Gamify Your Way To Retail Glory (and how to get there) !

Gamify your way
to retail glory
(and how to get there)!
www.CapillaryTech.com

Gamify your way to Retail Glory
01
Gamification
is appealing to a growing number
of consumers by exploiting the
core elements of desire.
“Gamification is the process of using game thinking and game mechanics
to engage audiences and solve problems. Put another way, it’s about
taking the best idea from games, loyalty programs and behavioral econom-ics
and using them in new, exciting ways,” explains Gabe Zichermann,
author and CEO of Gamification Co.
This is evidenced by the continual growth of the industry as well. The
gamification market is worth more than $100 million and by 2016 is pre-dicted
to rake in profits of $2.8 billion. Retailers who properly harness the
power of this marketing tactic can expect a substantial increase in their
bottom line. Over 47% of gamification strategies focus on consumer en-gagement
with 15% targeting brand awareness and 22% revolving around
brand loyalty.
Here are four ways to engage the competitive nature of consumers and
enhance consumer engagement.

CapillaryT
02
#1
Drive in-store traffic
with location based
mobile applications.

Smartphones today bring the power and experience of a personal gaming
device with consumers. Apps such as Foursquare and Shopkick allow consum-ers
ech.com
to gamify their shopping experience by location.
Best Buy is using apps to boost in-store traffic by partnering with Shopkick to
engage inactive or stagnant consumers in addition to their loyal consumer
base. Shopkick provides consumers the opportunity to gain points that can be
traded for physical product or other rewards. By scanning items in different
Best Buy locations and completing challenges, consumers receive Kick
Points, which can be redeemed for free items and discounts.
This strategy gamifies mobile, enabling retailers to lead consumers through
the shopping experience from browsing to consideration and finally pur-chase.
How to leverage mobile applications:
Identify which mobile apps work best with your brand and optimize them to
engage previously inactive consumers. Guide consumers through an en-hanced
shopping experience and offer challenges that promote cross-selling
and up-selling strategies to increase basket size.
Bonus tip: Combat ‘showrooming’ and even turn it into an advantage by
using mobile apps to drive in-store traffic and expand the consumer base.
Offer special rewards and discounts for in-store purchases to promote
brand awareness and increase basket size. Drive purchase decisions by
using an optimal mix of fun, personalization and rewards.
03

#2
Encourage unique
opportunities through
in-store gamification
04
4 Global Gamification Tactics Guaranteed to Improve
Customer Loyalty (and How to Set Them in Motion)

While digita l retail is high and rising, in-store activity still creates exceptional
opportunities for the retailer. For example, in-store customers create foot-fall
that can be tracked from one department to the next. These consumers
can offer one-of-a-kind instant discounts on the spot at the POS. Customers
are also sometimes more willing to share information with a live sales rep
than they are online, offering brands a greater opportunity to build a more
complete information database that can be leveraged for sophisticated
omni-channel campaigns.
Puma’s Creative Factory is just one approach that can be leveraged for either
in-store gamification or e-commerce/online gamification due to its mobile
compatibility. Creative Factory lets users design shoes, create different pat-terns,
upload them to social media and vote on their favorite designs. By po-sitioning
games such as these inside retail establishments, retailers can
easily combat revenue denigration in the form of showrooming and other
retail challenges.
How to leverage in-store gamification:
Understand if your products can support customizations and how this would
affect your brand. Boost in-store activity by making in-store visitation a pre-requisite
for competing in and completing games. Augmented reality games
05
and creative interaction can be leveraged with large interactive screens in
front of, near and inside of stores. Free-standing kiosks can be leveraged for
increasing the volume of interaction in live locations.
Bonus tip: As an alternative to just offering loyalty points for purchases, of-fering
bonus points when Facebook friends purchase the same items as the
customer would encourage people to get their friends to shop so that they all
enjoy extra benefits.

