Composable architecture allows organizations to have flexible integrations, move away from legacy tools, and focus on customer experience. It presents a future-proof approach using microservices, APIs, cloud native technologies, and headless systems. Composable commerce uses this architecture to allow businesses to scale as they grow. A loyalty and promotions engine is a decision engine that takes data and creates rules for incentives like discounts and loyalty points in real-time. Composable commerce loyalty management can adapt different integrations and help retailers engage customers through retention tactics, appreciation beyond discounts, and experience-driven retention. It also helps retailers adapt to changes and react quickly to opportunities.
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The Future of Customer Loyalty: Rewards, Retention, Appreciation, and More
1.
2.
3.
4.
5. Composable Architecture
Enables organizations to:
01
Have interchangeable
and flexible integrations
02
Move away from legacy
or monolith tools
03
Focus on the customer
experience strategy—CX,
UX, and omnichannel
experiences
04
Replace integrations as
needed
6. What it does:
Presents and advocates for future-proof enterprise tech that’s
composable and best of breed
What it is:
M Microservices
A API-first
C Cloud native
H Headless
MACH Alliance
7. Composable Commerce
Uses MACH architecture
01
Allows businesses to
scale as they grow
Open ecosystem for
support to craft solutions
Best-in-breed technologies
for omnichannel commerce
02 03 04
8. What it is:
A decision engine to manage customer incentives
It enables retailers to:
Loyalty and
Promotions Engine
Take data and create a
set of rules around it in
real-time
Validate rules, then
trigger action in another
platform for discounts,
loyalty points, etc.
Have a single-source of
truth for incentives
Have flexibility &
scalability
9. Composable Commerce
and Loyalty Management
Differentiator
Composable commerce loyalty
management can adapt with
integrations into legacy and other
composable platforms
Helps retailers engage
modern consumers using
● Customer retention tactics
(reward & discounts)
● Customer appreciation beyond
discounts
Experience-driven customer
retention
● High-value: exclusive
invitations for events
● Medium-value: exclusive
discounted bundles
● Low-value: discounts on certain
items or free shipping
● Free: early access sales,
e-badges
10. Composable Commerce
and Loyalty Management
(cont’d)
Customer appreciation beyond
discounts
● Experiential Benefits
○ Limited-time drops, events, connecting
with the brand
● Rewards to complementary retailers or services
● Charitable donations
○ Be part of something bigger
● Personalized recommendations after-purchase
○ Accessory add-ons
11. Peaks require flexibility &
scalability that composable
offers.
● Adapt to market changes
● Quickly create new campaigns to drive sales
● Quickly react to low supply/ supply chain issues
It helps retailers:
Composable Helps During
Retail Peaks
12. Trends Shaping the Future
Non-Traditional Loyalty
● Experiential benefits or partner network benefits
● Uses first-party data
○ Lower CAC
○ Best customers will share with their network
Hyper-Personalized Discounts
● Leverage data including intent, browsing and
buying behavior
● Not a catch-all discount that results in
margin loss
13. Example From a Luxury
Menswear Retailer
Pain Points
● Had an outdated system for loyalty program
● Used various systems in the past
Strategy
● Use a headless, API-driven solution
● Enable future growth
● Directly display loyalty transactions
● Provide a single-source of truth for data
& loyalty
14. Outcome:
Example From a Luxury
Menswear Retailer (cont’d)
Simplified & streamlined
process for loyalty
program structure &
administration
Ability to drive targeted
campaigns to customer
segments
Use of API-first structure
for immediate use
Ready for future-loyalty
endeavors & growth
15. Key Takeaways
Scalability & Agility
● Composable gives flexibility to
adapt to retail peaks
● Grows with your business
● Solutions can be swapped out
over time
Loyalty Management
● Different ways to approach it
from discounts to experiences
● Use first-party customer data
for hyper-personalization
Omnichannel Approach
● Be on channels your customers
are on
● Rewards should be
earned/redeemed the same
way across all platforms
