By Lauren Shanesy

Loyalty programs are no longer a perk—they’re expected from consumers.

Enhancing retailers’ loyalty strategy was a key focus this week at PDI Connections Live in Denver.

“What we have really started talking to our retail customers about is how to enable them to reach their customers across all of the different touchpoints at their site and engage the consumer everywhere that they can,” Mike Melson, SVP, payments & loyalty, PDI Technologies, told NACS. “And how do we make that seamless and also make sure the digital engagement then transcends to a really good physical experience at the site.”

Every retailer’s loyalty program is going to be different based on their goals, but Melson said there are some fundamentals. First, it has to be easy to sign up.

“The convenience transaction is fast—how do you drive enough value with your program to prompt and make it frictionless for the consumer to identify themselves?” added Linnea Geiss, chief operating officer, PDI Technologies. “There are a lot of frequent purchasers out there who might not find it necessary or valuable to identify themselves. It comes down to the value proposition and the ways you can engage them on the app that drive both their psychology and overall experience to get them to say, I need this—I need my points, my credit or my streak, or whatever it is.”

Retailers should also have consistent messaging across their channels, Melson said. And importantly, retailers need to get employees on board. “Some of the most successful programs we’ve seen have had good employee training as well as employee buy in. Some retailers have their employees use the app as well or give employees their own version of the app with rewards. Your frontline associates don’t just promote the program, they’re users of it too,” Melson said.

And while many retailers are partnering with third-parties to develop apps with exciting capabilities, others are still having a lot of success with appless programs, such as text clubs.

“There are opportunities there, especially for retailers that don’t necessarily want to make heavy investments in their programs, or don’t have a user base that necessitates a mobile app. There is also a lot of opportunity in aggregate platforms for single-site operators to be promoted and have their offers showcased,” said Melson.

Look out for more coverage from PDI Connections Live throughout this week.