Gamification – Fun induced Loyalty engagement!

Loyalty programmes rewarding shoppers for spend is nothing new, reward spend and they are likely to interact with your company or product, but why just focus on rewarding spend behaviour? Why not look at rewarding other behaviour, such as engagement with your brand.

 

Well, that’s what gamification is all about. Brands are now looking to treat engagement as an entirely different currency and reward consumers for consistently interacting with their brand, through the use of clever reward systems and games.

 

What is gamification?

Gamification is the application of game features, mainly video game elements, into non-game context for the purpose of promoting motivation and engagement in learning. It’s often used alongside achievements, status and rewards to try and drive specific behaviour.

Often inspired by the Endowed Progress Effect, meaning there is some type of artificial advancement toward a goal, or more often now, a tangible reward where the participant will be more motivated to complete the goal.

 

How can gamification amplify my loyalty scheme?  

There are series of benefits which gamification can bring to your scheme when implemented properly:

 

Retention

As a rule of thumb, consumer retention costs around 4-6 times more than customer acquisition making it a profitable and worthwhile endeavour, and gamification has one of the biggest impacts on ensuring your customer/employee will return to engaging with your brand. Through the completion of challenges, consumers can earn rewards which keeps them both satisfied and entertained, plus you can use the system to unlock points to reveal discounts!

 

Drive desired behaviour

One huge benefit of gamification is driving the desired behaviour of your customer. Through creating the right environment and relevant games your customers can be directed to the right behaviour for your brand. For example, completing a number of gaming challenges may allow them to accrue points to get closer to a purchase or even just providing them with an incentive to share their progress via social media.

 

Increasing participation

Implementing games and rewards are fantastic ways to raise participation in a loyalty scheme. Through actively keeping members on a platform it creates a great way for them to stay switched on and aware of offers and deals available.

 

Creating a brand experience and a story

Consistent interaction with challenges starts to develop emotional connections with the consumer, giving them the jubilation of completing challenges and the satisfaction of then spending well-earned points on rewards.

 

Gathering intelligence

Games and quizzes present opportunity to learn about your consumer and really take note of their behaviours. Through acquiring information it can then enable your brand to create personalised rewards which targets users and also creates an opportunity to create cohorts to enable attitudinal, behavioural and geo targeting, unlocking powerful insight to create personalised rewards.

 

How to create the perfect program

  • Be social – ensure that you create a community and always look to integration social media sharing
  • Be fun – keep it fun, through making the experience enjoyable you increase the chance of a replay
  • Control the difficulty – customers won’t want to engage if it’s too challenging, equally if it’s too easy!
  • Set them goals – Through setting them goals it creates a sense of achievement and something to strive towards
  • Surprise the audience – keep them on the edge the seats and wanting more
  • Reward participation – give them something for just getting involved!
  • Keep it purposeful – ensure that it all aligns with your goals, so you can direct behaviour

Deploying games within loyalty schemes is a proven way to entice behaviour without forcing the consumer to spend more, it’s a data gold mine which drives genuine brand experience.

 

So, who’s doing it well?

Virgin Red – Living a Life more Virgin

Virgin Red is a loyalty and rewards mobile app which unites the Virgin experience and rewards all Virgin customers across the Group for living a life more Virgin. The premise is simple, the more you engage with the app and gamified elements the more you are rewarded.  To learn more about the heavily gamified app, see here.

The app is a gamified experience that allows users to earn points, through spend and the completion of a variation of games and competitions each month via an intelligent Play, Get and Share system.

In true Virgin fashion, the app engages emotionally with members, rewarding interactions, not just transactions.  To further maximise engagement partner brands are seamlessly intertwined into the platform to allow the sharing of content and rewards are all unlockable via an innovative points system.

Discover more about how we are helping Virgin and their partners here.

For help implementing winning partnerships and promotions into your gamified loyalty scheme –
please get in touch.

    Mark Lewis
    Head of Data Science