NL2026611B1 - Method and system for incentivizing customer loyalty - Google Patents
Method and system for incentivizing customer loyalty Download PDFInfo
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- G06Q30/00—Commerce
- G06Q30/02—Marketing; Price estimation or determination; Fundraising
- G06Q30/0207—Discounts or incentives, e.g. coupons or rebates
- G06Q30/0208—Trade or exchange of goods or services in exchange for incentives or rewards
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- G06Q30/0224—Discounts or incentives, e.g. coupons or rebates based on user history
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- G06Q30/02—Marketing; Price estimation or determination; Fundraising
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- G06Q30/00—Commerce
- G06Q30/02—Marketing; Price estimation or determination; Fundraising
- G06Q30/0207—Discounts or incentives, e.g. coupons or rebates
- G06Q30/0238—Discounts or incentives, e.g. coupons or rebates at point-of-sale [POS]
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Abstract
With the number of retail establishments that exist today, a retailer or retailer chain is constantly striving to attract and keep the attention of customers to encourage them to shop at its retail stores, such as a super market. The invention relates to a method for incentivizing customer loyalty. The invention also relates to a system for performing the method according to the invention.
Description
Method and system for incentivizing customer loyalty The invention relates to a method for incentivizing customer loyalty. The invention also relates to a system for performing the method according to the invention.
With the number of retail establishments that exist today, a retailer or retailer chain is constantly striving to attract and keep the attention of customers to encourage them to shop at its retail stores, such as a super market. As a way to retain customers and increase sales, several retailer utilize customer loyalty programs.
Loyalty programs typically provide a customer a discount on their purchase or tie some type of points/award to their transaction. Here, it is known that a physical collectible, such as e.g. a soccer card depicting a soccer player, is provided to the customer upon a purchase in a retail store, allowing the customer to collect all physical collectibles and hence to complete the collection of physical collectibles, such as a complete soccer team. Research has shown that customers which are willing and incentivized to collect the complete set of physical collectibles spend more and return more often to the retail store compared to unincentivized customers. A drawback of this attractive, known loyalty program is that the customers remain relatively anonymous to the retailer, which renders it impossible for the retailer to carry out a demographic analysis, which would provide the retailer more insights in its customer base, which could be used to for further business optimization. Another drawback of this known loyalty program is that the loyalty program follows the conventional linear, single-dimensional style of loyalty programs, which also imposes restrictions to the retailer.
it is an object of the invention to provide an improved method according to the invention, which does not suffer from at least one of the aforementioned drawbacks.
To this end, the invention provides a method for incentivizing customer loyalty, comprising the steps of: a) providing each of a plurality of customer with at least one physical collectible by a physical store upon a purchase in said store, wherein said physical collectible is provided with a unique code, wherein said unique code is related to said physical collectible, wherein said physical collectible makes part of a set of collectibles, and wherein each physical collectible represents an individual physical collectible value VPL, b) allowing each customer to create a customer profile on an online platform controlled and monitored by a service provider connected to said store to create a personal digital environment for building a personal digital collection of collectibles, wherein said digital environment is at least partially stored onto said online platform, c) allowing each customer to enter said unique code into its own personal digital environment to unlock at least a part of at least one digital collectible related to said physical collectible, wherein said at least a part of said digital collectible is added to the personal digital collection, wherein said digital collectible represents at least one individual digital collectible value VDI, and wherein the personal digital collection represents a digital collection value VDT which is related to the sum of individual digital values of digital collectibles making part of said digital collection, d) predefining at least one award level in each personal digital environment by said service provider, wherein at least one award level is assigned at least one predefined award related digital value VDA, e) allowing a plurality of customers to repeat steps a) and c) at least a number of times, f) providing a digital award voucher to each customer with a digital collection with a digital collection value VDT meeting or exceeding at least one award related digital value VDA, g) allowing each customer to redeem said digital award voucher in or via said store to receive at least one physical reward, in particular at least one physical reward collectible, and h) allowing the service provider and/or the online platform to define and/or modify the value ratio between at least one an individual physical collectible value VPI and at least one co-related individual digital collectible value VDI.
