Gamification Benefits to Rewards/Loyalty Programs

Rewards VIP Club
Presentation on:
- Rewards/Loyalty Programs Reap Very Real ROI
- Rewards Mobile App
- 10 Business Benefits to Rewards/Loyalty
Programs with Gamification Call 303-594-1694
V12-6 - © Techtionary Company Confidential – www.rewardsvipclub.com/
or email
cross@gocross.com
to setup a call or meeting.

Rewards VIP Club
Rewards/loyalty programs are
proven, among other things to:
- Rapidly gain and significantly
retain customers,
- Increase faster “comeback”
and total revenues and
- Accelerate customer
engagement.
V11-19 - © Techtionary Company Confidential – www.rewardsvipclub.com/

Rewards/Loyalty Programs Reap Very Real ROI
Here are the highlights from our real ROI-return on investment benefits:
1 - Pizza Hut has enjoyed 12 times return on ROI from customer engagement.
2 – Pharmaca loyalty program includes 36% of Pharmaca’s customer base, 66% dollar-volume
sales are on the program and 56% of transactions go through it.
3 – Fast casual/delivery chain – 27% increase in new loyalty customers who returned at least
once after initial order.
4 - Extraco Bank raised their customer acquisitions by 700 percent.
5 - CityOne is now IBM’s top sales lead generator..
6 –Toy manufacturer sees 300% increase in revenue.
7 – Magazine – increased readers by 80,000 in four months with 60% increase in revenues and
85% renewals.
8 – Sales Competition – increased participation had long-standing impact afterward not just
during event.
9 – Point your smartphone and app creates an augmented reality experience.
10 – 90 more case studies.
See end of presentation for details on each.
© Techtionary Company Confidential – www.rewardsvipclub.com/

Rewards/Loyalty Programs Real Benefits
Here are a few of the many benefits of rewards/loyalty programs:
1 – Drive customers to higher product margins (value propositions)
2 – Drive the new customer experience from mere place to engaged experiential event
3 – Move from “frequency” card (buy one, get one) to customer-focused and competitive-driven
loyalty
4 – Create multiple/omni customer experiences to gain deeper insights into customer …
5 – Change customer behavior toward use of technology
6 – Change corporate alignment from “silo to solo”
7 – Mobilize customer engagement – bricks to clicks and web to mobile
8 – Expand the meaning of channel partners (downline) and suppliers (technology partners)
9 – ROI and analytics mean more than just revenue benefits
10 – Future trends in gamification changes the paradigm
See end of presentation for details on each.

Rewards Programs Reap
Real Rewards with Very Real ROI
Nearly everyone we have spoken with our rewards
app has asked about ROI-return on investment.
Few have not mentioned the fact that “funds are
tight” and the like. The app alone is just a great
tool in building a great rewards/loyalty program.
After extensive research, here are 10 and if you
want 100 more examples of the real ROI benefits:

1 - Pizza Hut has enjoyed 12 times return on ROI
from customer engagement in the past year since it has
used a new solution to target customers through mobile,
social, and in-store - A 38% improvement in Pizza Hut’s
customer retention rate, 9% increase in customer
visit/purchase frequency in just seven months, and up to 6%
extra sales generated every month since the program was
started. Click here for more.

2 – Pharmaca loyalty program includes 36% of
Pharmaca’s customer base, 66% dollar-volume
sales on the program and 56% of transactions
go through it. Specifically, Pharmaca has
seen a 50% increase in cross-shopping
(retail, prescription, other departments)
customers, and the per-member spend
has gone up across the board by 15%.
Also notable — a 5.2% increase in prescription
count, and a 9.3% increase in overall sales. Click
here for more.

3 – Fast casual/delivery chain – 27%
increase in new loyalty customers who
returned at least once after initial order.
Loyalty customers who order 2+ times was 41%
and ordered 3+ times was 22% compared to
non-loyalty of 12% and 4% - yielding $96.90
added value per loyalty customer per year.
Net ROI is $6,632 per month including cost of
rewards. Click here for more.

