In-store retail marketers face tough challenges in today’s cross-channel marketplace — they need to find innovative ways to bring shoppers into the store and motivate them to purchase. The best marketing strategies are simple to implement, have proof of performance, and require little or no effort on the part of the shopper and retailer. Card-linked offers answer that call.
The card-linked offer is a new type of shopping deal linked to the credit and debit cards shoppers already use and value. Because offers are linked to cards, retailers can use anonymous transaction data to target the right customer segments and enjoy true incremental sales analytics. Card-linked offers provide a number of potential benefits for in-store retailers, including:
1) Risk-free sales boost – offers are funded only after qualifying sales occur
2) An uptick in new customer acquisition, repeat sales and basket-size
3) Taking market share from competitors – with data to prove it
Unlike Daily Deals, card-linked offers require no paper vouchers or manual tracking. Card members are enrolled automatically, receive offers from their trusted banks and card issuers, and redeem offers just by swiping their cards.
During the upcoming webinar titled “Card-Linked Offers – The New Deal For In-Store Retailers,” merchants will learn more about the benefits of card-linked offers and how to initiate a program.
Panelists:
---------------
- Madeline K. Aufseeser, Senior Analyst, Aite Group
- Jim Douglass, Executive VP, Retail Advertising & Partnerships, Cartera Commerce
- Debbie Hauss, Editor-in-Chief, Retail TouchPoints
4. Launched in 2007
Over 20,000 subscribers
To provide executives with relevant,
insightful content across a variety of
digital medium
Free subscription to our weekly newsletter:
www.retailtouchpoints.com/signup
#LiveWebinar
5. SPEAKER SPEAKER
Madeline K. Aufseeser Jim Douglass
Senior Analyst Executive VP
Aite Group Cartera Commerce
MODERATOR
Debbie Hauss
Editor-in-Chief
Retail TouchPoints
#LiveWebinar
6. Daily Deals
Will Close The Loop
From Online Marketing
to In-Store Sales!
#LiveWebinar
7. • Facebook
abandons
the
Daily
Deal
market
• Yelp
slashes
investment
in
Daily
Deals
Daily Deals
• New
research
shows
Daily
Deals
nega:vely
Will Close The Loop
impact
Fromreviews
Marketing
Yelp
Online
• Daily
Deals
revenue
decreases
7%
in
August1
to In-Store Sales!
170
of
530
Daily
Deal
sites
sold
or
shut
down
in
20111
1. Source Yipit
#LiveWebinar
8. • Hard
to
prove
ROI
on
acquisi:on
or
loyalty
• Fewer
repeat
deals
from
na:onal
&
local
merchants
• More
compe::on
causing
downward
pricing
pressure
Consumer
Acquisi9on
Costs
Rising
Merchant
Revenue
Falling
• Too
many
sites
compe:ng
for
same
consumers
• Fragmented,
untargeted
offers
causing
“deal
fa:gue”
• Pre-‐paid
coupon
model
frustra:ng
for
consumers
–
high
breakage
#LiveWebinar
9. #LiveWebinar October 5, 2011
Jim Douglass
Cartera Commerce
#LiveWebinar
10. Card-‐linked
offers
are
shopping
deals
linked
to
the
credit
and
debit
cards
consumers
already
have,
use
and
value.
#LiveWebinar
11. 1. OFFERS MARKETED 2. CONSUMER SHOPS
• Consumers learn about • Consumers’ passion for
offers from their banks and rewards influences behavior
card issuers. • Offers are “redeemed” just
• Offers marketed via card by swiping a credit or debit
Web portals, statements, card in retailers’ stores
emails, mobile sites, etc.