The known method has several advantages over the known methods to incentivize customers to spend money and/or to return to a retail store. First of all, the shopping customer still receives a physical collectible to allow and incentivize the customer to save up further physical collectibles to complete a physical collection of collectibles, but at the same time a corresponding digital collection can be built by the customer, within its own personal digital environment, connected to the customer's user profile, which allows the retailer to monitor which customer is in the possession of which type and number collectibles. Moreover, in addition to the dual collection to be built by the customer, the method according to the invention allows to define and/or modify, either manually (by the service provider) and/or automatized (by the online platform), the value ratio between at least one an individual physical collectible value VPI and at least one co-related individual digital collectible value VDI. In this way, the rarity factor of at least one, preferably each, digital collectible can be adapted to make it easier or more difficult to complete the digital collection of digital collectibles, and to make it easier or more difficult for a customer to reach an award level, and hence to get rewarded. These modifications can be applied during running of the loyalty program, and provides flexibility to change the rules of the game during the loyalty program campaign, and to manipulate the customer behaviour dependent on the actual market situation, which will be described below in more detail.
In order to clarify various expressions used above, the following non-limitative, illustrative, explanation is given for these expressions: - A “customer” can be a consumer and is typically an individual natural person; - A “physical collectible” is a physical item, which may include stamps, popular individuals, (fantasy) characters, stickers, etc; - A ‘set of collectibles” is typically a group of all different collectibles. The different physical collectibles may be produced in different numbers to realized a distinctive rarity of the physical collectibles to further incentivize customers to spend more money and/or to return to a retail store to receive (also) more rare physical collectibles; - A “unique code” is a code which, within the context of the loyalty program, has a unique characters. Physical collectibles of, either of different or the same nature (or type), are each provided with an own unique code. The code may e.g. a numeric code, an alphanumeric code, a bar code, a QR code, or any other, preferably computer-readable, code; - An “individual physical collectible value VP/”is typically a nominal referential value {e.g. 1) in order to tweak the corresponding digital collectible value VDI relative to this physical collectible value VPI, - A “customer profile” comprises at least some basic information, e.g. the name, mobile number, address, e-mail address, age, sex, occupation, and/or education level, to identify the customer to at least a basic extent; - An “online platform” can be either a cloud based software environment and/or a network based software environment. Typically, the online platform is defined as a digital service that facilitates interactions between two or more distinct but interdependent sets of users, i.e. the customers, the service provider, and optionally the retail store(s), who interact through the service via the Internet; - A “personal digital environment” is a private, semi-public, or public digital space, wherein digital collectible related data of a customer are stored and preferably also visualized via a user interface. The data stored within and/or related to said personal digital environment are at least partially stored on the online platform, but may, optionally redundantly also be stored on a mobile device, such as a smartphone, of a customer onto a which a native app may be installed to (amongst others) visualize the digital collection saved by the customer; - An "award level” can e.g. be based upon predefining a number and/or type of digital collectibles to be collected by a customer, but may also include other parameter such as time related parameters and/or user profile related parameters. Various algorithms can be defined to define the award level. In practice, it will be preferable to apply a plurality of award levels to improve the attractivity of the loyalty program; - A “digital award voucher” may e.g. be in the form of a, preferably computer- readable, code shown on a mobile device of a customer, and will typically become invalid, invisible and/or unusable once the customer has received the physical reward in the retail store, and/or has ordered the physical reward via an online environment of the retail store or an intermediate service provider; - A “service provider” may be integrated with the retail store or retail store chain, or may be a third party controlling and monitoring the loyalty program campaign. Typically, this third party will be paid for offering these services, wherein the store(s) will receive customers related statistics collected during the execution of one or more of steps b)-d), f) and h).
During step a) it is conceivable that the customer receives a packaging including a plurality of physical collectibles. The unique code may be printed directly onto the physical collectible, for example at a rear side or bottom side, but it is also imaginable that the unique code is printed on a separate support structure, such as a sheet or packaging.
There are various ways to tweak or tailor the digital collectible value relative to the corresponding physical collectible value, in advance and/or at predefined time intervals and/or randomly and/or according to an algorithm and/or manually and/or real-time, wherein a couple of preferred embodiments are described below.