4 - Extraco Bank raised their customer
acquisitions by 700 percent. Extraco Bank in Texas was
able to use gamification to teach their customers about
certain benefits the bank has to offer. Ironically, they
employed their gamification technique to help ease the pain
of the news that free checking was going to go away for
certain customers. Their rewards game had around 4,250
visitors and was able to convert 14% of visitors into a bonus
banking account from their free checking account. The usual
rate of conversion is less than 2%. Click here for more.

5 - CityOne is now IBM’s top sales
lead generator. CityOne now serves as a
sales tool for IBM salespeople. One hour of
gameplay was given to “ambassadors” – the
game is free but games could be customized
for sales representatives based on the needs
of clients. Creating a platform where sales
representatives can cater to client’s pain
points proved to be an incredibly useful
feature of Innov8: City One. Click here for
more.

6 – Teleflora drives increased sales with a bouquet of social offerings with 102% increase
in referral traffic with 92% conversion. Toy manufacturer sees 300% increase in revenue. Click
here for more.

7 – Magazine – increased readers by 80,000 in four months with 60% increase in
revenues and 85% re-engagement (subscription). Click here for more on page 14 of slide
show, also note Buffalo Wild Wings case study on page 10 with increased participation of 500%.

8 – Sales Competition – increased participation had long-standing
impact afterward not just during event. A highly
effective way to provide that nudge is to run a sales contest or
use gamification principles that offer a reward, incentive,
leaderboards, and status updates. Click here for more.

9 – Point your smartphone at
outdoor posters and billboards and
the app creates an augmented reality
experience, allowing you to order a pizza,
Domino’s is in the process of migrating to a
pure digital environment and has been smart in
its supporting tactics. Domino’s digital
platforms comprise 30% of sales in the U.S.; in
April 2014 it reached the $1 billion milestone in
online sales – Forbes. Click here for more.
10 – 90 more case studies – Click here for
more.

Summary – ROI runs the gamut from “complete certainly” to “hard to measure but it
works.” These examples are just a few of the more than 100 case studies explored
during the research. ROI is both hard (dollars) and soft (happy customers). In
developing a strategy whether via gamification (soft) or cash (hard) there are real
benefits and actually a careful combination of both hard and soft provide even great
rewards that anyone expected. The challenge is making rewards programs both fun
and rewarding.
References:
Gamification 101 – click here for slide show

Special Case: Starbucks
• There are 5 million Starbucks rewards customers and "we're just getting started," said Adam Brotman, Starbucks'
chief digital officer,
• 5.5 million email opt-ins allow for direct communication with customers and cuts down on coupon printing costs.
• 25 percent of store transactions are prepaid increasing cash flow.
• E-cards via Living Social and Google Offers produce quick sales bursts. Starbucks sold 600,000 e-cards on
Google Offers.
• Starbucks does 2.1 million mobile payment transactions per week. Brotman considers mobile to be the glue of the
entire digital. "With mobile it all comes together and allows us to turbo charge everything across digital," he said.
• As for the returns on investment, Brotman noted that the Web, mobile and social efforts combine to "give us lower
cost of marketing per customer," said Brotman. "We can spend and rely far less on traditional and paid
marketing," he added.
• Meanwhile, the loyalty card programs give Starbucks a lot of data and insights for analytics.
• Mobile payments move lines faster and increase sales velocity.
• A deal with Square also turns out to be a cheaper way to process debit and credit cards over Starbucks' current
processor. "Square gives us savings on credit and debit card processing and it's a real number," said Brotman.
• Click here for complete article.

Here are a few
screenshots
from the of the main
screen with user
selectable images.
Specific Features
and options will be
based on customer
discussions.
Call 303-594-1694
or email
cross@gocross.com
© TECHTIONARY COMPANY CONFIDENTIAL – WWW.REWARDSVIPCLUB.COM/

Individual
Scoreboard
can be customized to
suit specific needs.

