© 2011 IDC

Michael Fauscette, Group Vice President, Software Business Solutions

© 2011 IDC

2011: Business has changed!

http://www.telegeography.com/product-info/map_internet/images/internet_map09_lg.gif

• Hyper-Connected

• Global

• Hyper-Competitive

• Innovate!

• Decentralized

• Mobile

© 2011 IDC

Behavior has Changed

•  Customers & employees are congregating online

•  Turning to trusted sources for advice & help

•  Shift of influence & relevance

•  BYO attitudes

© 2011 IDC

Loyalty and Reward Programs

49% Never or Rarely Take Advantage

78% Easy Access

ACI WorldWide

© 2011 IDC

Loyalty Programs

•  Opt-in – exchange info for rewards

•  Loyalty – Access to best deals

•  Coupons

© 2011 IDC

Loyalty Programs

52% Single Card

© 2011 IDC

Loyalty Programs - Coalitions

Saintsbury, AMEX, BP & others

© 2011 IDC

Loyalty Programs

Coalition Strategy Coalition Strategy

© 2011 IDC

“There’s an app for that!”

Mobility

© 2011 IDC

Why Mobile

•  It is ideal for reaching today’s technologically-savvy consumers

•  Real-time

•  Location intelligence

© 2011 IDC

Starbucks App

© 2011 IDC

Sephora to Go

© 2011 IDC

cardMobili

© 2011 IDC

RFID Loyalty Programs

ID by Number

Offers by SMS

Buying Behavior

No Forwarding

Real Time Voiding

10-15% Weekly Redemption

94% > 1 year

© 2011 IDC

Web Analytics

Social Data

Customer Data Social Data

Corporate Data Intersection of highest value information

Socialytics

© 2011 IDC

Swedish Rail

© 2011 IDC

Deals / Coupons

Traditional Coupons – 2-5%

Mobile Coupons - >50%

© 2011 IDC

Location

© 2011 IDC

Final Thoughts

•  Making programs “easy”

•  Data and Analytics + socialytics

•  Consolidation – mobile or program aggregators?

•  Context

© 2011 IDC © 2011 IDC

Contact

Michael Fauscette

mfauscette@idc.com

Twitter: @mfauscette

Blog: www.mfauscette.com

Google+ - gplus.to/mfauscette

Social Business Community: http://idc-insights-community.com/SocBiz