Loyalty programs are designed to incentivize customers to continue doing business with a particular company. Gamification is the application of game-design elements and mechanics to non-game contexts. In the context of loyalty programs, gamification can be used to make the program more engaging and rewarding for customers. This can be achieved by adding elements such as points, badges, leaderboards, and challenges to the program. These elements can make the program more fun and rewarding for customers, and can also help to increase customer loyalty and engagement.
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2. “Which is your favorite loyalty program?” read Venkatesh’s LinkedIn post on 21st September
2022.
Upon seeing this, I immediately made a mental list of all the loyalty programs that I love
such as
1.CRED points loyalty program
2.Amazon Prime premium loyalty program
3.Zivame tiered loyalty program
but you know something?
None among these were my first choice because I was in awe of an app that had recently
become part of my daily routine - Impact.
While Impact doesn't have a specified loyalty program that offers exclusivity, it could still
tap into customer loyalty. Let's find out how.
4. What if I told you that you can save someone’s life by going for a
simple walk in a park? Or you can sweat to educate?
You may say, “How’s that even possible?” and trust me, I’ve been
there too till I started using Impact - a health, fitness, and charity
app.
The app has raised more than 2.3 billion for charity and has over 10
lac downloads.
With a ‘Get fit, Do good’ mantra, the app enables you to work out,
track steps, and convert them to money for charity.
5. You can donate ₹10 for every kilometer you cover to various social causes.
Here’
s how it works.
1.Impact app onboards an NGO supporting a social cause
2.Companies pledge a donation amount to a cause
3.Once a cause goes LIVE, users workout to achieve the target amount virtually
4.After the donation amount is complete, companies transfer money to the NGO
7. On 4th August, I saw a leaderboard pop up in our Flyy
WhatsApp group. This was followed by an interesting
conversation between Venky and Prakash. While it was nice to
see such a competitive spirit, I thought, “What’s all the hype
about?”.
My doubt soon vanished into the thin air when Prakash shared a
link to join the app.
As I was a bit curious, I ended up installing the Impact app but
wasn’t curious enough to explore it, honestly.
But something changed on 7th August when I saw Venky share
another leaderboard.
8. This time, he’d secured 1st position on the leaderboard and challenged Prakash by saying “I
need some competition.” “Okay, this app has got to be something!” I wondered, opened the
app and the rest is history now.
Since I work out anyway, I decided to utilize it for a good cause and began engaging with
Impact more.
10. I like to go for morning walks with a usual routine of putting on my running shoes, plugging
in my Airpods, and opening Spotify.
But there’
s been a change ever since the Impact app came into my life. Now, before
Spotify, I open the Impact app and set my workout mode to ‘outdoor’.
That’s not all when it comes to my interest and inclination toward the Impact app.
During an evening stroll with my mom on a nearby park’s track, I asked her to take 2 more
laps so that I could bag more steps.
Moreover, I started to look forward to my morning walks with a new determination.
11. W hy? Because I was motivated to
1.See how much I can donate through my steps
2.Maintain my daily streak so that I can win more badges
3.Beat my co-workers and level up on the leaderboard
And you know the best part? The moment when I see my steps getting converted into
virtual money for a good cause.
But if we were to go back to the start, what was the main reason behind Impact making it to
the top of my favorite loyalty programs list?
Because they put gamification at the center of their loyalty program.
13. Let me tell you a short story about how much of a difference gamification can make. In
2018, I decided to sign up for a gym membership. I was so excited that I paid ₹7000 for a 6-
month membership, and spent ₹3000 more for gym shoes and clothes from Decathlon. 1
week into the ‘Oh I’m going to be so fit’goal, I gave up! I quit because
1.The friend who’d decided to go to the gym with me backed out
2.I was too lazy to walk all the way to the gym on my own
Basically, I didn’t have any motivation. In fact, before quitting the gym, I’d even skipped a
few days because it just didn’t matter.
So what changed in the case of the Impact app? I mean, it was just an app, right? How did I
become so regular with it?
Turns out, there were 3 main gamification factors:
14. 1.Daily Streak
Maintaining a daily streak literally pushes me to return
to the Impact app every day and achieve my daily goal.
This is because I don’t like to break my streak for the
fear of losing something I gained after days of effort.No
one likes it,right?
As per Psychologists, this is because we have this
emotional reaction to losing something we’ve created,
and that’
s what keeps us going with streaks.
15. This is really interesting. Every day when I get back to my Impact app
to donate my steps or maintain my streak, I also check my team
leaderboard.
When I see the position I’m at, it fills me up with a competitive spirit
to beat the co-worker at least before me.
For example, I’ve been trying to leave my colleague and good friend,
Aadhi, behind, and well, I almost did till she told me, “Oh, wait. I’m yet
to donate my steps for today”
.Sigh!
2.Leaderboard
16. 3.Badges
Badges are another reason why I look forward to using the
Impact app every day. I don’t know why but badges give me a
true sense of accomplishment especially since I’m working
towards a good cause.
For example, being awarded the title of Changemaker or
Healthcare Hero makes me more invested in the app because I
feel acknowledged.
17. But the badges that I actually chase are Daily Streak badges. Here’s why. 1. I was checking
into the app every day in order to main my daily streak
2.After 7 days, I earned a 7-Day Streak badge and that felt good
3.Next, I knew that I had to be consistent in order to win the 15-Day Streak badge Sadly, I
broke my streak yesterday and now I’m back to zero.
So you see, badges really help me keep going and this time I’ll make sure I win the next
badge and flaunt it on my fitness achievement wall.
For example, I’ve been trying to leave my colleague and good friend, Aadhi, behind, and
well, I almost did till she told me, “Oh, wait. I’m yet to donate my steps for today”. Sigh!
19. So far, it’s clear that gamification is the reason behind my choosing Impact as my favorite
loyalty program but I just realized that’s not all. There's one more reason - value.
Frankly speaking, if it was really that easy to achieve my fitness goals, my Apple Health App
goals rings would never be incomplete.
But I rarely track my goals. Sometimes I forget
to watch my Apple watch while other times I
don’t really work towards achieving my fitness
goals.
Turns out, it’s because I don’t connect with the
goals on a deeper level. Now, what if this was
combined with a cause that I strongly believed
in? Bingo!
20. That’s exactly what the Impact app does by offering a value-based loyalty program.
Their non-monetary rewards like charity donations help me see the bigger picture where I
can actually change someone’s life for the better.
22. As per Adobe Digital Index, repeat customers are 9 times more likely to convert than the
first-time shopper. But how to ensure that such customers engage with your brand on a
regular basis?
By adding gamification! KFC Japan used gamification to increase the previous year's sales
by 106%. I’m going to talk more about it in my upcoming articles.
In the meantime, if you’d like to explore gamification in your referral and loyalty
program, Flyy can help. Learn more here.