What Does Retail Marketing Mean To You
Retailers are in the business of selling and will use any means at their disposal. Even if that means conning the customers into believing they are getting a bargain, which in some cases may well be true, but not in all. Retail marketing utilizes the customers attraction to bargains by offering reward and loyalty schemes, that give them points based on the amount of money spent. This almost certainly will encourage return visits.
To the customer it means special offers and bonus buys which can either make the shopping bill cheaper or it gives the expectation of some form of reward at a later date. They can build up their reward points until they have enough to redeem them for cash off their shopping bill, or choose a gift from the reward programme catalogue that is sent to them.
Competition between retailers is fierce and they continually try to outdo each other with their rewards and loyalty programs which costs large amounts of cash each year to run. Points are awarded each time the customer shops and swipes their card at the checkout, so they can quickly accrue sufficient points to redeem for their free gift or in exchange for some free shopping.
Points accrued on the customers card account can be redeemed for cash off a shop or in exchange from one of the many gifts on offer. To keep the customer interested the gifts can be for a wide variety of items, days out, entertainment and a whole range of other things. The more expensive gift can often be obtained for a mix of cash and points, while others just require enough points.
The reward program works along the same lines and is also used as a marketing tool. The main difference is that the reward comes in the form of additional points when buying a specific product, or money off ticket for a particular item. The reward is usually only valid for a short period of time. The reward vouchers are sent to customers who shop regularly in store.
Retailers will use any means at their disposal to encourage customers to buy products. Special offers are often at the centre of store advertising events and promotions to encourage sales of items the store has purchased in bulk, that may not be selling fast enough, or to introduce new products to their range.
Perhaps the best known marketing tool is the buy one get one free offers which all retailers have caught on to. It also causes questions to be raised about how good the offer is or is not. Would the customer have bought the item if they did not believe they were getting something for nothing. It could be surprising to find that buying two single products work out at the same or less than the special offer.
It does not seem to matter what type of product or item the customer wants to buy from fruit to a house, Retail marketing tools are used to help sell the item. It has crept into every aspect of daily life, but whether it is to the customers advantage or a way of hoodwinking the customer into thinking they have got a bargain, depends on whether they really need the service or product they have bought.
Creating Reward program since 1981, we’ll design a Loyalty cards strategy to meet your goals, surpass your customers’ expectations, and inspire long-term loyalty and growth.