How Brands Like BMW Derive Valuable Consumer Data Using Reciprocal Exchange
These four retailers are trading rewards and incentives with shoppers in exchange for shared information and invaluable intelligence
Having realized its worth, more and more retailers are applying purposeful consumer data intelligence to shopper marketing and promotions. Brands are rewarding consumers for sharing information about their behavior and other personal data, fostering a reciprocal exchange.
From money and loyalty points to the delivery of a more personalized experience, exchanging information for rewards and better consumer experiences proves invaluable for both parties. As detailed in PSFK's Leveraging Data To Deliver Tailored Service Experiences report, here's how four brands have used incentives to forge mutually beneficial consumer-retailer relationships:
New Balance x Strava
New Balance opened a pub in London called “The Runaway,” where visitors can exchange their miles-run data as logged on fitness tracker app Strava for rewards, part of New Balance Everybody’s Race campaign that supports marathon runners through their training. When runners join the app-based Strava x New Balance challenge, they’ll receive a Runaway Card, which they can add to the wallet on their phone. The card will automatically fill up with the miles they've run, and can be used to exchange miles for pints in the pub. While The Runaway’s upstairs is a fully stocked bar and pub, the downstairs features a gym and weights area to stretch and workout.
Japanese coffee shop Shiru Cafe doubles as a workspace and community intended for university students who are seeking a job. The cafe offers students free beverages in exchange for their personal data like their names, contact information, major and personal interests. They provide this info to corporate sponsors who pay the cafe to reach its clientele through advertisements and surveys.
BMW x DOVU
Blockchain startup DOVU, which was invited to partner with Alphabet and BMW‘s Innovation Lab, piloted a rewards program to encourage car owners to share their driving data. BMW drivers were prompted by a wallet app to take a picture of their dashboards once a week. Once the submission was verified, it was added to DOVU's blockchain and users received one DOV token. Repeat users were given more tokens. As a result, BMW was able to compile consistent, reliable and unalterable real-time vehicle data, which is then used to assess the millage, damage and resale value of returned vehicles.
The lifestyle clothing brand’s Tommy Jeans Xplore collection is embedded with smart tags that communicate via Bluetooth with the Tommy Hilfiger app to track how long and often the jeans are worn. Wearers can earn points for wearing Xplore clothing, which they can use to redeem discounts and exclusive experiences.
Fostering a mutually beneficial relationship is just one way that companies are leveraging new and unusual forms of data to deliver more tailored, personalized and predictive services. For the full list, download PSFK's Leveraging Data To Deliver Tailored Service Experiences report, out now.
Lead image: stock photos from hedgehog94/Shutterstock