When Amazon came onto the scene several years ago, other online retailers were worried. Then, as they expanded, brick and mortar retailers became worried.
And now, with the unveiling of Amazon’s PrimeNow and AmazonGo initiatives, conveniences stores are getting worried. And should they be? Absolutely. But is there still a way to beat Amazon at its game? You bet.
If you’re not familiar with PrimeNow and AmazonGo, here’s a quick rundown. PrimeNow is Amazon’s online marketplace for daily basics, offering delivery of select items within a two-hour window. It’s mostly in bigger cities right now, but Amazon has plans to roll it out much more widely.
AmazonGo is Amazon’s brick and mortar store with an employee-less feel: Customers tap their phone as they enter, select their products, and then simply tap their phone to pay as they exit.
For convenience stores especially, both of these new concepts present some serious competition. But, as we’ll see in this post, Amazon can be beat.
The key to winning against Amazon comes down to two things: Understanding what Amazon does well, and then putting those same tactics to work for you.
So what does Amazon do well? […]
Club programs enjoy perennial popularity as the foundation of rewards programs. At some point, nearly every person will have had a paper or digital punch card for the club program of a convenience store or restaurant.
But knowing that they’re popular and understanding why they’re popular are two different things. Recognizing the appealing aspects of club programs will help you make them even more effective.
As we mentioned in the introduction, it’s hard to find a simpler concept than “buy 3, get 1 free.” Even in the case of “buy 8 gallons of gasoline, get 1 free liter of soda,” there’s a clear correlation between action and reward. That means it’s easy for your customer to understand and easy for your staff to explain.
Equally important, your customer will know where he or she stands on the journey toward that free reward. […]
Women are increasingly shopping at convenience stores providing a significant opportunity for c-store operators to capture their interest and generate customer loyalty. In fact, the 2018 Convenience Store News Realities of the Aisle customer study found that 44 percent of women say they shop at a c-store two to three times a week.
With this increase in female shoppers, convenience store marketers should be shifting some of their focus from the typical “Bubba” to how they can increase the basket size and number of visits from women. There are various ways to take advantage of this new influx of female shoppers – from loyalty programs to relevant messages engaging these customers before, during, and after they shop. […]
Loyalty programs are a great way to retain customers and keep them coming back to the store time and time again. In fact, by increasing customer retention by just 5 percent, brands can increase profits by 25 to 95 percent, which is why loyalty programs are a go-to marketing source. But there is one major problem with today’s loyalty programs – there has been a 2 percent decline in overall active member rates which leads to slower growth and profits for brands.
What is causing this decline in active participation, and how can brands turn it around to fix this problem?
There are a couple of new insights that help shed a light on the cause of this decline and the tactics that can mitigate and even turn around loyalty programs so they are profitable and engaging to customers. […]