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- Herausgeber: epubli
- Kategorie: Fachliteratur
- Sprache: Englisch
For some years now, there has been enormous hype surrounding the mobile Internet. Some have already labelled it the new mass medium of the future. Many see the main cause of this hype in the technical development of producing ever better mobile devices and defining new standards for data transmission. Others, on the other hand, see the economy as being responsible. Their marketing managers are anxious to market new technologies in the best possible way.1 This is because the development of the market for mobile Internet use and the increasing sales figures for mobile devices in recent years show the enormous market potential in both areas. As the third component of the hype, access to the mobile Internet is increasingly becoming the focus of practical and scientific research. This undirected provision of new applications leads to a proliferation of the market and makes research in this area more difficult. However, there are already extensive scientific findings on media utilisation and selection for related media such as the computer, the stationary Internet or, in some cases, the mobile Internet. However, these studies are limited to a very small number in the field of mobile applications.4 In view of the "long tail" phenomenon described above, it is doubtful whether this proliferation is of any practical benefit. Initial findings already indicate that many apps are only downloaded or used to a limited extent. Mobile apps play a decisive role in customer loyalty by enabling companies to interact directly with their customers. The following aspects are important in the context of customer loyalty through mobile applications:6 1. Personalised user experience: Companies can provide personalised content and offers by collecting data on user behaviour. This helps users to identify more strongly with the application and then use it regularly.
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MOBILE APPS
Customer loyalty in the
Retail trade
What role do mobile apps play and how
effective are they in retaining customers?
Expose
Mobile apps are used wherever there is a need to establish communication - to understand something better - to make something accessible more quickly - and, and. - Does this method of mobile apps also help in retail as a customer loyalty tool? - Can they not only be used to inform customers, but also to retain them and how? -
This is precisely the subject of this study.
Dr Maged Hassanien
Table of contents
1
Scientific essay
Dr Maged Hassanien
Mobile apps as a customer loyalty tool in retail: What role do mobile apps play and how effective are they in retaining customers?
Table of contents
2
Table of contents
Table of contents................................................................................................................2
List of illustrations .............................................................................................................4
List of tables.......................................................................................................................5
1
Introduction - Problem - Relevance - Research question ..........................................6
2
Structure and methodology........................................................................................8
3
Theoretical principles ................................................................................................9
3.1
Mobile app for the customer - technically speaking ...........................................9
3.2
Mobile app for the customer - added value.......................................................10
3.3
Mobile app as a business model........................................................................12
3.4
Necessity for customer loyalty..........................................................................14
3.4.1
Necessity: Amazon ....................................................................................14
3.4.2
Necessity: Google......................................................................................16
3.4.3
Necessity: High competition - New market participants ...........................17
3.4.4
Necessity: Declining advertising impact....................................................18
3.4.5
The need for customer loyalty ...................................................................18
3.5
Challenges of a mobile app in retail..................................................................19
4
Potential of mobile apps for more effective customer loyalty - customisation and
technical design ...............................................................................................................
22
4.1
Mobile app: Increased identification function ..................................................22
4.2
Mobile app: Increased information and communication function ....................23
4.3
Mobile app: Increased service/value-adding function and incentive 24
4.4
Mobile app: enhanced and improved technology .............................................24
4.5
Mobile app: Increased attention to user dimensions in the design of mobile
apps 26
4.6
Mobile app: enhanced function in the pre-purchase phase ...............................27
4.7
Mobile app: Increased functionality in the purchase phase ..............................28
4.8
Mobile app: Increased functionality in the post-purchase phase ......................30
4.9
Mobile app: Enhanced and more customer-friendly design of the mobile app 32
5
Practical examples of "mobile app customer loyalty".............................................34
6
Recommended action: Use mobile apps..................................................................39
7
Summary - Answering the research question - Conclusion - Outlook ....................51
Bibliography ....................................................................................................................54
Table of contents
3
List of illustrations
4
List of il ustrations
Figure 1: Amazon represents a potential threat to the retail sector - as seen over the next
3 years..............................................................................................................................
15
Figure 2: Search engines pose a threat to retail. ..............................................................15
Figure 3: Further threats to retail in the coming years.....................................................17
Figure 4: Current status of customer loyalty. ..................................................................19
Figure 5: Reasons for uninstalling mobile apps. .............................................................20
Figure 6: Benefit dimensions - mobile app of the future.................................................26
Figure 7: Mobile app functions in the pre-purchase phase to improve effective customer
loyalty. .............................................................................................................................
27
Figure 8: Mobile app information for the customer. .......................................................28
Figure 9: Mobile app functions in the purchase phase to improve effective customer
loyalty. .............................................................................................................................
29
Figure 10: Mobile app inspirations in the post-purchase phase for customers................31
Figure 11: Mobile app function in the post-purchase phase to improve more effective
customer loyalty...............................................................................................................
31
Figure 12: Mobile recommendations for retailers. ..........................................................43
Figure 13: 5 retailers with touchpoints used in the sub-phases of the purchase..............43
Figure 14: Utilisation of the early phases. .......................................................................44
Figure 15: Business success vs. C2C touchpoints...........................................................46
Figure 16: 5 retailers with touchpoints in the purchase phases. ......................................47
Figure 17: CEM measures. ..............................................................................................48
Figure 18: Advantages of introducing community solutions. .........................................50
List of tables
5
List of tables
No entries for a list of illustrations could be found.
