Loyalty is a hot topic in ecommerce. For this podcast, we're joined by Ed Bull, owner of leading ecommerce agency Limesharp. We discuss the evolving landscape of loyalty programs in the luxury and premium brand sectors, exploring how brands are redefining loyalty beyond traditional points systems, focusing on strategic approaches to customer behavior, the balance between rewards and profitability, and the importance of measuring success through key metrics.

The discussion highlights the need for brands to adapt their loyalty strategies, especially during peak trading periods, and the changing perceptions of loyalty programs in the industry. We delve into the intricacies of loyalty programs, discussing tier movements, the impact of gamification and community engagement, common pitfalls in managing loyalty initiatives, and future trends in the loyalty landscape.

The episode emphasises the importance of understanding customer behaviour, the need for personalisation, and the potential of leveraging influencers to enhance customer experiences. It also highlights the evolving nature of loyalty programs and the necessity for brands to adapt to changing consumer expectations.

Key takeaways:

• Loyalty programs are evolving beyond traditional points systems.
• Brands need to understand customer behaviour through data analysis.
• CFOs are crucial in discussions about loyalty program profitability.

• Loyalty doesn't have to be publicly advertised to be effective.
• Surprise and delight tactics can enhance customer loyalty.
• Measuring the speed of movement between loyalty tiers is important.

• Tracking unspent loyalty points is essential for program management.
• Loyalty programs can formalize existing rewards that brands already offer.
• Gamification can enhance customer interaction with brands.
• Community-driven loyalty programs are gaining popularity.

• Brands should avoid punishing customers for inactivity.

• The future of loyalty will focus on hyper-personalisation.
• Influencer partnerships can create unique loyalty experiences.

There's a feeling in the industry that some AI tools are solutions looking for a problem. In this podcast, we explore an AI solution that has a clear ecommerce use case and is focused on improving customer experience.

James Gurd speaks to Klevu co-founders Nilay and Niraj about their new product, Asklo, which integrates AI chatbots into ecommerce product journeys to enhance customer experience. This is the a logical evolution to PDP Q&As, with customers able to get real-time responses to product and service questions, rather than waiting for a reply.

The episode discusses the importance of optimising user journeys, the technology behind Asklo, and how it can improve conversion rates. The conversation also explores case studies demonstrating Asklo's effectiveness in reducing PDP bounce rate by 30%.

Key takeaways:

• Asklo aims to democratise product discovery in ecommerce by providing AI-generated Q&A on the PDP
• AI can significantly improve customer experience and conversion rates.
• Understanding user intent is crucial for effective product recommendations.
• The technology behind Asklo includes Retrieval Augmented Generation (RAG).
• Real-world case studies show a 30% reduction in bounce rates from PDPs.
• Integration with existing systems is seamless and quick (measured page speed impact of 15ms)
• Customisation options allow brands to control responses and tone.

• The future of AI in e-commerce will focus on seamless user journeys.

Summary:

In this episode of the Inside Commerce podcast, Paul Rogers and Joe Fletcher discuss the critical aspects of ecommerce reporting, focusing on the importance of data measurement, key performance indicators (KPIs), and the challenges posed by new tools like GA4.

They explore the significance of conversion rates, tracking, and common mistakes businesses make in their reporting processes.

The conversation also delves into how businesses should approach their reporting needs, the value of understanding customer behaviour, and the various methods of attribution that can be employed to gauge marketing effectiveness.

Key takeaways:

• Ecommerce has matured significantly, especially post-iOS changes.
• Critical KPIs should tie back to fundamental business outcomes.
• Conversion rates need to be contextualised for meaningful insights.
• GA4 presents challenges but offers powerful data if utilised correctly.
• Tracking issues can lead to downstream reporting problems.
• Data silos can obscure the true performance of marketing efforts.
• Businesses should start with their needs before selecting reporting tools.
• Customer sentiment is a vital but often neglected metric.
• Understanding the value of customers is essential for growth.
• A hybrid approach to attribution is often the most effective.