Live from Shopper Insights in Action 2011: Preparing for a More Digital Future
Key Note: Preparing for a More Digital Future: Loyalty as a Vehicle for Business Transformation – Mike Hogan of GameStop
A little consumer data can go a long way. GameStop started out getting information on their consumers through typical database analysis, but have moved from transactional data to consumer-based data. Initially, the utilized a simple segmentation based on hours played and moved to a more in depth segmentation which included more attitudinal and demographic data.
Then the loyalty program was introduced with two levels – a free program and a $15 pro program. Not only does the program track purchases and offer rewards, but it also gives them a plethra of data. Members are able to add the games they purchased to a library, look at recommendations of new games, create wish lists, and email lists of games they want to those people who purchase games for them. All this is connected through the loyalty program and member interaction.
The result? Members are much more engaged – shopping more frequently and spending more money than non members. Members also visit the loyalty website more often and more games are put into member’s game libraries. GameStop is able to make better decisions on retail store openings and closing and how they manage their real estate. They are able to customize individual experiences and conversations with members who scan their cards in the store based on employees know what type of games they have purchased in the past. They have increased profitability by offering specials, promotions or discounts targeted to specific consumers and have leveraged relationships with major players in the gaming world. Lastly, they are tackling the world of digital game downloads with streaming services, extended game play through ad-ons, online gaming and digital downloads. And all this from a national roll out that is just 9 months along! What more is to come???
Pam Mullock, PM Market Research
Pam Mullock is an Independent Market Research Consultant and Moderator for PM Market Research LLC. She will be in attendance at the 11th Annual Shopper Insights in Action Conference and will be live blogging from the event.
