In a world of strong competition and companies struggling to attract the attention of existing and potential consumers, is joining forces to boost loyalty ever a good idea? As it turns out, it can be. Partnerships can play an invaluable role in strengthening the relationships you have with your clients. The key is to choose wisely, knowing your market and how it deals with the coalition model.
The concept is quite simple. It’s based on the assumption that two or more brands come together in some kind of alliance to offer their customers rewards for choosing the services of each party. They create additional value for using their products, while simultaneously increasing the reach of their respective brands. Forming those partnerships can work through cross-promotion of each side’s commodities, or by building a joint loyalty program.
The implementation of such a solution isn’t necessarily easy, but the advantages of successful collaboration are numerous. Every participant of this model – your customer, your brand, and your partner – gains something in return for their investment. Some of the benefits that loyalty partnerships can bring about include increasing consumer satisfaction, building a positive reputation, reaching a wider audience, and marketing sometimes (though not always) distinct values of brands in the union.
There’s no denying that achieving those results is difficult. Joint loyalty models can be very tricky to navigate, and it takes a deep understanding of how they work if they ae to succeed. Comarch is one of the few companies in the world with vast and very successful experience in that area.
If you want to learn more, check out the latest article by The Wise Marketer, in which Wojciech Kempny (Consulting Director Africa, GCC, APAC Comarch) talks about partnerships and loyalty programs.