5 Preferably, during step h) the value ratio between at least one an individual physical collectible value VPI and at least one co-related individual digital collectible value VDI is defined and/or modified, in dependence of the sum of individual digital collectible values 5 VDI of a plurality of digital collections at least partially stored on the online platform. In this way, the rarity or scarcity of one or more fully unlocked digital collectibles and/or the number of one or more fully unlocked digital collectibles can be modified dependent on the overall collection status of the digital collections of a plurality, in particular all, customers. For example, in case it is observed that at a certain moment in time a specific (fully unlocked) digital collectible is only present in 20% of all digital collections (of all customers together), the value ratio can be modified such that it becomes more easier for each customer to fully unlock said collectible (after receipt of a new corresponding physical collectible). It is also imaginable that during step h) the value ratio between at least one an individual physical collectible value VPI and at least one co-related individual digital collectible value VDI is defined and/or modified, in dependence of the sum of digital collection values 5 VDT of a plurality of digital collections at least partially stored on the online platform. Here, the overall collection level of the collections are taken as starting point to modify the value ratio. For example, in case it is observed that at a certain moment in time the average collection level of all digital collections is 95%, one may want to slow down the digital collection process, and hence the value ratio can be modified such that it becomes more difficult for each customer to fully unlock digital collectibles (after receipt of new corresponding physical collectible). It is also conceivable that during step h) the value ratio between at least one an individual physical collectible value VPI and at least one co-related individual digital collectible value VD! is modified randomly, preferably at predefined time intervals, and/or according to a predefined algorithm. it can be preferred that during step h) the value ratio between each individual physical collectible value VPI and each co-related individual digital collectible value VDI is modified time-dependently, wherein the value ratio increases or decreases in time, preferably at predefined time intervals. In this manner, it will become more difficult or more easy in time to fully unlock a digital collectible.
The value ratio between at least one an individual physical collectible value VPI and at least one co-related individual digital collectible value VD/ as defined and/or modified during step h) is preferably situated in between and including 1.1 and 20. This means that the nominal value of the physical collectible is preferably higher than the value assigned to the corresponding physical collectible. This in turn typically means that a customer should collect at least two physical collectibles of the same nature/type in order to fully unlock, and hence to obtain, the corresponding digital collectible. This also implies that it would be easier to complete the physical collection than to complete the digital collection.
As indicated above, all unlocked digital collectibles, or unlocked parts thereof, of the digital collection of a customer are preferably visualized in the customer's personal digital environment. To this end, the customer typically installs a (native) app onto its mobile device, such as a smartphone, or alternatively, logs in onto a web-based environment, to generate a user interface onto which all collected collectibles (or parts thereof), and optionally other features, like e.g. collectibles still to be collected, are shown.
Preferably, during step g) each physical reward, in particular each physical reward collectible, is provided with a unique code to be entered into the customer’s own personal digital environment to unlock at least a part of at least one digital reward collectible related to said physical reward, in particular each physical reward collectible. This code is preferably a computer-readable code to be scanned by the customer. This code is intended to add a digital version (a digital reward collectible) corresponding to the physical reward collectible to the customer's digital collection. As mentioned above, the digital award voucher obtained by a customer during step f) is preferably a single-use voucher, and wherein the digital award voucher is removed from the personal digital environment and/or becomes unusable for the customer after execution of step g). it is imaginable that at least one customer is allowed to see the digital collection of at least one other customer, such that customers may exchange digital collectibles with each other. In this manner smaller or larger communities of customers can be formed, wherein the customers are able to check the actual collection status and/or progress of other customers. This embodiment would also allow a trade-off of digital collectibles between customers, which renders it more easy to complete the digital collection.
In a preferred embodiment, during step d) a plurality of award levels in each personal digital environment are defined by said service provider, wherein each award level is assigned at least one predefined award related digital value VDA, and wherein at least predefined award related digital value VDA is a time- dependent value which, for each customer, increases (or decreases) in time, preferably at predefined time intervals, as from the moment of creating the personal digital environment of said customer. Applying at least one time-dependent award level, wherein the corresponding award related digital value VDA of which increases in the course of time, it becomes more difficult for a customer in the course of time to achieve said award level, which stimulates the customer to expedite the collection process, which is in turn favourable for the retail store. Preferably, during step g) different physical rewards with preferably different values can be obtained by the customer, and wherein during step f) a voucher value of the digital award voucher which applies at the moment of redeeming the voucher (and to be presented to the store) determines the physical reward to be received by the customer. More preferably, said voucher value is a dynamic value which decreases in time. This means that the customer is encouraged to redeem its physical reward, in particular its physical collectible, as soon as possible to obtain the reward with the highest value.
Preferably, all customer related actions performed within each personal digital environment are timestamped and subsequently stored on (a storage medium of) the online platform. In this manner a log is created, which can be analysed, optionally real-time analysed, by the service provider and/or automatically by the online platform and/or by the store or store chain.
