1. Webinar Choose The Right Provider For Your Customer Loyalty Strategy
Emily Collins, Analyst
September 9, Call in at 12:55 p.m. Eastern time
@ecollins

2. What’s the difference between Vendor Y and Vendor Z?
I want to mobilize my loyalty program but don’t know where to turn.
Service provider or technology platform?
Who can help me with my loyalty strategy?

3. Agenda
Many strategic paths lead to customer loyalty.
Cut through the loyalty landscape clutter.
Selecting the right loyalty partner

4. Agenda
Many strategic paths lead to customer loyalty.
Cut through the loyalty landscape clutter.
Selecting the right loyalty partner

5. “Loyalty” is multifaceted and complex
Rational
Emotional
“I get more points.”
“I like the brand.”
“I trust the brand.”
“It’s close to my house.”
“It’s convenient to shop.”
Loyalty
“The price is reasonable.”
“I want to share it.”
“The product addresses my needs.”
“I like how I feel when I use the brand.”

6. Companies take two, often overlapping, approaches
Unstructured loyalty
Structured loyalty

7. The loyalty landscape casts a wide net
Source: July 31, 2014, “Navigate The Complex Customer Loyalty Ecosystem” Forrester report

8. Agenda
Many strategic paths lead to customer loyalty.
Cut through the loyalty landscape clutter.
Selecting the right loyalty partner

9. Loyalty vendors offer one or more competencies
Strategy: the research, planning, and design of loyalty initiatives and programs
Management: the back-end orchestration of loyalty initiatives and programs
Marketing: the execution of loyalty initiatives across channels

10. Native and complementary providers deliver loyalty through tech and services
Source: July 31, 2014, “Navigate The Complex Customer Loyalty Ecosystem” Forrester report

11. Technology-led providers
“Do it yourself” loyalty solutions

12. Native providers
Loyalty platforms
Self-service, end-to-end loyalty program management technology

13. Gamification platforms
Complementary
providers
Gamification platforms
Support the gamification of loyalty programs through behavioral tagging, business rules management, and rewarding for engagement.

14. Marketing and analytics technology platforms
Complementary
providers
Marketing and analytics technology platforms
Deliver loyalty program modules as part of a larger marketing suite.

15. Mobile marketing platforms
Complementary
providers C
Mobile marketing platforms
Mobilize loyalty programs, deliver mobile offers and content, and integrate with mobile wallets.

16. POS providers and payment processors
Complementary
providers C
POS providers and payment processors
Provide integrated earn-and-burn point solutions as part of a larger transaction and payments processing suite.

17. Services-led providers
“Do it for you” loyalty solutions

18. Loyalty agencies and consultancies
Native providers
Loyalty agencies and consultancies
Offer loyalty-specific strategic consulting to help companies conduct market research, develop strategies, build programs, and select execution partners.

19. Loyalty service providers
Native providers N
Loyalty service providers
Deliver a full suite of tools, partners, and services to support loyalty programs and loyalty marketing. Services include strategy and design, campaign and offer management, segmentation and analytics, fulfillment, and operational support.

20. Turnkey loyalty solutions
Native providers N
Turnkey loyalty solutions
White label, plug-and-play, loyalty, and merchant-funded programs

21. Complementary
providers C
Agencies
Often provide unstructured loyalty strategy and campaign development and support

22. BPO services and system integrators
Complementary
providers
BPO services and system integrators
Provide loyalty technology integration, implementation, and operations services.

23. Earn-and-burn solutions
Complementary
providers
Earn-and-burn solutions
Offer additional ways for members to earn points through mail networks or loyalty currency commerce and redeem points through gift cards, travel rewards, or physical merchandise warehouses.

24. Management consultants
Complementary
providers
Management consultants
Provide strategy, loyalty research, change management services, and business technology consulting.

25. Marketing and analytics service providers
Complementary
providers
Marketing and analytics service providers
Support loyalty marketing through analytics and insights development, database hosting and support, and strategy services.

26. Promotions and offers providers
Complementary
providers
Promotions and offers providers
Source and deliver various member incentives, including coupons, sweepstakes, card-linked offers, and merchant-funded offers.

27. Agenda
Many strategic paths lead to customer loyalty.
Cut through the loyalty landscape clutter.
Selecting the right loyalty partner

28. Image source: http://commons.wikimedia.org/wiki/File:Stop_sign.svg

29. Instead, start your search by answering three key questions
What is your loyalty approach?
Where does customer loyalty sit within your organization?
What resources are available to support loyalty?

30. Define your business objectives and requirements
Source: October 3, 2013, “The State Of Loyalty Programs 2013” Forrester report

31. Create your vendor list
Map your requirements to the core loyalty vendor capabilities: strategy, management, and marketing.
Determine whether you are looking for technology and/or service-based support.
Narrow down your list of potential partners based on vendor capabilities and delivery mode.

32. Issue your request for proposal (RFP)
Identify and disclose your key selection factors. Ask open-ended questions. Use presentations to make the final selection. Avoid making a “gut reaction” selection.
Image source: Flickr (

33. Recent loyalty research
July 31, 2014, “Navigate The Complex Customer Loyalty Ecosystem”
June 17, 2014, “Advance Your Approach To Customer Loyalty”
October 30, 2013, “The Forrester Wave™: Loyalty Program Service Providers, Q4 2013”
For all other loyalty-related research, check out The Customer Loyalty Playbook.

34. Questions?

35. Emily Collins