Chat Features
- Administrator to User Chat
and
Optional - User-to-User Chat

News Center
- Add news with
- Text
- Links
- Video
- Audio
- Pic
- Push to social media
- Push – re-push

Discussion Center
- Categories and User
collaboration with
- Text
- Links
- Video
- Audio
- Pic

“Push” Messaging
for Campaigns,
Specials and Alerts
Sponsor can Select Color-coding
for Special Offers
Push messages can be social media,
images, video, audio and URL.

More on “Push”
Initial push message will appear on
Locked screen (shown here) or top of
unlocked screen and the user swipes to
see images, more text, URL, audio, etc.
Even there are limitations on text in a locked
or unlocked screen additional text can be
included when the user opens the app.

“Push” Easy as 1-2-3
1 – App administrators can
send “push” messages that
can be images, video,
audio or URL.
2 - Initial push message will
appear on Locked screen
(shown here) or top of
unlocked screen and the
user swipes to see images,
more text, URL, audio, etc.
3 - Then the push
message appears with
all the other push
messages in “color”
along with pics, audio
messages, videos. if
selected.

Comprehensive
Administrative
System
- Add/Delete Users
- Events and Sponsor Pages
- Add/Delete Campaigns
- Reward Administration
- Database Integration
- Other Features

Login & Signup
Via
- Email
- Facebook
- Twitter
- Linkedin

Optional Features
including
- Local Weather
- Calendar
- Special Alerts
- Countdown Timers for events
- Custom features as needed

10 Business Benefits to Rewards/Loyalty
Programs with Gamification
Here are a few of the many benefits of rewards/loyalty programs including
some thoughts on gamification and future trends:

1 – Drive customers to higher product
margins (value propositions) – remix the portfolio by
investing in higher value areas and making decisions on
existing businesses that no longer support our high value
strategy.* In addition, gamification in the form of
crowdsourcing has proven successful in product design,
development and testing of new products and business
strategies.

2 – Drive the new customer experience
from mere place to engaged experiential event -
compelling dining experience for our customers,
and superior business revenue results for our
shareholders.* Gamification makes events from
dining to tradeshows far more exciting for all
involved.

3 – Move from “frequency” card (buy one, get
one) to customer-focused and competitive-driven loyalty
– from mere players to customer as partners.

4 – Create multiple/omni customer experiences
to gain deeper insights into customer behavioral and give
them more insights and deeper knowledge of customer needs
– give more, get more. Gamification is particularly useful in
customer feedback “scoring” for contact center staff
evaluations and company business processes including
omni/cross-channel encounters (print, store, event, social,
etc.)

5 – Change customer behavior toward use of
technology - accelerating use of automation in product
lines and being more aggressive in our use of global
delivery skills and intellectual property across our service
lines.” Gamification via apps demonstrates your business
is more aligned with what the user carries in their hand and
takes to bed.

6 – Change corporate alignment from
“silo to solo” from centralized monarchial
management (silo) to individually customized
customer (solo) – from mass movie theatres to
movies on demand (MOD self-service). This
moves the customer engagement from reactive
(playing catch up) to proactive business with the
customer as co-pilot. Gamification takes skills
used in other gaming systems and gets them
involved in your business.

7 – Mobilize customer engagement – bricks to
clicks and web to mobile – customers who use the
Walmart app more often frequent Wal-Mart rather
than their competitors’ stores.* Gamification can
be used for instant rewards for both staff and
customers. In addition, gamification can be more
than a competitive experience but a shared
collaborative one with other
players/members/staff. Games should be more
than zero-sum game to “lift all boats” and helping
one helps all approach.

8 – Expand the meaning of channel partners
(downline) and suppliers (technology partners)
app features can give suppliers access to add
their content and events – an app within an app.

9 – ROI and analytics mean more
than just revenue benefits guiding market
share, presence, perception, product mix
and other factors – not just a one trick
pony and a meal does not mean you have
a conscience for customer health.