4
miles
per
dollar
4. CONSUMER REWARDED 3. TRANSACTION TRACKED
• Consumer gets extra cash, • All card purchases are
points, or miles right in their anonymously tracked
accounts • Retailers pay performance
• Extra rewards strengthens marketing fee for eligible
relationship with retailer and purchases
card issuer
#LiveWebinar
12. Measurable,
risk-‐free
liO
in
store
sales
• Drive acquisition, spend and loyalty
• Closed-loop redemption analytics
• Incremental sales and ROI reporting
APract
and
convert
the
right
in-‐store
shoppers
• Targeted, relevant offers consumers actually want
• Card-based targeting pinpoints key segments
• “Frictionless” redemption – no coupons or POS changes
Increase
ROI
with
targeted,
hard-‐to-‐reach
media”
• Cost-effective marketing through bank & card issuer media
• Enormous reach across millions of loyal cardholders
• Targeted placements in Web offer portals, emails, statements
and mobile apps
#LiveWebinar
13. #LiveWebinar October 5, 2011
The
Case
for
Merchant
Incen9ves:
New
Opportuni9es
for
Partnerships
Madeline Aufseeser
Aite Group
#LiveWebinar
16. Gross Dollar Value Transactions With Card-Linked Offer
Redemptions 2010-e2015 (In US$ Billions)
$115.1
$76.8
$47.5
$29.2
$15.8
$6.3
$1.5 $2.4 $3.8 $5.8
$0.3 $0.8
2010 e2011 e2012 e2013 e2014 e2015
Face amount of transactions, credit, debit and prepaid
Gross dollar value of offers - credit, debit and prepaid
Source: Aite Group
#LiveWebinar
20. US Cardholders Enrolled In Card-Based Offer Programs
2010-e2015 (In Millions of Accounts/Subscribers/Redeemers)
1025 1047
960 995
877 922
467
333
222
148
51 87 93 140
19 36 58
8
2010 e2011 e2012 e2013 e2014 e2015
Number of US credit, debit and prepaid accounts
Credit, debit and prepaid subscriber base receiving offers
Source: Aite Group
#LiveWebinar
21. #LiveWebinar October 5, 2011
Card-‐Linked
Offers:
Retailer
Benefits
&
Case
Study
Jim Douglass
Cartera Commerce
#LiveWebinar
23. Leading
60+
Million
Na9onal
&
Local
Brands
Ac9ve
Cardholders
GIVE:
Points/$,
Miles,
Cashback
Four
of
the
top
five
card
issuers
OFFERS
Three
of
the
top
four
SALES
airlines
GET:
Acquisi9on,
Spend,
Loyalty
Reach
of
60M+
registered
credit
&
debit
cardholders
Plus
Thousands
of
Local
Stores
#LiveWebinar
24. Millions
of
Ac:ve
Credit
&
Debit
Cardholders
Acquire Customers Increase Spend Drive Loyalty
Target non shoppers Target infrequent shoppers Target existing customers
Increase
Repeat
Broad-‐based
Acquire
Transac9ons
and
Order
Marke9ng
to
Both
New
Shoppers
Values
Acquire
and
Increase
Retailer
Strategy
#LiveWebinar
25. ANNUAL Cardholder
Annual
Spend
with
TRANSACTIONS [RETAILER]
in
Category
Acquire
Customers
Offers
acquire
0
first-‐:me
shoppers
66%
Category Shoppers
Only Shopping with
1 $30/Shopper Competition
2 $58/Shopper
Drive
Spend
Offers
increase
shopping
frequency
&
value
3 $86/Shopper
4 $114/Shopper
Drive
Loyalty
>5 $249/Shopper
Offers
increase
loyalty
from
exis:ng
customers
- 5 10 15 20 CARDMEMBERS
(MILLIONS)
#LiveWebinar
26. CHALLENGE QUARTERLY SHOPPER’S AVERAGE
MARKET SHARE CHANGE QUARTERLY SPEND
• Acquire new customers
+0.52% $107
• Drive increased sales and +58%
increased basket size from
existing customers
+0.36%
$68
SOLUTION
Market Share (Q4)
Market Share (Q1)
Pre-Program (Q3)
Post-Launch (Q4)
• Executed Cartera card-
linked advertising strategy
• Retailer evaluated
transaction analytics on
quarterly basis to measure
sales from new & existing
customers
• Cartera-generated sales 0.52% increase market 58% increase in average
compared to existing share – 1 quarter quarterly spend
member sales
PERFORMANCE-‐BASED
RESULTS
#LiveWebinar
27. Your GoToWebinar Attendee Viewer is made of 2 parts:
1.
Viewer
Window
2.
Control
Panel
Type
your
ques9on
here
#LiveWebinar
28. SPEAKER SPEAKER
Madeline K. Aufseeser Jim Douglass
Senior Analyst Executive VP
Aite Group Cartera Commerce
MODERATOR
Debbie Hauss
Editor-in-Chief
Retail TouchPoints
#LiveWebinar
29. You can download this
presentation & view the
webinar On-Demand here:
http://rtou.ch/card-linked-offers
#LiveWebinar