Data is the Gulf’s New Oil - Loyalty Chief Stresses Importance of Data Refinement
Added: (Wed Nov 24 2010)
Pressbox (Press Release) -
The global loyalty market is predicted to be worth over US$100 billion by 2015 according to a head of the world’s largest loyalty organisation.
Speaking today at the Customer Show MENA 2010 in Dubai, Dave Battiston, Group Aeroplan’s Managing Director Retail, claims the future importance of data for retailers is crucial to maintain a competitive edge in a growing market.
Groupe Aeroplan, the global leader in loyalty management, owns 60 per cent of Air Miles Middle East, the region’s leading coalition loyalty programme, which has over 1.7 million members, with over 2,000 participating outlets in the UAE, Qatar and Bahrain.
Battiston says: “In the Middle East we operate under the Air Miles banner and membership in the UAE, Qatar and Bahrain has almost doubled over the past five years. We’re aiming for a 50 per cent increase in penetration by 2013, to take our membership to over three million members.
“Research predicts more people will access the web by mobile than through computers by 2013 and this statistic underlines the importance of these channels, as retailers evolve and plan for the future. The advent and growth in popularity of PDFs and smart phones is making the use of loyalty programmes increasingly simple and accessible and is helping propagate such schemes in the region.
“And just like oil, this data is a rich commodity that is extracted and refined, and those that handle it in this way massively increase their chances of success. If you go to the local grocer, you will get a personal service from a retailer that knows what you like and this encourages you to keep going back. In the same way, larger organisations must always strive to better understand the needs of individual customers and the correct use of data is a crucial factor.
“One of the biggest challenges facing retailers is the increasing need to provide consumer value, with many merchants looking to loyalty options rather than discounting prices. By understanding customer shopping behaviour organisations can individually target promotions to prevent inefficient ‘across the board’ marketing. This in turn increases customer loyalty and ultimately generates significantly better returns on investment for retailers.
“Most major retailers are now multi-channel and like to engage consumers through smart interaction, such as with Amazon, where the website will automatically show you other things you might like to buy whenever you make a purchase. This type of intelligent interaction will be vital to the future success of retailers.
“We will strive to ensure our members continue to be engaged in this manner using rewards, while significantly increasing our presence across the region through increased penetration as a result of an aggressive acquisition drive.”
Air Miles offers a wealth of rewards and experiences to members, such as electronics, jewellery, family days out, adventure experiences, hotel and flight bookings.
www.airmilesme.com