Using Modular Loyalty as a Plug & Play, Low-Risk Enhancement to Your Program

Over time, loyalty program management systems have become so complex that keeping up with rapidly changing consumer expectations has hindered both the retailer and the vendor to quickly innovate to keep up with consumer demand.

The “urban myth” of loyalty technology is that retailers must assess all aspects of their loyalty program management vendor and potentially “rip and replace” the entire platform to maximize operational value and maintain a program that is truly innovative in the eyes of their consumer.

This way of thinking is no longer acceptable as the norm since consumer expectations are continually changing at an exceptionally high rate. Retailers should not have to rely on a massive, expensive project every few years to do so. Retailers should instead look to modular solutions to help with core areas of innovation that will engage their consumer base best.

As executives focus on how loyalty programs fit within their digital ecosystem, solution-specific silos in the enterprise will come under scrutiny.

As a result, two points of evaluation are in play today:

• Existing loyalty technology solutions used to support daily program operations must fit into the brand’s technology stack and afford the efficiencies that reduce the total cost of technology ownership.
• To find new capability and loyalty program performance, modular platform configurations are increasingly attractive as brands strive to trial new capability with short lead times to market and measurable KPI’s.