Why Your Business Should Embrace Digital Rewards

Why Your Business Should Embrace Digital Rewards
Rewards on a mobile phone

5 Reasons Why Your Business Should Embrace Digital Rewards

The advent of the “always on consumer”, defined by Forrester marketing as “a consumer that uses three connected devices every day, goes online multiple times a day and does so from at least three different locations,” is a phenomena which provides brands with a wide range of ample new opportunities—namely, digital ones. Whether it’s streaming new music from Pandora or downloading new apps and games, one thing’s abundantly clear: consumers can’t seem to get enough of digital content. Savvy businesses can leverage this trend to their benefit by harnessing the power of digital rewards to more directly connect with their consumers, allowing brands to increase sales, engagement and ROI much more seamlessly than ever before.

Here’s a list of successful tips and techniques that show just how versatile digital rewards can be—tools your brand can utilize to help better your business.

1. Boost Online Sales

When paired with social media integration, the use of the “free gift with purchase” motif can take on a new life of its own. By pairing a small digital item such as a song or a movie in exchange for purchase, users will not only feel a sense of gratitude toward the brand, but are far more likely to share the offer across social media platforms. The allure of the free digital gift with purchase is so powerful that it compels users to buy AND to share, leading to an increase in incremental sales. Innovative brands can implement such digital promotions to lower their customer acquisition rates and successfully boost their word-of-mouth marketing.

2. Engage Consumers In Store

While CPG marketing is by no means a recent innovation, it’s also a technique which has found itself in the middle of a technological reboot. Instead of traditional programs in which users could redeem codes found on in-store packages and mail them away for prizes (think General Mill’s Box Tops program), users can now find digital codes that can be redeemed instantly online—a strong call-to-action for “instant gratification” crazed millennials today. Not only do these codes drive sales, but they also simultaneously increase customer loyalty.

3. Maximize Customer Retention

A little gratitude goes a long way, especially when it’s between brands and their consumers. It’s far easier to retain pre-existing customers than focus new funds into customer acquisition, meaning that brands should always have a keen eye on their customers’ sense of loyalty. One way to reach out and show your customers you really care is by letting unhappy customers know that your concern about their problem and that you care about them. Brands can harness the power of consumer support platform like Zendesk to offer prejudiced users a wide array of digital gifts as compensation. For instance, through the use of a Gifting app on Zendesk, brands can seamlessly offer digital gifts such as movies, music, gift cards and more and include it within their answer ticket to consumers. This provides an effective way to deal with customer complaints while simultaneously encouraging brand loyalty.

4. Incentivize Users to Complete a Task

Small digital modifications and rewards can make a huge difference in terms of a customer’s willingness to answer a call-to-action. Many sweepstakes competitions, for instance, offer a digital means of entering, making it simpler than ever for companies to acquire participants for less. Users can enter the sweepstakes and receive their e-gifts right after signing in and then can use sharing capabilities to spread news about the contest to family and friends, promoting brand awareness and boosting engagement.

5. Reward Loyal Employees

You can also use digital gifts to keep loyal employees happy. A digital gift is a great way of showing an employee just how much you care precisely because it’s so customizable. Businesses can set up a wide range of employee reward programs that allow their employees to choose the gifts they really crave. Macy’s employee recognition program, for instance, gifts employees with free music downloads as a token of appreciation for a job well done—a reward that’s not only fun, but cost effective, too.


By finding the most effective way to appeal to their audiences’ needs, brands can leverage digital rewards tools for a number of benefits including customer acquisition, higher social engagement and increased customer loyalty. Not only do digital rewards allow for instantly redeemable gifts and prizes, but they also help keep costs low while allowing for customizable options, inspiring an invaluable sense of mutual reciprocity between brand and consumer.