The method according to the invention comprises steps which are carried out partially offline and partially online. Typically, the method according to the invention starts with an offline step (step a)), followed by various online steps (steps b)-d), f)
and h), and followed by an offline step (step g)). Hence, steps b)-d), f), and h) are computer implemented method steps.
Preferably, prior to step a) a plurality of sets of n physical collectibles is produced, wherein nis equal to or larger than 2, preferably at least 10, and wherein the numbers of different physical collectibles, in particular different physical collectible types, mutually differ.
In other words, each collection consists or comprises a group of distinctive collectibles, at least 2, but preferably at least 10, and more preferably at least 20. The rarity or scarcity of the different collectible types may differ per type, in order to render it more difficult to complete a physical collection, and hence to complete a corresponding digital collection.
The invention also relates to a system for performing the method according to the invention, comprising: a plurality of physical collectibles, wherein each physical collectible provided with a unique code, at least one physical reward, in particular at least one physical reward collectible, and at least one computer program comprising instructions which, when at least a part of the program is executed by at least one computer, cause the computer to carry out the steps, in particular steps b)-d), f) and h), of the method of any of the foregoing claims.
Advantages and various embodiments of this system, based upon the method according to the invention, have been described above and will be described below in an elucidated manner.
The invention will be further elucidated by means of non-limiting exemplary embodiments illustrated in the following figures, in which: - figures 1a and 1b show a schematic representation of a system and method according to the present invention; - figure 2 shows an example of the method and system according to the invention in practice; and - figure 3 shows a schematic representation of an embodiment of the system and method according to the invention.
Within these figures, similar reference numbers correspond to similar or equivalent elements or features.
Figures 1a and 1b show a schematic representation of a system 1 according to the present invention and the possible method steps of a method according to the present invention. The method is in particular configured for incentivizing customer loyalty. Figure 1a shows a sequence of steps starting with at least one customer, and preferably a plurality of customers, visiting a physical store 2, receiving a physical collectible 4 and the digitalization thereof. Each customer 3 is provided with a physical collectible 4 by the physical store 2 upon a purchase in said store 2. Such physical collectible 4 forms part of a set of physical collectibles 4. It is conceivable that a customer 3 received multiple physical collectibles 4 upon a purchase in the store 2, wherein each physical collectible 4 comprises a unique code. Each physical collectible 4 represents an individual physical collectible value VPL. The method and system 1 according to the invention enable each customer to create a customer profile on an online platform. The online platform is typically controlled and/or monitored by a service provider connected to the physical store 2.
The customer can create a personal digital environment for building a personal digital collection of collectibles, wherein said digital environment is at least partially stored onto said online platform. The customers 3 could, after receiving a physical collectable 4, enter its unique code into the customers own personal digital environment in order to unlock at least a part of at least one digital collectible 4i which is related to said physical collectible 4. Subsequently, at least a part of said digital collectible 4i is added to the personal digital collection of the customer 3. Each digital collectible 4i represents at least one individual digital collectible value VDI. The personal digital collection of a customer 3 represents a digital collection value VDT which is related to the sum of individual digital values VD! of digital collectibles 4i making part of said digital collection. The collection of physical collectibles 4 by customers via store purchases and entering of the unique code of such physical collectible 4 such that at least one digital collectible 4i is obtained can be repeated a number of times. Typically, the more digital collectibles 4i are obtained by a customer, the higher will be the digital collection value VDT of said customer. The customer’s personal digital environment shows the unlocked digital collectibles 4i, and the unlocked parts thereof. Figure 1b show a sequence of steps which could be performed by the customer 3 after a certain value of the digital collectible value VD! is reached. The value of the digital collection VDI could reach an award level wherein such award level is assigned at least one predefined award related digital value VDA.
The award level can be predefined in each personal digital environment by the service provider.
Hence, it is conceivable that the award level is a customer related award level.
After a customer 3 having a digital collection with a digital collection value VDT meeting or exceeding at least one award related digital value VDA said customer 3 will be provided with a digital award voucher.
The customer 3 can subsequently redeem said digital award voucher in or via said store 2 to receive at least one physical reward 5, in particular at least one physical reward collectible 5. The store 2 is preferably a physically store 2, however, it is also conceivable that the digital award voucher can be entered at the online platform where after the costumer 3 receives its physical reward collectible 5 by post.