10 – Future trends in gamification changes the
paradigm of customer engagement farther and faster
than other means – game theory and artificial
intelligence techniques will drive future customer
engagement programs. Simulations of all kinds will
be used internally to motivate staff and customers
alike. Designing of games will evolve as part of
nearly all business operations making the job of the
job more efficient , effectively and certainly more fun.

Bottom-line - Rewards/Loyalty are engaging deeper and deeper into the process of customer
engagement experience. Today gamification is like the myriad of online/computer games that exist in
many forms. How games change the customer engagement experience is certainly an exciting new
frontier with many known pitfalls, likely new veins of gold and certainly many unknown perils but great
rewards to those who pursue this new approach customer exploration and development.
Sources: IBM, Loyalty360, Wal-Mart, TimeWarner, Knowledge Engineering (business applications of
artificial intelligence) by Thomas B. Cross ebook available.

Gamification – Monetization of Business
Management 10 Tips in less than 1 Minute
• Gamification is all the rage these days. In order to distill this down to something simple was the task at hand. Here are the briefly
highlights after reviewing more than 100 documents, articles and reports.
• 1 – Gamification is using game theory to manage, mobilize and motivate staff/customer/others blending work and play.
• 2 – Gamification typically consists of a game and UI designer. The game designer sets the goals, rewards (hard dollars and soft
benefits such as recognition, etc.) management, legal and outcome. The UI designer creates the user experience, fun, suspense,
intrigue, storytelling, etc. For example, SAP used a golf game and Cisco used a scavenger hunt.
• 3 – Gamification does not mean just via smartphones.
• 4 – Gamification like sports, board and other game formats each have unique characteristics that tap into the human psyche for
love, respect, honor, recognition, addiction, hunting, gathering and other factors.
• 5 – Gamification can solve also mundane business problems – One UK organization achieved $41 million in hard savings by
innovating its legacy business processes.
• 6 – Gamification is the new means for collaboration and communication (C&C) or unified C&C.
• 7 – Gamification means new business models as game theory no different than the vast array of games like chess or your favorite
board game rises to the C-suite. In other words, future corporate strategy will be gamified.
• 8 – Gamification systems learn new.
• 9 – Gamification is not about monetary rewards. Numerous studies show non-monetary rewards such as peer recognition work even
better.
• 10 – Gamification means no “one size fits all” whether the task at hand or goal or the vast options for rewards leading to suggest like
the myriad of computer/online/mobile games the market is ripe for new solutions.
• NOTE: The complete article can be found on the RewardsVIPClub.com

General Conditions & Social Media
Promotion
 After discussions with customer, fees will be based on final proposal for different
smartphone platforms such as Apple (iPhone, iPad, Apple Watch), Android, Windows, etc.
Specific features and options will be based on customer discussions.
 Estimated delivery is 6-12 or more weeks per smartphone platform based on final
featureset. Customer test versions will be provided.
 App feature enhancements, other app development, management and hosting and support
is provided for the first month at no charge and thereafter based on support agreement.
Customer will need to get an Apple Developer account at $99 per year as required for each
unique app and dedicated server depending on the number of users and volume of user
traffic and content postings.
 Professional staff gamification and event design/development promotion services will be
provided for one event or first month at no charge and thereafter based on proposal for
professional services.
 Social Media promotion to ~17,000 Twitter followers via various Twitter accounts will be
provided at no charge for the first month. In addition, one press release development and
distribution will also be provided at no charge including Google optimization.
 Call 303-594-1694 or email cross@gocross.com to setup a call or meeting.

Company
Background
Here are just some of the apps approved
by iTunes Appstore which can be found
under Techtionary on iTunes.
Twitter accounts
@techtionary
@beautyapps

Rewards VIP Club
Specific Features
and options will be
based on customer
discussions.
Call 303-594-1694
or email
cross@gocross.com

Gamification Benefits to Rewards/Loyalty Programs

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