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CareCloud CDP Tips & Tricks

Just One More Level! How to Use Gamification in Loyalty Programs.

By Jan Doleček  14. 3. 2024 , ,

Gamification is the go-to word when it comes to loyalty program improvement. It can drive customer engagement and increase retention, but only with enough vision and clever realization. Learn from the best in the business and strive for excellent gamification.

GAMIFICATION AND BUSINESS

Remember the feeling of winning a game of cards? Or absolutely smashing the leaderboards of an online game? People generally do. No wonder gamification in marketing can generate up to 7x more conversions than non-gamified businesses and account for 600% more customer acquisition. Fun equals profits.

The vital question is, how do you translate that feeling of accomplishment into your business?

Firstly, you need proper tools to enable gamification elements in a loyalty program: CRM & CDP CareCloud will happily help. You can add additional attributes to your customer programs, introduce bars, badges, unique quizzes, and more. But that won’t earn you retention in itself.

Secondly, you need a concept, a fresh and exciting idea that would engage customers in crowds to register for your loyalty program. Ideas do not fall from trees, so we prepared a few business cases that succeeded in gamifying customer experience. Let’s take a look.

HUNGER TO COMPETE

The Nike + Run Club app is an example of a simple yet effective gamification that draws you back to the brand and promotes community. You can create your own workout program, earn badges and trophies, and compete in leaderboards.

It is not throwing products in your face – it creates a safe space to help you achieve fitness and a sense of belonging. But, more importantly, you are constantly aware of the brand and more likely to buy Nike.

Tatry Mountains Resort (TMR) and its international GOPASS customer program approached gamification similarly. Even though GOPPASS “encompasses” much more than skiing activities now (golf, water parks, rope courses), your activities are tracked throughout your stay in the mountains.

The “Ski Challenge” is a social network for skiers. Participants can watch their statistics, compete in leaderboards, and earn badges based on how many kilometers they ski. Better yet, skiers can create custom groups of friends & family to compete in. The competitive spirits soar high in the mountains: over 200,000 participants (and counting) have enrolled in the Ski Challenge.

GOPASS exemplifies how healthy sporting competition supports sales. We desire to outperform ourselves and others, and if we have to purchase another ski pass to prove it, so be it. Also, since the idea is exclusive to GOPASS, customers will never go to the competition: a job well done, TMR.

EXPERIENCE AS A REWARD IN ITSELF

This one is for the beer enjoyers out there! The Czech franchise The PUB (as in Pilsner Unique Bar) pushed the limits of the pub experience and competitive, ehm, drinking. Not only is there a beer tap at each table (so you can pour one yourself), but looming over the space is also a massive screen with leaderboards.

There is no award for the winner, but friendly competition and “being your own bartender” make for a great customer experience. Trust us, you will drink way more than you initially thought. Boosting sales through some competitive aspects and original concepts works wonderfully.

MISS THE QUIZ?

Many brands promote their product by introducing a single interactive problem-solving: trivia, quiz, or a simple brain teaser. The payoff is in the form of rewards, vouchers, or simple intellectual satisfaction on the customer’s side. Or you can go about it a little differently and gain something extra.

Sephora and its Beauty Insider Program (with over 17 million members in North America) use quizzes brilliantly to gather additional customer data. In a playful form, you can fill out quizzes about your skin routine, make-up preferences, and other self-care activities.

For example, a customer receives a quiz on their use of lipstick: color, favorite lipstick brand, thickness, and lip type. They put all the information in, and now Sephora has precious customer data. The answers are then immediately employed in personalized product recommendations: Customers will receive attractive deals on said brands, guides on how to apply lipstick better, etc.

It is a great way to engage customers, solidify retention, and gain helpful customer data. Gamification seems to do the trick since members make up 80% of Sephora’s Beauty Insider program sales.

GAMIFY AND PROFIT

Adding game elements to business has been increasingly lucrative. Between 2016 and 2021, the market value of gamification nearly tripled, according to Statista.com. However, gamification must feel fresh, with catchy names and ease of use.

And since gamification is part of loyalty programs, there is no better companion than CDP & CRM CareCloud. In its deck of valuable apps is a first-rate loyalty program app. Creating and managing a customer program with exciting gamification features is easier than ever.

Let’s make business fun with CareCloud.

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