Gamify to Grow Your Business


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By 2014, offering a gamified service to market and retain your customers will become as important as using Facebook or eBay. Are you ready?

Keeping your customers loyal and engaged can be a challenge. Incorporating game mechanics, like points or leaderboards, can motivate your customers to interact with your business both in-store and online.

Our guide to using gamification to grow your business will:

1. Explain what gamification is and what it means for your small business

2. Provide examples of how companies, like Buffalo Wild Wings, use different game motivations to market to their customers

3. Give 5 easy steps on how to structure your marketing goals with game mechanics

Published in: Business, Technology
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Gamify to Grow Your Business

  1. 1. Gamify to Grow Your Business
  2. 2. Experts agree that loyalty is the mosteffective and highest return marketingRetailers with loyalty programs, on average,are 88% more profitable than competitorswho do not.DELOITTE RESEARCH SURVEYCustomer loyalty is the single most important driverof growth and profitability.HARVARD BUSINESS REVIEWIt is 6 to 7 times more to acquire a newcustomer than to retain an existing one.BAIN & COMPANY
  3. 3. Loyalty marketing is more relevanttoday than it has ever been• Your biggest asset is your existing customer base and foottraffic• Data shows that loyalty programs can increase customervisits by 20 percent or more• With social media, each of your customers can now shareyour brand with hundreds of others• Technology can now automate most of your loyaltymarketing needs• It’s marketing that’s fun and makes sense!
  4. 4. Loyalty marketing ROI is traditionally driven byincreasing visits, spend, and response to promotionsVisit to learn moreFramework for Calculating Loyalty ReturnVisitMoreFrequentlySpend MorePer VisitParticipateinPromotionsRewardCostsProgramCostsNetRevenueIncreaseCustomer Behavior Loyalty Marketing Costs
  5. 5. • Gamification can improve your sales by motivating yourcustomers to do high value actions, such as:• Like and share your business on Facebook• Recommend your business on Yelp• Order through your website• Bring in friends (who are new customers!)• Come back more often and increase spend• Engaging, game-like rewards programs allow customers tohave more positive touch points with your business, whichcan build customer loyalty to your brandHow Gamification Drives LoyaltyDrive significantly higher engagement,repeat visits, and active participation.
  6. 6. By 2014, a gamified service forconsumer goods marketing andcustomer retention will becomeas important as Facebook, eBay,or Amazon.“SOURCE: MASHABLE & GARTNER REPORTThe millennial generation andyounger is more game-attunedthan previous generations.Gamification is required to makethings engaging enough sopeople will pay attention to themand stay focused on them for alonger period of time.GABE ZICHERMANN, GAME-BASEDMARKETINGWhy is gamified marketing important?70%Percent of Global 2000organizations will have at least onegamified application in 2015.”
  7. 7. What does it mean to “gamify” something?• Gamification: the use of game thinking and gamemechanics in a non-game context in order to engageusers and solve problems.• Commonly used game mechanics are points, badges,levels, leaderboards, countdowns, and challenges• Gamification techniques use customers’natural desires for competition,achievement, status, self-expression,and closure.What is Gamification?BRIAN L.53 POINTSKACY G.27 POINTSJOHN P.22 POINTSSOURCE: HIIT & FOURSQUARE
  8. 8. • Using an app, BWW set up variouschallenges for customers to complete inorder to receive special promotions like $5off or free wings.• The challenges ranged from taking picturesof a crowd going wild to showing offfavorite types of wings. Customers were ableto compare the scores with their friends andshare photos on Facebook and Twitter.• They had a total of 184,000 uniqueplayers, and 1 in 3 players returned to BWWto play again!Practical Ways To GamifyYour Small BusinessMotivate your customers with COMPETITION.“We know the brain respondsto gains and losses, whetherits real dollars or virtual goldpieces. Theres somethingfundamental aboutrecognition, seeing yourselfcompared to other people.BYRON REEVES, PROFESSOR -STANFORD UNIVERSITY”SOURCE: MASHABLE• Buffalo Wild Wings wanted their customers to visit more often and interactwith them online. By turning the act of watching games into a game in and ofitself, their goals were accomplished in a fun, meaningful way.
