Mobile wallets are on the rise for certain segments of the population, but they haven't yet taken off at the rate some were hoping, and no single mobile wallet has emerged as a go-to option for users. So what's lacking in the consumer's eyes? A recent survey of 1,500 consumers by Points, "The State of Mobile Wallet Loyalty and Engagement in 2016," had one particular finding that illuminated a pathway to higher engagement.
More than 94 percent of consumers said they would use a mobile wallet more frequently if they could earn and redeem loyalty points and miles with every transaction. This proves that the idea of convenience isn't enough for consumers to change habits – mobile wallets needs to offer added benefits.
Yet another study found that mobile loyalty reminders drive in-store traffic. Sixty-seven percent of U.S. respondents and 58 percent of U.K. respondents are likely to visit a store if they receive coupon reminders when they're near a store's location and the coupon is soon to expire.
These two data points suggest that mobile wallet users would rather feel even more integrated with their loyalty programs while they're untethered from a bulky wallet or bag. This means that mobile wallet technology has to integrate more omnichannel opportunities using preference management.
Preference management, the active collection, maintenance and distribution of unique consumer characteristics, such as product interest, communication channel preference and frequency of communication can help mobile wallet developers access consumers' loyalty memberships and create opportunities for customers to engage. By collecting and leveraging this data, consumers could and should be alerted to existing deals that they're eligible to receive, and would be doubly rewarded for their follow-through with additional loyalty points. Integrations like these would bring in the rest of the population – the less tech-savvy and those looking for deals – and be a welcome option for those already experimenting with mobile wallets.
Eric V. Holtzclaw is Chief Strategist of PossibleNOW. He's a researcher, writer, serial entrepreneur and challenger-of-conventional wisdom. His book with Wiley Publishing on consumer behavior - Laddering: Unlocking the Potential of Consumer Behavior - hit bookstores in the summer of 2013. Eric helps strategically guide companies with the implementation of enterprise-wide preference management solutions.
Labels: in-store traffic, loyalty membership, loyalty points, loyalty programs, mobile wallet, omnichannel, preference management, tech-savvy, The State of Mobile Wallet Loyalty and Engagement in 2016