#2
3
Encourage unique
04
Elevate the customer
experience with
augmented reality.
06

Augmented reality enhances the customer experience by providing interac-tive
activities that engage the customer on a much more personal level. Con-sumers
promote your brand and invite friends to play which increases brand
awareness. Offering an interactive activity can appeal to the masses while
generating positive reviews about your brand.
Big brand Coca-Cola turned consumers into James Bond with their vending
machine game designed to promote the James Bond 007 film Skyfall. In a
cross- promotion with the film, Coke Zero set up vending machines on a train
station in the UK that tasked Coke fans with the mission of rushing to a cer-tain
train platform within 70 seconds.
The company placed pedestrian obstacles in the way of entrants rushing
their way to the platform to win tickets. This created big buzz for Coca-Cola
who saw a sales increase by 10% during the promotion.
In Hong Kong, Coca-Cola was able to launch another gamification campaign
in which consumers used mobile devices to create a game which allowed
consumers to “catch” bottle caps with their devices once a specific Coca-Cola
commercial was aired. Consumers were then able to compete with one an-other
to see who could catch the most bottle tops.
How to leverage augmented reality:
Creatively cater to consumer desire to interact with your brand. Interactive
games that allow a consumer to become someone else for even a brief
moment can boost brand awareness and secure a larger loyalty base. Use
mobile devices to enhance the augmented reality experience and cater to
the consumer need for competition.
Bonus tip: For clothing retailers creating a virtual try-on room can increase
both online and offline sales and reduce the amount of returns. Allow con-sumers
to upload photos of themselves and try on individual items to create
an entire outfit. Virtual try-on rooms promote brand awareness and create
customer loyalty. Early adopters to this trend can see the maximum benefit
to their bottom line based on exclusivity.
07

#2
4
Encourage unique
04
Offer employee
incentives and track
performance
08

Gamification can be used not only to engage consumers, but also to engage
employees as well. By offering incentives and rewards and allowing friendly
competition between employees, retailers are able to track employee per-formance
and introduce training and incentives to their sales associates.
Providing an engaging and motivated workplace encourages employees to
interact with consumers on a personal level.
Best Buy was voted one of the 100 Best Companies to Work For by Fortune
Magazine. Best Buy uses incentives to encourage friendly competition be-tween
employees and rewards the highest seller with either merchandise or
other incentives. Best Buy knows that something as small as an employee
lunch or big ticket items such as televisions or small appliances can have a
huge impact on ROI. The company also allows separate departments to go
head to head during training sessions to appeal to the competitive nature of
its employees. Best Buy has worked hard to create a positive work environ-ment,
and through gamifying the employee experience has in turn enhanced
their customer experience.
How to leverage employee gamification:
Set goals for employees and offer incentives for those who reach those goals.
Offer the top seller an added incentive to promote friendly competition be-tween
sales associates. During training sessions divide your store by depart-ment
or create teams to create competition between groups. These groups
then can motivate one another to compete against other departments.
Bonus tip: Compete against the other departments inside your company. Im-prove
your company-wide rankings to create a greater impact to your ROI.
The added bonus is that sales associates will gain a greater sense of pride
which in turn creates an even more positive image for your store and pro-mote
brand awareness and customer loyalty.
09

Capillary Technologies is a leading provider of cloud-based software solutions that enable retail marketers to
quickly and easily build, manage and analyze customer data to gather deep insights and personalize customer
engagement across social media, mobile, e-mail, online, and in-store channels, driving a significant increase in
sales and customer loyalty.
Capillary’s 360-degree solutions powers end-to-end customer engagement, clienteling, loyalty and social
CRM for more than 150 major brands across 10,000 retail locations, bringing instant shopper gratification to
over 75 million consumers across the United States, United Kingdom, Middle East, South Africa and the
Asia-Pacific region.
SOUTH AFRICA
USA
UK
SINGAPORE
INDIA
AUSTRALIA
UAE
Visit www.CapillaryTech.com for more details.
For more information contact us at: Conversations@CapillaryTech.com
150+ Brands
10,000 Retail
Locations
75 Million
End Consumers
Awards & Recognitions

Gamify Your Way To Retail Glory (and how to get there) !

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Gamify Your Way To Retail Glory (and how to get there) !