Introduction - Problem - Relevance - Research question 6
1 Introduction - Problem - Relevance - Research question
For some years now, there has been enormous hype surrounding the mobile Internet.
Some have already labelled it the new mass medium of the future. Many see the main cause of this hype in the technical development of producing ever better mobile devices and defining new standards for data transmission. Others, on the other hand, see the economy as being responsible. Their marketing managers are anxious to market new technologies in the best possible way. 1
This is because the development of the market for mobile Internet use and the increasing sales figures for mobile devices in recent years show the enormous market potential in both areas. As the third component of the hype, access to the mobile Internet is increasingly becoming the focus of practical and scientific research.2
This is urgently needed both scientifically and economically. On the one hand, research is trying to understand the new medium on the basis of a clear structure, such as a uniform categorisation of mobile applications (mobile apps for short), and to derive various correlations between the variables. On the other hand, the economy, driven by the need to generate profits, brings thousands of new applications onto the market every month without any sound knowledge of the relationships, such as the underlying motives for using the medium. 3
This undirected provision of new applications leads to a proliferation of the market and makes research in this area more difficult. However, there are already extensive scientific findings on media utilisation and selection for related media such as the computer, the stationary Internet or, in some cases, the mobile Internet. However, these studies are limited to a very small number in the field of mobile applications.4
In view of the "long tail" phenomenon described above, it is doubtful whether this proliferation is of any practical benefit. Initial findings already indicate that many apps are only downloaded or used to a limited extent.5
The only consequences are irreversible costs and possibly damage to the image of the application provider. The fact that mobile apps are important for customer loyalty can be answered in the affirmative - but the extent to which the customer's media usage can be linked to the actual benefit of this app is still open - in other words, this must first be placed in the right context. In other words, it is not enough to configure a large number of apps and make them available to the customer.
1 See Ahrholdt et al. 2023, pp. 211-224.
2 Ibid.
3 See Aichele/Schönberger 2014, p. 34f.
4 Ibid.
5 Ibid.
Introduction - Problem - Relevance - Research question 7
download. These apps must trigger the motivation to see them as a benefit for the customer and thus achieve customer loyalty, for example.
Mobile apps play a decisive role in customer loyalty by enabling companies to interact directly with their customers. The following aspects are important in the context of customer loyalty through mobile applications:6
1. Personalised user experience:
Companies can provide personalised content and offers by collecting data on user behaviour. This helps users to identify more strongly with the application and then use it regularly.
2. Push notifications:
Mobile apps allow companies to send targeted push notifications to remind customers of special offers, discounts or important information. This helps to maintain customer attention and encourage them to interact with the app.
3. Loyalty programmes:
Many companies integrate loyalty programmes into their mobile apps. The aim is to encourage customers to make regular purchases. Rewards, vouchers or exclusive offers are ways of strengthening customer loyalty. 7
Now the question arises, what role exactly does a mobile app play for customer loyalty in retail - what benefits must this app provide so that it is used - how effective can the app be for customer loyalty?
The following research question can be derived from these questions: Mobile apps as customer loyalty systems in retail: what role do mobile apps play and how effective are they in retaining customers?8
6 Cf. Heinemann et al. 2019, p. 112f. / Cf. Kuma/Reinartz 2018, p. 88f.
7 Ibid.
8 Ibid.
Structure and
8
methodology
2 Structure and methodology
The introduction should clearly il ustrate the current situation in stationary retail - without digitalisation - without digital technology - without digital marketing - without mobile apps - it cannot "work" - i.e. a digital revolution is underway in retail, also known as digital disruption.
This digital transformation in retail creates a digital and technical dependency and a digital benefit opportunity for bricks-and-mortar retailers, who must apply and utilise it for themselves - thus there is also a problem that is described here - from which the present research question in this scientific paper develops.
The basics of a mobile app are analysed from the perspective of added value for the customer - from a technical perspective with its usability and functionality - and from the perspective of retail as a concrete business model.
This results in the need to use this mobile app, but also the necessity, because certain market situations and structures require this - Amazon and Google etc. are thus threatening necessities for the stationary retail trade to react - this is clearly emphasised in the theoretical foundations.
This results in concrete challenges for a mobile app and a special role for the retail trade.
In Chapter 4 - the central chapter of this thesis - the potential of mobile apps for more effective customer retention is shown in order to emphasise the role of an app in every phase of the sales process. The necessary technical and customer-friendly adaptations are also presented in order to complete the mobile marketing measures.
Chapter 5 presents practical examples of mobile app customer loyalty from the retail sector - these are critically discussed and tested for customer loyalty effectiveness.
This results in recommendations for the use of effective customer loyalty apps in brick-and-mortar retail - Chapter 6.
At the end of the study, a summary and an outlook on the development trend of mobile apps will round off this work.
Theoretical basics
9
3 Theoretical basics
In this chapter, the mobile app as such will be presented in terms of its technology and its added value for the retail customer. The need for retailers to stand out from the competition and to be recognised in the first place, as well as to be remembered by customers time and time again, is presented in detail - this is intended to demonstrate not only the relevance, but also the importance and enormous role of the mobile app.
3.1 Mobile app for the customer - technically speaking
