Apr 12, 2006

High value merchant acquiring services (part 2)

A handful of simple receipt promotions add value to the merchant acquiring function within a bank, and make payment acceptance much more attractive to merchants. These are what we call “the Top 5 features”:

1) Frequent Shopper Coupons. Merchants can “avoid giving high value promotions to all customers. Deliver most valuable coupons after a certain number of visits or cumulative spending.”

2) Competitive Shopper Coupons. Merchants can “avoid losing customers to the competition. Recognize occasional customers that are probably shopping elsewhere, and instantly offer an incentive on the next purchase.”

3) Smart Sampling Offers. Merchants can “avoid giving the same samples over and over again. Encourage customers to try your higher margin products and services. Give a different surprise sample at each visit.”

4) Game Programs. Merchants can “avoid the cost and trouble of complicated loyalty programs. Build continuity through games based on cumulative spending or number of visits.”

5) VIP Service Vouchers. Merchants can “avoid loss of margins when offering high value services. Rather than offering additional services to all customers, you can identify your best customers and surprise them with VIP treatment.”

See the prior post (part 1) here.

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