The benefits of using loyalty-as-a-service will not only be in financial terms but they will also be in the form of non financial long term benefits such as improved customer loyalty and satisfaction, strong referral market and excellent reputation.
Strategic and tactical benefits of Loyalty-as-a-service are;
The business can benefit from superior productivity because the level of investment is inferior when compared to the output of the program. The output far outweighs the monthly payment or fee when adopting a loyalty-as-a-service platform. The capital expenditure and operating expenses will be significantly lower since the company will not be purchasing any dedicated hardware components for the program.
The organization can differentiate its loyalty program because it can address and reward customer needs real time with unlimited amount of flexibility to test and implement far more superior campaigns than its competitors. This is done because of the use of Cloud technology.
Integration with third parties
Loyalty-as-a-service has the capability to integrate with third parties when offering a loyalty program. For example in a points system the members can redeem points with selected merchants and this service can be used to integrate with such merchants and communicate with them. Moreover the amount of third parties can be extended based on the company’s requirement.