In the food retail industry, the similarity of products and prices makes it more difficult for retailers to have a competitive advantage over the competition. Here is where personalized promotions play an important role.
Custom campaigns have a higher level of engagement than mass campaigns. Targeted campaigns are more efficient, meaning a higher ROI and without a doubt, personalization plays an important role to achieve big results.
Personalization as a key holder
Having an extreme level of personalization has been highly useful for many food retailers, but creating these personalized offers based on purchase behaviors manually would mean a great investment in time and resources.
However, there are some tools in the market, such as Loyal Guru, that allow retailers to harness the power of personalized promotions. A supermarket, for example, can automate hundreds of personalized offers targeting customers who share similarities in purchase behavior and product preferences.
Effective Promotional Campaigns
Let’s see some effective promotional campaigns:
- Cross-Selling campaigns:
These promotional discounts are those whose goal is to offer a complimentary product to another that the customer usually buys. For example, does your customer usually buy pasta in all their purchase trips or most of them? Here’s an opportunity to offer them a special discount for the new pasta sauce you carry.
- Up-Selling campaigns:
The goal of these campaigns is to offer customers a special discount on products they usually buy and persuade them to increase their average order value. For example, imagine one of your customers usually buys the same size of laundry detergent, here’s an opportunity to encourage them to buy a bigger size in their next purchase trip.
- Recovery campaigns:
A recovery campaign is a follow-up of a customer who has not recently bought products from the supermarket. For example, sending a text message with a basket discount can be of high-value for churned customers.
However, personalizing each coupon for each customer is where operations become complex, there are too many customers, too many products, too many campaigns, and not enough people or resources to make this happen effectively. Having the right technological tools is essential for retailers to be more efficient. Click here to watch an example of how Loyal Guru can help you.
Achieving business goals with evolving technologies
One of the most important goals for every food retailer remains to achieve the maximum level of customer engagement and for this, it’s necessary to adopt new technologies that help retailers keep customers coming back again and again.
Thanks to the automation and optimization processes provided by the right technology tool, retailers can reduce manual errors and time spent. In order to survive, retailers must look for new ways to improve their promotional offers, and without a doubt, using evolving technologies, personalization turns out much easier to do.