Digital Games & Loyalty Programs: Why The Two Go Well Together?
It’s both a scientifically proven fact and common sense: people prefer to deal with businesses that give them free stuff over those who don’t. The 2017 Mobile Royalty Report revealed that 62% of consumers in the U.S. make more purchases as a direct result of joining a mobile loyalty program. The most frequently used programs are those that offer a high range of quality rewards. If your business has a loyalty program in place as it should have, then consider introducing digital products as rewards. Read on to find out why.
What is a customer loyalty program?
Customer loyalty program is a purchase incentive that provides value to your customers if they use your services or buy your products more than once. The objective is to keep your clients for the long term by gaining their loyalty (hence the name). The simplest example is a “spend-and-earn” model, e.g. a punch card you get during your first visit to a new coffee shop. If you keep coming back to this place, you’ll eventually gather enough stamps to get a free coffee. Punch cards may be a good solution for small brick-and-mortar businesses, but if you want to build a good loyalty program for a successful retail enterprise, then you will need to try harder. A loyalty program that people will gladly use should offer a few levels of initiation and a variety of rewards, like coupons, discounts and gifts.
Why do you need loyalty program?
A one-word answer is retention. On average, keeping current customers costs 5 times less than attracting new ones. Loyalty programs have the power of turning casual clients into engaged brand advocates.
A thought-through loyalty program can not only earn you devotion of your current clients, but also if marketed right, it can help you find new ones. It can cut your advertising costs, especially if you have a price sensitive target audience. Ask yourself: what’s the reasoning behind your customer’s choice to buy from you instead of your competition. Is it because your brand offers unique quality and is associated with prestige, or because they can get a better deal from you? If the latter is true, then you definitely need a loyalty program.
No matter if you already have a loyalty program, or you’ve just decided to get one, you should consider enriching your rewards range with digital games.
Why digital games are a perfect choice for loyalty program reward?
At least 30% of your clients are gamers!
Percent of clients who play games varies from field to field. If you sell electronics and entertainment-related products, this score can go up even to 90%! After all, according to Newzoo, there are at least 2.3 billions of gamers in the world. Games will probably be the most frequently chosen rewards in your loyalty program.
It’s both an item and experience
Providing someone with an entertaining experience is the best strategy if you wish to be remembered as a giver. Giving out items as rewards is also a nice gesture, but less impactful, since people quickly get used to the things they own. Luckily, video games are both an experience and a gift. A game provides highly immersive entertainment that keeps players hooked for long hours, and it’s a great addition to your clients’ Steam, GoG or Uplay collection.
Variety is the spice of l… oyalty programs
In research conducted by Collinson, 82 percent of respondents said loyalty programs would be better if they offered a more varied catalogue of rewards. Luckily, there are thousands of games and CodesWholesale has most of them. With over 4000 digital games available at hand, your loyalty program could significantly stand out from the competition.
No matter if you have a brick-and-mortar store or an online one, the digital delivery of loyalty program rewards will save you a lot of money and effort. Game keys are delivered via email directly to the end customer thanks to the API technology. You could also print out the key on a receipt or make it available for download in your mobile app. With digital products, the possibilities are endless.
No stocking up in advance
A distribution method known as digital dropshipping is one of the greatest benefits of digital products. Your client pays for a game in your store, and the key is instantly delivered to his or her mailbox. This means that customers can choose a reward from a vast catalogue of over 2000 games, and you don’t need to buy the keys in advance.
Big price range
With a wide price range, you can prepare a complex reward strategy. Game keys can be given out as rewards for members on all levels of initiation in the loyalty program. You can offer cheaper indie games to beginners and AAA titles to those who gathered the most points. When a client can’t wait any longer to collect enough points to get the game for free, give them a discount. If you play it right, games sold with a discount to impatient members of your loyalty program might become another source of revenue for your business.
Innovative and eco-friendly
No warehouse space, no packaging, no transport costs or by-products – all that makes digital games the most eco-friendly option out there. The keys can be redeemed anytime and from anywhere in the world. It’s convenient both for you and the client.
In collaboration with CodesWholesale, you can enrich your loyalty program with over 2000 video games without any risk. Membership is completely free. Thanks to the API, you pay only for the keys that were given out to customers. There’s no contract or term commitment so you can try it out and stop anytime.
Customer loyalty programs are all the rage lately both in eCommerce and physical retail. If you downloaded every loyalty app that companies you occasionally deal with are offering, then you’d have to buy a second smartphone with extra storage to keep them all. Same goes for punch cards – one wallet wouldn’t be enough. That’s why you need to make your program stand out by offering rewards that people really appreciate. Video games could be a refreshing change or a perfect addition to your loyalty program. Try CodesWholesale – with us, you have nothing to lose.
About the author
- Content specialist and gaming enthusiast. Trained to be a philosopher. Interested in Deep Learning, scalability and startups.