  9. 9. JINGSONG W. AND MICHAEL S.,CURRENT FIVESTARS EMPLOYEESThere’s nothing more gratifying than settinga high goal and then achieving it. PhoGarden, a local Vietnamese restaurant inSan Francisco, uses this intrinsic motivationto achieve with their Pho Garden Challenge.If you can finish their massive bowl of soup,containing 2 pounds of noodles and 2pounds beef, not only do you get a freemeal, but your picture is mounted on theWall of Pho Garden Champions. Whowouldn’t want that?!SOURCE: PHOGARDENSF.COM & PERSONAL EXPERIENCEPractical Ways To GamifyYour Small BusinessHonor them with ACHIEVEMENT.This challenge started a ton of Facebook conversations, and helpedgenerate more positive reviews on Yelp. Many customers note thatthey have visited multiple times to try and complete thechallenge, which has turned into great business for Pho Garden.
  10. 10. Engage customers with STATUS.Practical Ways To GamifyYour Small BusinessSOURCE: TIME MAGAZINE & STARBUCKS.COM• Starbucks, America’s most well knowncoffee chain, has a compelling way to keeptheir customers loyal. With some reallygreat brand positioning, they have createda loyalty card that is considered a statussymbol.• Any customer can have a My StarbucksRewards card, but if you collect 30 starswithin 12 months, you receive a specialty,personalized Gold Card along with theother standard loyalty perks. You also haveto maintain your star balance or risk losingthe gold membership.Youre not ashamed ifyour Starbucks loyaltyclub card falls out ofyour wallet. It not onlyhas badge value, butyou get somethingtangible for it.KATE NEWLIN,AUTHOR - PASSION BRANDS”“• What makes this a great example is that they didn’t just make a statussymbol, they created a challenge that customers continually have to engagewith, using simple game principles. The chains three-year-old loyalty cardprogram now has over 6 million members and is adding about 80,000 newmembers a week!
  11. 11. • If you use the professional networking siteLinkedIn, youve seen a progress bar thattells you how much of your profile youvefilled out.• The company found that simple toolinduces people to continue addinginformation, thanks to our innate desire tocomplete a task. That additional informationcreates more connections for you, leadingyou to spend more time on the site.SOURCE: SAN JOSE MERCURY NEWSPractical Ways To GamifyYour Small BusinessBring customers back to get some CLOSURE.Marketers now knowthat any psychologicalfeeling of satisfactionactually amplifiesconsumers’ perceivedvalue of materialrewards.MARITZ REPORT, A NEW PARADIGM FORLOYALTY MARKETING”“• Much like the Pho Garden example, you can set up a a challenge for yourcustomers to complete over a period of time. If you are a pub that serveshundreds of different beers from all over the world, your customers’ questcan be to try every single beer. Track the customers’ beer tastings over timedigitally or log in a notebook. Then reward them for their feat!
  12. 12. #1. Identify what customers you are targeting. Whichmembers are most likely to participate? How valuable arethey? How does it benefit members? Will they enjoy it?#2. Define your business goals. Do you want to gain newcustomers? Or do you need more Facebook check-ins? Thinkabout you want to specifically accomplish and how will youmeasure the end results.Structure Your Marketing GoalsWith Game Mechanics
  13. 13. #3. Decide on the game plan. Come up with what actions youwant the customers to do. Make sure they are based on yourgoals. If you want them to try new menu items, you shouldprovide opportunities within the game to do that.#4. Reward customers with something meaningful. Providemany short-term, achievable goals to keep customersengaged. If you want your customers to do the actions youlined up, make sure your reward isn’t superficial.Structure Your MarketingGoals With Game Mechanics#5: MAKE IT FUN!
  14. 14. Customer loyalty occursbecause customers’purchasing behaviorsbecome driven by theirfeelings for the company,not vice versa. Targetingcustomer behaviors whileneglecting the emotionalcomponent of customerloyalty is a mistake far toomany companies make.GUY WINCH, THE PSYCHOLOGY OFCUSTOMER LOYALTY ”“SOURCE: GUYWINCH.COMSomething to alwayskeep in mind...
  15. 15. Want To Gamify Your Business Today?• Need an easier way to include gamificationtechniques within your marketing strategy?• Wish you had a reward program with multiple,customizable rewards and promotions?Cue shameless plug!FiveStars Loyalty Automation Platform can help!
  16. 16. FiveStars is pioneering loyalty automation thatincludes gamified rewards programsFIVESTARS LOYALTY AUTOMATION PLATFORMWe take care of everythingPoint-of-SaleRelationshipManagerFiveStarsCardCustomerEngagementToolkit• Customer info right onthe POS• Never slow down the line• Built in fraud control• Simple technologyeveryone can use• Impossible to lose• Over 800,000 cardholders• Simple segmentation• Customizable rewards• Text or email campaigns• Social media integrationWant a free loyalty consultation from FiveStars?Visit
  17. 17. Gamify to Grow Your Business