Apple
Britain is a country with little focus on customer care. In fact for many UK businesses rewarding customers for their spend and loyalty appears to be an after thought. Rarely do companies invest in their customers so to get them to do the ‘word-of-mouth’ sale on their behalf, which as we know is the best endorsement and way to get new customers in.
Just look at UK mobile phone operator O2, which yesterday released details of it’s pricing policy for the Apple’s much anticipated iPhone 3GS, over which it has exclusive UK rights. The sting wasn’t the 18-month fee of between £96 and £274 depending on your tariff, but the cost for current customers who signed up for the minimum term this time last year. Existing customers were told that they would have to pay for the remaining terms of their existing iPhone 3G contracts, which could be anything over £150. All very different to when O2 offered a free upgrade from the first iPhone to the current hand-set.
You would have thought that pricing policy for such a desirable product would have been developed whereby existing customers aren’t made to feel hostage. In fact, the sweets have been offered to new customers while existing ones are being ignored. A big mistake given that many O2 iPhone users have turned against the company, complaining not just about its pricing policy but it’s lamentable 3G nationwide coverage, to name but a few points.
You wonder why the company didn’t think of empowering its customers with new models so to reward them and encourage them to further promote the company and brand to others. Blogs though are being written picking on all of O2s issues, working to dissuade customers from switching to a company that cares little for their users.
The #O2fail hashtag and Twitition on Twitter have over 2100 people signed-up. And the blogosphere is certainly working hard to knock O2 where it hurts. The media is also running stories, with The Daily Telegraph and Sky News highlighting the concerns from loyal customers.
As it stands and having set a populist precedent with the free upgrade between the first and second generation iPhone O2 have a lot to do to stop the steady stream of complains. It takes a lot to build a reputation and it looks like they’ve forgotten the golden rule of ‘looking after our customers’ first.
Foursquare Pages, Not Just For Big Brands
Wednesday, August 3rd, 2011Geo-marketing is a concept that has been around for many years and focuses on using geolocation ‘in the process of planning and delivering marketing activities based and tailored on the location of the audience.’ Foursquare adds the concept of the community to the marketing to enable organisations to tap into and benefit from recommendations that our own social communities share – best table at this restaurant, great shop for vintage, great customer service at this shop, etc. The problem though is that after over 2 years since Foursquare was unveiled it is still seen as a game and an experiment by many businesses. It has not been adopted, yet!
The opportunities for businesses though are enormous. After all, the theory goes that if you reward your customers then they should recommend the business to their own community. Some brand specific Foursquare campaigns have yielded interesting results, but the use is still restricted to those that are connected, are social networking enthusiasts and have smartphones – not your average consumer.
From my experience, I see that local businesses in South East Asia have taken to geo-marketing with more individuality than in Western European cities. In London the standard offer is a discount for the Mayor of a venue – bar, restaurant, shop. That is it. Rare to see the rewards for ‘checking-in’ that you see in Singapore, Kuala Lumpur or Jakarta, such as discounts and free gifts just for visiting and ‘checking in.’ Perhaps it is a cultural point.
Customer facing businesses will only gain the benefits from geo-marketing if they develop suitable rewards that encourage customers to develop their loyalty. After all, the technology alone won’t improve the bottom-line, for this you have to look at the business from a consumers perspective.
Foursquare and other services are ideally placed to help small and medium sized businesses (SME’s) because it isn’t just about rewards, but about accessing the recommendations from members of our networks.
Tags: asia, business, foursquare, kuala lumpur, loyalty, pages, rewards, singapore, socialmedia, socialnetworking
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