The success of the deals space and emergence of big data has opened the door to transactional marketing that drives new revenue for businesses. Key revenue streams are emerging such as monthly/annual fees, commissions for loyalty business, bounties for new customers and mark-ups on transactional fees. Major tech players and VCs are seeing the opportunity in the loyalty space to the tune of more than $237 million in investment dollars. Peter Krasilovsky talked to three companies heavily engaged in the loyalty space at SMB Digital Marketing.
Belly CEO Logan LaHive discussed his startup’s focus on creating custom loyalty programs for SMBs by “providing tools to run smarter digital loyalty programs.” These include iPads, cards and access to customer data, along with solid communication tools. Of the multiple drivers of SMB ROI, Belly focuses on retention by creating online “in store” experiences that foster engagement. Belly is rolling out its SMB tiered pricing offerings in 10 markets and will expand that footprint.
Cartera Commerce and Edo Interactive both talked about the benefits of working with banks and leveraging big data for small purchases. Transaction data through bank relationships is an effective way to pursue acquisition and loyalty. “SMBs are enthusiastic, adopting loyalty programs that consumers want (like airline miles) – this is unique to SMBs,” according Marc Caltabiano, VP Marketing and Products at Cartera Commerce.
Mark Marinacci, CRO at Edo Interactive, agreed with Caltabiano, seeing the future in big data from financial institutions ushering in a marketing revolution. “Big data assets in banks will transform marketing. “