Since, the physical reward collectible 5 can only be obtained after creating a digital collection of a certain value, the physical reward collectibles 5 are rather rare and therefore typically wanted by customers 3. It is preferably part of the invention that the service provider and/or the online platform is allowed to define and/or modify the value ratio between at least one an individual physical collectible value VPI and at least one co-related individual digital collectible value VDI.
Hence, the system and/or method can be adapted based upon predetermined and/or actual factors.
It is for example conceivable that the individual digital collectible value VD/ of a digital collectible 4i is adapted based upon the digital set of collectibles of an individual costumer 3 or upon the digital set of collectibles of the plurality of costumers 3. It is also conceivable that the service provider and/or the online platform is allowed to define and/or modify a plurality of award levels in each personal digital environment.
For example such that at least one predefined award related digital value VDA is a time-dependent value which, for each customer, decreases in time, preferably at predefined time intervals, as from the moment of creating the personal digital environment of said customer. lt is also conceivable that the award levels in each personal digital environment are modified based upon the digital set of collectibles of an individual costumer 3 or upon the digital set of collectibles of the plurality of costumers 3. lt is also conceivable that the service provider and/or the online platform is allowed to modify the individual digital collectible values VDI.
Hence, the rarity factor of at least one, preferably each, digital collectible can be adapted to make it easier or more difficult to complete the digital collection of digital collectibles, and to make it easier or more difficult for a customer to reach an award level, and hence to get rewarded.
Figure 2 shows a possible way of how the method and system 1 according to the invention could be used in practice. It is conceivable that the customer 3 continues collecting digital collectibles 4i via the entering obtained physical collectibles 4 in their digital environment. It is for example conceivable that a customer 3 recompletes its digital collection multiple times. When a digital collection value VDT meets or exceeds at least one award related digital value VDA for a second or further time, the customer 3 could again be provided with a digital award voucher for a physical reward collectible 5 to be obtained in or via said store 2. lt is preferred that a physical reward collectible 5 received after a second or further completion has a higher individual physical collectible value VP/ compared to a physical reward collectible 5 received after a first completion as this will encourage the customer to continue collecting physical and digital collectibles 4, 4i, 5. Since the physical collectibles 4 are typically only obtainable via a (physical) store 2, the costumer loyalty to the store 2 will be encouraged.
Figure 3 shows a schematic representation of an embodiment of the system and method according to the invention wherein at least one customer 3, and preferably multiple customers 3, are enabled to see the digital collection of at least one other customer 3. Hence, customers 3 may exchange digital collectibles 4a with each other. In this manner a community of customers 3 can be formed, wherein the customers 3 are able to check the actual collection status and/or progress of other customers 3.
lt will be clear that the invention is not limited to the exemplary embodiments which are illustrated and described here, but that countless variants are possible within the framework of the attached claims, which will be obvious to the person skilled in the art. In this case, it is conceivable for different inventive concepts and/or technical measures of the above-described variant embodiments to be completely or partly combined without departing from the inventive idea described in the attached claims.
The verb ‘comprise’ and its conjugations as used in this patent document are understood to mean not only ‘comprise’, but to also include the expressions ‘contain’, 'substantially contain’, ‘formed by’ and conjugations thereof.
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NL2026611A NL2026611B1 (en) | 2020-10-02 | 2020-10-02 | Method and system for incentivizing customer loyalty |
DE212021000472.5U DE212021000472U1 (en) | 2020-10-02 | 2021-10-01 | System for creating incentives for customer loyalty |
PCT/NL2021/050599 WO2022071806A1 (en) | 2020-10-02 | 2021-10-01 | Method and system for incentivizing customer loyalty |
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NL2026611A NL2026611B1 (en) | 2020-10-02 | 2020-10-02 | Method and system for incentivizing customer loyalty |
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US20140129307A1 (en) * | 2012-11-02 | 2014-05-08 | ProductTap, LLC | System and Method for Facilitating Commercial Interactions via a Physical Insignia |
US20150265934A1 (en) * | 2012-10-17 | 2015-09-24 | China Industries Limited | Interactive toy |
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US11127047B2 (en) * | 2018-12-20 | 2021-09-21 | Sap Se | Digital promotion system using digital collectibles |
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US20150265934A1 (en) * | 2012-10-17 | 2015-09-24 | China Industries Limited | Interactive toy |
US20140129307A1 (en) * | 2012-11-02 | 2014-05-08 | ProductTap, LLC | System and Method for Facilitating Commercial Interactions via a Physical Insignia |
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