Gamification of retail is firmly on the agenda as stores look for new ways to drive footfall
Updated: Nov 21, 2020
Gamification refers to the addition of game elements to non-game activities and is a technique frequently used in loyalty programmes to increase customer engagement and engender emotional loyalty.
Gamification helps customers to learn about your brand in a fun and engaging way, whilst making them feel included. With the right strategy, brands can develop a deep sense of loyalty with their customers, that results in increased revenue.
According to market research firm Reportlinker, the gamification market was valued at $5.5bn in 2018 and is estimated to rise to $40bn by 2024.
The rapid growth of the gamification market is down to the increase in smartphone usage and customers wanting new experiences with brands.
Nike's run club app has successfully used gamification to increase the sense of competition between runners and motivate customers into action. Runners can celebrate their wins and each run unlocks new achievements, which can be shared with friends. Nike has monetised their app by integrating online shopping and using prompts to encourage customers to purchase new Nike products.
Gamification of retail is firmly on the agenda as stores look for new ways to drive footfall...
UK supermarket chain Sainsbury's, recently ran a campaign on their Nectar rewards app to encourage healthy eating, using it to track consumers fruit and veg buying habits and rewarding them with points for buying healthier foods.
Retailers using gamification to enhance their loyalty programmes can significantly improve response rates for registration, online activity and social shares.
A report from TechValidate found that 30% of companies using gamification in their loyalty programmes improved registration conversion rates by 50% and above.
In addition to enhancing a loyalty programme, gamification can be used to:
Build more detailed customer profiles by incentivising customers to share more data about themselves in a fun, light touch way.
Educate customers on products and services to drive a deeper connection with your brand.
Provide a platform to showcase relevant partner brands and generate incremental revenue.
Acquire new customers via channels social channels.
Gamification can be an online or in-store experience using entertainment hubs that can be touch-screen or touch-less using motion sensors.
Gamification campaigns can get quite sophisticated, but the key to success is to keep it simple.
All the basics of marketing still apply, i.e. know your audience, set the right goals, keep it measurable and make sure all customer touch-points are promoted.
Gamification offers retailers the opportunity to create engaging retail experiences across all touch-points and increase revenue, after all, who doesn't like to play games?
If you would like to learn more about using gamification for your business, contact info@vollogroup.com
Gonca Bengherbia is the founder of Vollodigital.com, a digital consultancy specialising in customer acquisition and retention.