How to turn 3 Forrester predictions into your 2018 promotions strategy
Jul 18, 2022
3 minutes to read
It's crucial that your business delivers an A+ customer experience in order to succeed. But how do you make it happen?
To help you get started, we have collected some killer promotion tactics inspired by Forrester's 2018 Retail Predictions.
The key to successful retailing in 2018 is obsessing about the customer experience. -Forrester
Unfortunately, most businesses fail to realize the full potential of their promotions. By developing a targeted strategy and using your data to trigger campaigns based on customer behaviour, you can deliver this winning experience. Simply giving 10% discounts to all customers will lose you money and go unnoticed by customers.
Below are some powerful promotion tactics to support each prediction.
1. Customer's Needs Are #1
US retail will grow, and digital will influence over half of US retail sales. We forecast that US online retail sales will comprise approximately 14% of total US sales in 2018, and, more to the point, that digital touchpoints will in some way impact more than half of total US retail sales -Forrester
The Takeaway: Focus on improving the customer experience at every digital touchpoint and create targeted promotions for every stage of the customer lifecycle. Collect the right customer data to deliver a personalized and meaningful experience.
Per Product Discount: Optimize delivery and shipping experience for customers, build a discount program that offers free shipping for all orders placed over X amount, orders to certain billing addresses, or after X number of purchase of a specific product.
Customer Support Coupon: If customers have a bad experience, offer 50% “Sorry Coupon” and fix the issue right away. To provide the best service, have your Customer Support agents issue coupon codes on the fly to compensate for the bad experience and keep a positive relationship with your brand.
2. Online Grocery Will Grow - You Must Adapt
Online grocery will finally become real for consumers. The $800-plus billion US grocery sector will continue to see lots of activity in 2018. These significant moves also will bolster how consumers perceive and adopt online grocery shopping in the next 12 months. -Forrester
The Takeaway: Like grocery shopping, you want customers to think of your brand between purchases. Coupons are a great way to achieve this and are a proven tactic in the grocery industry. With digital coupons, don’t waste your budget by giving every customer the same coupon, instead, you can deliver granular promotions to every customer segment.
Coupons: Coupons for specific items or categories should be delivered to the right customer segments at the right time to fully optimize your promotion costs. For example, stay top of mind while adding value by giving 5€ off health products during allergy season or suggesting relevant products.
Product Bundling: Offer customers a free product or give a discount on a related service to provide added value like a discount on sunscreen if they have searched for sunglasses or beach apparel. Target customers who make regular purchases with a smaller basket size to increase purchase frequency.
Get Ahead Of The Loyalty Game
Shoppers will look for far more than points and offers — so the savviest retailers will offer meaningful rewards that create deep emotional loyalty, steaming ahead of competitors still stuck on these currencies. (...) Cultivate emotionally loyal customers, not bargain hunters. -Forrester
The Takeaway: Focus on building a long-term relationship with customers and provide truly meaningful experiences whenever possible. Loyalty programs can take many shapes, but be sure to offer benefits tailored to your customer's behaviour.
Tiered Loyalty Program: Offer exclusive rewards or access to certain products or events available only to customers within certain tiers. Encourage engagement by clearly outlining the explaining the benefits that customers can achieve at each level of the program.
Card Club Program: Ask customers to join a VIP program offer meaningful rewards only available to VIP members. Target loyal customers who make regular high-value purchases and make them feel special to increase brand affinity.
In 2018, businesses that are truly customer-centric and optimize every aspect of their customer’s experience will see success.
If you still aren't sure how to make that happen, try sending targeted promotions to your customers.
When executed correctly, the right promotions strategy will increase sales, drive customer engagement and improve brand loyalty.
If you have the right promotion solution in place, targeted, personalized and secure promotional campaigns can easily be easily implemented and executed by both marketing and development teams.
Get in touch to find out how Talon.One can help your business get started with promotions today.
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