> <p>Why would luxury brands want their valuable name bandied about on affiliate channels with everyone else’s?</p> <p><img src="https://openmerchantaccount.com/img2/chriscarcollection.jpg" alt=""></p> <p>Success in the digital age requires a change in mind-set for luxury brands as customers’ buying cycles accelerate and competition stiffens in every part of the market place.  </p> <p>No longer can scarcity be the strongest value in a luxury brand's armoury, as the array of choice and quality available elsewhere can fill any sales vacuum.  </p> <p>Instead, luxury today is defined by desirability, product excellence, exemplary service and, fundamentally, a brand promise.</p> <p>And affiliate channels are exactly where a brand’s promise, desirability, service and excellence are defined for its target audience.  </p> <p>They are key to the continued success of luxury brands in the digital age and are proven to send ready-to-convert customers direct to online stores.   </p> <h3>Luxury is talked about and bought online more than ever</h3> <p>Deloitte says that 58% of UK millennial luxury consumers buy their luxury goods online. What’s more, 85% of luxury consumers regularly use social media.</p> <p>According to Google one in five luxury purchases happens on the web.</p> <p>And participating in high profile online retail events like Black Friday and Cyber Monday clearly doesn’t dim the lustre of a luxury brand or cannibalize their full-price sales.</p> <p>In 2015 our client NET-A-PORTER saw Black Friday was its highest day for sales that year, with one item sold every second on its website. </p> <p>What’s more, offering deals and vouchering is not regarded as damaging to luxury brands’ reputation by consumers.  </p> <p>In fact, these luxury customers were four times more likely to be searching for deals on Black Friday 2015 than non-luxury customers (Experian).</p> <h3>Do affiliate tactics really deliver incremental sales to luxury brands?</h3> <p>Yes, they do.</p> <p>One of our retailers had always assumed cashback websites would only reach customers already on its files and has little effect on overall profit. We helped them prove otherwise.  </p> <p>A tactical trial conducted with Quidco for the brand found that 86% of consumers that bought their products via the publisher during the trial were “new to file” and their average order value was much higher than the norm.</p> <p><img src="https://openmerchantaccount.com/img2/shopstylesolacelondon.jpg" alt=""></p> <p>For another fashion retailer, working with affiliates achieved over 300 pieces of content coverage in a three-month period which, in turn, contributed to content websites driving 50%+ of the brand's affiliate revenue.</p> <p>Affiliate channels have proved, time and time again, to bring new customers and incremental sales to the table for every kind of brand, particularly those at the very top end of their sector.</p> <h3>Who else is using affiliates?</h3> <p>The roll call of brands that are using the affiliate channel as part of the marketing mix is impressive – Agent Provocateur, Barneys New York, Burberry, Liberty London, NET-A-PORTER to name a few.</p> <p>But if the affiliate channel was just about vouchers and cashback, they wouldn’t be using it.</p> <p>These brands know the value of curated conversation and content-led buzz to their brand; they are finding new and exciting ways to engage through affiliate marketing.  </p> <p>Crucially, they are realising that careful planning, targeted partnership and innovative execution ensures the biggest ROI alongside an extension of digital PR.</p> <h3>The lessons of affiliate marketing</h3> <ul> <li>Luxury affiliate marketing is happening... if you’re not doing it, you’re already losing out.</li> <li>Luxury consumers are savvy, switched on and impulsive – take advantage of that.</li> <li>Be led by the data and use experts to help you execute the highest quality campaigns.</li> <li>Choose who manages your affiliates carefully – your brand’s success will live or die by their experience both within wider digital marketing, the specific affiliate channel and naturally their knowledge of your brand / sector.</li> </ul>