The Wise Marketer recently reported the rise in coalition marketing as a sales promotion technique. Sales promotion has become more prominent in the last year in a blanket effort to get people  to spend their money less cautiously. It has become important to reward consumers for their loyalty so that they continue to spend money at a time when people are trying to cut back. Encouraging reluctant consumers to spend money continues to be the number one priority for brands at the moment and sales promotion is a proven way to do this. We are at the point where now it is an essential tool to remain competitive, particularly on price.

Sales promotion through consumer incentives and brand coalition is not a new or reactionary concept dreamt up as a recession solution. This has long been the bread and butter of companies such as The Rocket Marketing Group who put companies together in loyalty and membership programmes/ discount clubs and create rewards for staff or consumer incentives. The lure of big brands working together can be a powerful solution for potential rewards and an attractive consumer incentive whatever the state of the economy. All the current climate has done is to highlight the importance of sales promotion to consumers, making it now essential for all brands.

The ideas of brand coalition are the principles that loyalty and rewards programmes or discount clubs and consumer incentive rewards were built on. With loyalty and membership programmes/ discount clubs a member joins a club and then becomes eligible to redeem discounts at various retailers. The joint venture of big and small brands work to validate each other and produce a community of customer centric brands that members become loyal to because they can rely on them to understand their needs/ interests. These loyalty and membership programmes or discount clubs can be categorised to target certain markets such as entertainment, home & garden or white-labelled to match particular brands who want to sell the clubs as non-core products and earn incremental revenue.

The idea of high profile sales promotion has now become an integral part of the consumer shopping experience, so it likely to continue in some guise or other even as the economy improves.

Contact Us to discuss the possibilities of developing consumer incentives and brand coalition solutions through loyalty and membership programmes or discount club for your brand.

These harsh economic times have seen a massive change in the way we all purchase products/ services. The taboo on bargain hunting has long been lifted and it’s all about the consumer trying to outsmart the business so they can get more for less. But this culture in turn has led to a decline in brand loyal consumers as they search around for the best deal available to them. The unsettled nature of consumer spending has helped superstores such as Tesco and Morrisons who can trade under the banner of value all under one roof – a one-stop-shop for everything, but surely this type of shopping experience is devoid of any emotional tie or specialist knowledge? So what can every other business do to compete and catch the attentions of the fickle consumer? Here are a few of our ideas:

1. Start with the basics! In recent years we seem to have forgotten that providing a service that’s good enough for customers to recommend is one of the best ways to advertise a brand. If a customer recommends a brand to their friends and then those friends recommend the brand to their friends the customer base could grow significantly. By neglecting your customers’ word of mouth promotion, all other marketing is futile. Providing a great customer experience is the easiest way to get talked about online too. Tools like twitter are all word of mouth based like real life – just to a much bigger captive audience. Plus in these harsh economic times it has become even more important to tap into the online and free marketing options.

2. A loyalty card is a good consumer incentive but it’s a big expense and a lot of businesses now have them so how effective are they? In today’s world surely customers want a consumer incentive that’s a little more immediate? One immediate option is a sale, but many sectors are already saturated with these. So how about rewarding consumers by working with a third party business? These consumer incentives can be anything from 2 nights for 1 at a hotel or free pampering treatment to a free 2 for 1 Movie and Game Rental Card. They can be vouchers that are distributed physically, online or virally.

3. Market your business and staff as specialists in the field – it’s doubtful that the checkout lady at Tesco knows anything about the electrical goods she’s selling. Make your product/service knowledge and customer service something that stands out from competitors and people might just choose you. Niche businesses will always benefit from the power of word of mouth too – but also consider well targeted campaigns like placing discounts and offers in a media that’s relevant to your industry!

4. If all else fails – if you can’t beat ‘em join ‘em. Offer your consumers more. Sell a loyalty and membership programme or discount club such as The Big Savings Club or The Entertainment Club to your customers, the non-competing brands will help give a good association and back up the products that you already offer. Consumers will see the loyalty and membership programme or discount club as a reward for using your brand and extension of the goods/services that you offer. One step further would be to make the club bespoke so all the discounts are presented under the umbrella of your brand, a good example of this is the JML VIP Club. Loyalty and membership programmes or discount clubs area a free marketing solution as they are usually set up or run by a third party agency. In fact it can be a way for large businesses to earn substantial incremental revenue, whilst a third party such as The Rocket Marketing Group manage the programme and its members (your customers).

5. Loyalty and membership programmes or discount clubs can be used to feature a discount and then distributed by other non-competing businesses. Your discount will be presented to a new sector of consumers in association with other brands encouraging new customers to become loyal to your brand. This is a quick and easy free marketing solution that is handled by loyalty and membership programme or discount club agency such as The Rocket Marketing Group. All your business has to do is offer an exclusive discount to discount club members.

Contact Us if you are interested in free marketing solutions such as developing a loyalty and membership programme, featuring your business in a loyalty and membership programme or purchasing rewards as a consumer incentive.

The current economic climate is forcing businesses to reduce advertising budgets and find new cost-effective ways of marketing their brand, which reflect and respond to the public’s state of mind. Brand loyalty on the high street has gone out of the sale-stickered window as consumers switch products in response to the latest offers. But loyalty and membership programmes such as The Entertainment Club, are a way in which businesses can turn this behaviour to their advantage. Clients offering discounts through The Entertainment Club include: Cineworld, Blockbuster, HMV, Bowlplex, London Pass, Theatre Tokens and Virgin Experience Days.

So the exciting relaunch of The Entertainment Club is a thrilling prospect for businesses looking for a cost-effective way to market their brand. It essentially targets 18 - 30 year olds but has a much wider appeal, by offering exclusive discounts on CDs, DVDs, magazines, food, wine and beer plus activities such as snowboarding and bowling. There are 7 fantastic new offers included such as 10% off quad biking with Quad Nation, 2 hours for the price of 1 at SNO!zone, 10% off clay pigeon shooting with The Big Shoot and every new member of the club will receive 2 free cinema tickets plus discounts at a wide range of restaurants nationwide.

The new website will give members clear and comprehensive information on new, ongoing and seasonal offers as well as articles about the latest film releases and tips on ways to save money and use the member discounts. Membership numbers have predictably increased in recent years, to an ever growing total of 26,000 members. The fun new website will keep these members in touch with the exclusive and exciting world of entertainment.

Andy Huggins, MD of the Rocket Marketing Group comments: “The Entertainment Club has a great new look and a fantastic website that is as informative as it is fun. There are some amazing new discounts for members, on everything from movies and music to fun, food and drink. And because membership numbers are constantly increasing, then so is the opportunity for businesses to promote themselves, during the harsh economic climate.”

Preview memberships are priced at just £1.99 for 21-days and only £29.99 for a full 12 months. Members can enjoy some really great discounts that beat offers on the high street hands down. Here’s just a sample:

25% Off at Odeon Cinemas - watch all the latest movies!

Free Movies for 6 Weeks with Blockbuster - enjoy the latest hit movies from home.

7% Off at PC World - save on big purchases like a brand new computer, printer, scanner, computer games, software and lots more.

£5 Free Voucher at Firebox - have a bit of fun with a great office toy or gift!

Get 4 Free Beers from The Beer Club of Britain! - enjoy some great ales and premium lagers for a lot less.

15% Off London Pass - Visit Windsor Castle, St Paul’s Cathedral, the London Aquarium and lots more great attractions at a big discount.