What is the customer's motivation?
The incentive for the customer is any number of things such as free gifts, rewards, bonus points or reduced prices that are designed to increase sales, expand the customer base and determine customer loyalty. There are many ways to use these incentives not only to increase the happiness of their customers, but also to make their businesses more profitable. Every new incentive must maintain or increase profitability for the company and it must be something that has a reasonable chance to be attractive to customers.
There are many examples of customer motivation in retail. The most common incentives include selling and discounts on goods. Many retail department stores now broadcast coupons offering a specific amount of dollar from purchases.
Some trades qualify that the customer has to spend a certain amount to get a discount. In recent years, several stores have offered incentives where no dollar amount is set, ie "Get $ 10 from the purchase$ 10 (USD) or more. ” Theoretically, a person $ 10 may have free of charge in purchasing power and the motivation is designed to get more customers in the door, with secondary hopes that the shopping trip will exceed free $ 10.
Another incentive of the customer in retail and other markets is a gift with purchase, registration or registration. Gifts with shopping are often used in cosmetic sales. Large companies like Sephora® offer free samples with every online order.
This variation is the "Buy One Get One One One Free or at Half Price" approach that is used in footwear stores, grocery stores and many department stores. Alternatively, customer motivation can encourage customers loyalty by offering a gift after several purchases. Cafes could offer free coffee drink after buying nine coffee beverages. The inventiveness of offering a reward with a more mark is that afterIt raises people to keep using the company to get this reward.
A similar method for supporting customer loyalty is practiced by service companies such as credit card companies. Customers can get money back, bonus points, free gas or frequent miles of leaflet. People who use their cards most receive better rewards. Sometimes the customer's motivation is combined with higher prices requirements. For example, Costco® offers first -class membership that costs more, but this can also provide customers with a certain percentage of its expenses back at the end of each year. Frequent users from this motivation will most likely benefit.
In order to make the customer's motivation effective, they must have measurable positive results. NEPO Recommendation does not provide incentives without any investigation concerning profitability and probable return to business. Many companies hire marketing experts, or at least carry out their research in planning motivation toDetermine, which incentives probably have the most positive effects and meet the goals of the company. Business should also plan careful monitoring of results, such as sales analysis, new customers, or increased loyalty customers to determine whether it is worth the motivation to continue in the future or are worth using again.