MOVING THE NEEDLE TOWARDS DIGITAL ADOPTION
In marketing new digital features, firms have to consider customers’ sentiment. People who spent years using physical loyalty cards will take time to get used to the new way of digital cards. Many elders may be skeptical of digital technology, and may not fully understand how it works.
Even if they are tech-savvy, many elders may still prefer the traditional, tangible nature of physical documents. More specifically, the preference for the physical among the elder generation is a common phenomenon with roots in both familiarity and trust.
Getting the elderly generation to adopt digital technologies can be a challenge, but it is possible with the right approach. The app needs to be user-friendly with a simple and intuitive interface. Firms also need to provide step-by-step instructions on how to use the digital card, and be available for any questions or concerns customers may have.
For those who are still resistant, firms such as Kopitiam must address concerns, such as those relating to cybersecurity and ease of use. This can be done through publicity videos, ambassadors or store assistants. By openly discussing these issues and providing solutions, the firms can help consumers feel more comfortable and confident with the digital loyalty programme.
Finally, many consumers feel overwhelmed with digital solutions and mobile applications due to information overload, excessive notifications, and the pressure to stay connected.
With many brands now having their own individual apps, our phones are cluttered with multiple little icons across multiple screens.
The constant availability of digital solutions and mobile apps has led to many consumers overusing these technologies. This can lead to feelings of tiredness, boredom, and burnout as consumers struggle to keep up with the constant flow of information and stimulation.
Firms moving to digital loyalty programmes need to consider all this. In business and marketing, it is not all about what you want to promote to the customer, but what the customer needs. Make the digital switch easy for them, and even the least tech-savvy customer can be won over.
While the physical cards are still in use, their era as the flagship marketing tactic will come to an end sooner or later. With the rise of mobile technology and digital wallets, many customers will be using digital loyalty programmes and reward systems instead of traditional physical cards.
Samer Elhajjar is Senior Lecturer, Department of Marketing, National University of Singapore Business School. The opinions expressed are those of the writer and do not represent the views and opinions of NUS.