Aimia warns marketers to 'show restraint' with digital consumer communications

‘Offer anarchy’ is a very real threat to relationships with half of
consumers feeling overwhelmed

TORONTO, June 25, 2013 /CNW/ – A new study from Aimia, a global leader
in loyalty management, has found that marketers will alienate many
customers fast if they don’t show more restraint with digital
communications.

“The possibilities for the future of customer loyalty are profound. The
real challenge for the marketing and loyalty industries is to embrace
the digital transition with both hands while showing enough restraint
and respect for consumer’s permissions and preferences,” said Martin
Hayward
, Vice-President of Global Digital Strategy at Aimia.

The paper, ‘The Four Futures’ written by Hayward, reveals that of the 86% of consumers who receive
marketing emails, only 12% look forward to receiving them and 46% think
they receive too many.

Despite this, consumers say they are still open to receiving targeted
marketing communications. Of those surveyed, 70% are happy to receive
voucher offers for products purchased regularly and 55% are happy to
receive product recommendations based on their lifestyle data.

In an era of technological development and expanding communication
channels, it is important that marketers avoid the temptation to adopt
a short-term approach and overload consumers with communications.
Marketing professionals should have a thorough understanding of what is
best for customers, rather than what is possible.

“Building ‘real relationships’ with consumers provides the key to
success and enlightened companies that understand how to effectively
and responsibly use new data and new channels in the right way will
have a significant competitive advantage in the future,” added Hayward.

To help marketers navigate the digital transition, Aimia has assessed
the possible outcomes that lie ahead and developed four futures:

Future 1: offer anarchy
The increasing volume of customer data created by digitalisation remains
freely available and loosely controlled. Customers tend to be
over-exploited by many vendors, leading to highly transactional,
deal-based behaviours, limited loyalty and frustrated, over-messaged
consumers.

Future 2: pay to play
A market where data is increasingly acknowledged to be valuable and
powerful. Data begins to be controlled and traded as a valued
commodity, requiring businesses to pay to access customers through
increased rewards.

Future 3: the hunt for affinity
An environment where consumers and brands realise that it is possible to
locate meaningful relationships that offer more relevance, value and
affinity, which ultimately allows for long-term relationships to be
built.

Future 4: real relationships
Winning companies build deep, trusting, long-term relationships with
customers. A truly virtuous partnership to help consumers manage a
complex environment and achieve value and satisfaction from their
commercial relationships.

The ultimate future requires marketers to leverage data and build
long-term customer loyalty while giving customers control over how,
when and where their data is used. It is a future of ‘real
relationships’ and one where everyone wins.

The full report can be viewed here:
www.aimia.com/files/doc_downloads/Aimia_Whitepaper_FourFutures_DigitalLoyaltySurvey.pdf

About Aimia

Aimia Inc. (“Aimia”) is a global leader in loyalty management. Employing
more than 4,000 people in over 20 countries worldwide, Aimia offers
clients, partners and members proven expertise in launching and
managing coalition loyalty programs, delivering proprietary loyalty
services, creating value through loyalty analytics and driving
innovation in the emerging digital, mobile and social communications
spaces.

Aimia owns and operates Aeroplan, Canada’s premier coalition loyalty
program, Nectar, the United Kingdom’s largest coalition loyalty program
and Italy’s Nectar Italia. In addition, Aimia owns stakes in Air Miles
Middle East, Mexico’s leading coalition loyalty program Club Premier,
Brazil’s Prismah Fidelidade, and i2c, a joint venture with Sainsbury’s
offering insight and data analytics services in the UK to retailers and
suppliers. Aimia also holds a minority position in Cardlytics, a
US-based private company operating in transaction-driven marketing for
electronic banking. Aimia is listed on the Toronto Stock Exchange (TSX:
AIM). For more information, visit us at www.aimia.com

SOURCE: AIMIA

 

Contact:

Media
Krista Pawley
416-737-8413
krista.pawley@aimia.com

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