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03-2024_Pricing-News: How You Can Use Customer Cards for Personalized Pricing

Auch wenn die Nutzungsquoten zurückgehen: so schnell sollte man sich von der Idee der Kundenkarte nicht verabschieden. Richtig eingesetzt, kann sie ein Instrument des personalisierten und zudem location-getriebenen Pricing werden.

Instore Navigation: Expert Survey Results Report

An expert survey on the topic of Instore Navigation was conducted as part of the ERDF-funded DeepNav project by the PFH Private University of Göttingen. The results are now available.

Background: In contrast to online retail, digitization in stationary retail is progressing more slowly. This raises the question of a consistent implementation of accompanying digital communication concepts with the customer on site, especially for stationary store concepts. Instore Navigation, controlled by company-specific apps on smartphones, offers a range of options to practically support customers and improve the shopping experience, such as by facilitating product search.

Among other things, it was examined what contribution Instore Navigation makes in large-scale stationary retail to establish a digital customer dialogue on site. Can this generate exciting insights for retail? What role do app-based customer cards play, with which customers can be delivered promotional information directly at the shelf via push messages? How is this topic area assessed by experts, from the perspective of the companies?

The study basically shows two things: retail is at most at the beginning of a digitization of the customer experience in the stores, but there are also very concrete considerations visible on how to integrate Instore Navigation into this digitization process.

The study was created by Prof. Dr. Hans-Christian Riekhof, Professor of International Marketing at the PFH Private University of Göttingen, supported by the PFH graduates Mathieu Grüneklee and Leon Reutel.

Here you can read the results:

Further links:

Locandis and InnoGreen Introduce Indoor Navigation Based on LED Lights

Innovation in in-store navigation: Searching for products in hardware or supermarkets can be very tedious. The ideal solution: enter the desired item into a search field on the app on your smartphone and conveniently navigate to it. The corresponding digital technology has already been impressively implemented by the company locandis and is constantly being developed. App-based digital customer cards with integrated product search and in-store navigation.

Practically free of charge for hardware stores

Until now, the technical effort for a comprehensive infrastructure of the necessary beacons was relatively high, explains Stefan Brinkhoff, CTO of locandis. With a now closed strategic partnership between locandis and InnoGreen, an innovative LED light manufacturer based in Heppenheim, significant relief is now available. Both companies have now presented a prototype in which these small Bluetooth transmitters are installed in InnoGreen’s LED lights. Some of the advantages: the additional effort for the installation of the beacons is eliminated, the power supply of the beacons is ensured via the lighting, very low maintenance effort. This means that a hardware store can be equipped for in-store navigation practically free of charge, says InnoGreen Managing Director Olaf Tieben. “In August of this year, we will present a first hardware store where the new system is installed.”

Effective: Combine in-store navigation with location-based marketing

From a business and marketing perspective, in-store navigation is attractive. Especially for retailers with complex assortments and areas from approx. 3000 sqm. locandis customer projects demonstrate the resulting additional sales with more relaxed, longer staying customers. “We expect that the locandis in-store navigation based on InnoGreen lights will pay for itself and be self-supporting from the second year onwards”, says Dr. Hans-Christian Riekhof. The CEO of locandis also points to the lucrative combination of in-store navigation with location-based marketing campaigns: “This is an important revenue driver that further improves the business balance sheet.”

Links:

Here you can learn more about the topic of Location Based Marketing

Studies on the topic:
Location-based Marketing: The willingness to pay for push messages on the customer’s smartphone
The use of traditional and digital customer cards in retail, system catering and tourism

Locationinsider: The future of the customer card is digital

The future of customer cards is digital. This is written by the Location Insider, who has picked up the study on the future of customer cards, which Prof. Dr. Hans-Christian Riekhof and Stefan Brinkhoff have created for the PFH Private University of Göttingen. The Location Insider, Germany’s online service for the digitization of trade, explains: “The plastic customer card in the customer’s wallet has no future.” This succinctly summarizes the result of the investigation of the PFH Private University of Göttingen. A look at the details of the study shows that companies are already implementing digital customer cards, or at least consider them to be sensible. 85% of the companies surveyed generally consider a customer card to be very useful or useful.

All respondents from all sectors agree on one thing: company-specific cards are clearly preferred over cross-sector initiatives such as Payback or Deutschlandcard.

Here you can read the entire article

Here is the study on the future of customer cards

Study on the Future of Customer Cards

What is the future of traditional and digital customer cards in retail, system catering and tourism? Are companies exploiting the possibilities of new technologies? These questions are addressed in the new study by the PFH Private University of Göttingen, prepared by Prof. Dr. Hans-Christian Riekhof and Stefan Brinkhoff (M.Sc.).

Customer cards are today considered a valuable, practical and popular instrument of customer loyalty. Advantage for customers: a high added value through individualized communication and incentive programs. In return, companies benefit from a new, customizable communication channel to the customer, including important insights into actual customer behavior. Under the keyword Location Based Marketing, digital campaigns can be played out directly on the shelf, thereby
increasing the relevance of the messages. In addition, customer cards are a marketing tool that allows an immediate success assessment and economic evaluation of each individual action and campaign. At the same time, a certain saturation occurs: wallets and purses are overflowing with plastic cards, and in case of doubt, the required customer card is not at hand when shopping.

Against this background, the scientists of the study were interested in how companies from the already mentioned sectors think about a digital customer card, which is available as an app on the smartphone, for example, what benefits they attribute to
such a digital customer card and what the distribution of these digital customer cards looks like. And whether companies prefer their own, company-specific customer card, or whether they prefer cross-company cards (such as payback or Deutschlandcard).

The study as a pdf download (698 KB)

 

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