Digital innovation: here's why alone it can't be enough

We said we should not think that switching from a physical card, that is, from the old dear loyalty card in a laminated format, to an electronic fidelity card represents true digital integration.
Then let's not talk about updates, because we know that these would also be a potentially negative component on the whole "digital ecosystem."

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upgrade

We know that every APP that is developed, whether for Android or Ios, has to be constantly updated to avoid that, with the gradual but constant revisions of the operating systems, all those little bugs or system errors are generated, rather than having to intervene more or less often to fix the visibility of the same things on different resolutions. Why?

Simply because we already have a difference between desktop and mobile … we know that there are two types of different resolutions, we then have to subdivide mobile into smartphones and tablets, each of which then has even different screens and resolutions, so we often run into applications that have compatibility flaws detected even at the origin.

In fact, we get the message on Google Play that says “the App is compatible with some of your devices” just like the one below:

As you can see from the screenshot above, I get this message on, no less … the Trenitalia APP … and it warns me that not all my devices (of which Google Play is obviously aware), are compatible with the app which, I will therefore not be able to download on any of them.

Compatibility problems like this are commonplace, and even a company as large and important as Trenitalia struggles to make its application accessible for everyone.

Let alone what could happen to us …

compatibilita app

All this can translate, going back to our initial reasoning, into higher costs to be incurred.

So, a physical card or a card stored on digital media (such as STOCARD), makes no difference, so we reiterate, once again, that if your thought is to invest money to translate what is now physical, as a recognition tool, into electronic … by investing money … YOU KNOW THAT IT IS ABSOLUTELY USELESS!!! IT WOULD ALL BE MONEY WASTED!

carta fisica o mobile

Not to mention age groups … as, there, too, lies a potential problem: receptivity to digital tools for those people who are in an older age group.

Our firm belief is to stay with a system like the current one, plastic loyalty card.

What needs to be integrated, in an important and driven way, is the loyalty program behind it.

As we can see from LoyaltyOne’s survey, even in the lower age group, and although the preference for mobile-type tools is now obviously increasing, it is still a residual percentage that is still very important.

Going to see in the 18/34 age group, obviously, 45 percent have preferences for mobile-type APPs while, on the other side we have 55 percent of people; so we see how, still today, we have the majority of people leaning toward a physical card and there is no data, no source that documents to us how simply changing from physical to digital, represents an advancement.

Remember that we talked about a low customer satisfaction rate … at 18% that is, only 18 out of 100 users actually make real interactions with those who give them gifts, money or otherwise rewards related to their repeat acts of purchase towards a particular brand, store or chain of stores, thus loyalty mechanisms.

Instead, it is there, that is, in the loyalty mechanisms and programs, that we need to go and shift resources; that is where substantial investments need to be made because that is the heart of the whole loyalty system and, therefore, not simply, the transition of a recognition system from physical to digital as an end in itself.

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