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    Epsilon Blog

    How to create a 1:You loyalty programme

    By: Nick Orsman•September 25, 2019

    Recently, we’ve talked a lot about the shift from 1:1 to 1:You loyalty programmes. 1:1 is a messaging strategy that’s ‘generically personalised’ with promotional offers, while 1:You delivers truly personalised experiences to your customers across all your digital brand touchpoints.

    The evolution from a 1:1 to 1:You loyalty programme is a challenge to brands to become customer obsessed. Click to tweet. It goes beyond using basic data to recognise the customer and drive content decisions, and incorporates machine learning, so that real-time decisions can be made on more relevant data 24/7, in the service of meeting customer needs. By bringing together data and technology, brands can create a customised experience for each and every member.

    Let’s take a look at how a 1:You Loyalty Programme differs from 1:1.

    DATA INPUTS

    1:You is only possible by bringing together a much wider range of data inputs that enable a deeper understanding of each customer - their habits, desires, preferences, abilities, emotions and triggers - and through the addition of machine learning to proactively predict how best to engage. The data inputs and how they are used for 1:1 versus 1:You are very different.

    Data-driven 1:1 initiatives were limited to personal identification, preferences, transaction details, contact details and maybe demographic overlays applied to campaigns. Today, 1:You can add in social interactions and behaviours, device continuum, hyper-location and time quality (how long and what you were doing).

    TECHNOLOGY

    Technology is the true enabler of 1:You execution. Gone are the days of delayed batch communications or broad segmentation models; 1:You is all about real-time, in the moment engagement.

    The ability to see across a consumers’ devices (phone, tablet, PC, etc.) allows marketers to both learn and initiate actions desired by consumers to deliver a truly customised interaction in the moments that matter, at every stage of the customer lifecycle.

    Future use of empathetic chatbots, facial recognition and augmented and virtual realities will play a larger role in creating even better personal moments for consumers.

    OUTCOMES

    So, how do the results differ?

    1:1 is able to deliver personalised communications, while 1:You brings the customer personalised moments (content where you are, and when you need it). 1:1 shares the best promotional offers or thank you communications, while 1:You delivers truly customised and empathetic customer interactions, powered by machine learning and applied to every stage of a loyalty programme – acquiring the best customers, increasing engagement, reducing attrition.

    Technology applications like chatbots are able to detect the customer’s emotions and communicate faster, and maybe even better, based on these customer emotions.

    Brands are all at different stages with their personalisation marketing efforts. Challenge your current loyalty roadmap and consider whether there is a clear crawl, walk, run approach to delivering your 1:You goals.

    Download our e-book

    From 1:1 to 1:You

    5 key components to personalising the loyalty experience

    Here are a couple of examples of brands who are focused on 1:You personalisation efforts.

    • Fast food restaurants making drive-thru faster: QSR’s are experimenting with variable menu displays that read select data (license plate number and app geo-locator) to change menu items ordered by a customer’s previous visit during a particular time period. Machine learning also defines the best up-sell or items of interest and can even dynamically change prices based on supply and demand.
    • Entertainment venues creating an enhanced personalised experience: Guests at the Walt Disney World Resort are given a MagicBand wristband, integrated with the My Disney Experience app, which facilitates planning activities such as dining, rides, attending parades and more. Disney can use the information and send its guests personalised messages like what rides they might skip if they are running behind, or, if they are heading toward a congested area, it suggests a better route to take. Customers can also tap the MagicBand to pay for food and souvenirs (no cash needed) and scanners detect the bands for authorisation for rides, etc.

    1:You loyalty may not feel attainable in your company right now. In our new e-book, we challenge you to evaluate how your data sets and technology applications support your brand’s current and future loyalty programme goals and set you on the path to 1:You. Download it now.

    From 1:1 to 1:You

    5 key components to personalising the loyalty experience

    About the author
    Nick Orsman
    Nick Orsman

    Nick Orsman is currently the International Head of Strategy and Insight, EM, at Epsilon. Nick has developed and led data and analytics teams in both client and agency environments with full P+L accountability.

    All articles by Nick Orsman →
    Topics:LoyaltyCustomer ExperienceAI

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