Gamification, the use of game design, techniques and mechanics to increase user engagement and to drive action, is gaining fast momentum in the retail industry. The growing popularity of social games such as Words With Friends have specifically presented retailers with an opportunity to use games to connect with shoppers, while applications such as foursquare and shopkick reward shoppers for visiting locations, completing purchases and being loyal to a merchant or brand. Many best-in-class retailers, such as Best Buy, Gilt Groupe and HSN are now utilizing points, badges and other incentives to drive customer engagement, purchases and loyalty.
“Initially, merchants only thought of Gamification as applications such as foursquare and shopkick,” said Alicia Fiorletta, Associate Editor, Retail TouchPoints, and author of the report. “However, after speaking with retail industry experts and solution providers, it is clear that there is no one-size-fits all approach. With the vast range of tactics and technologies in the space, it is important for retailers to understand what Gamification can do to benefit their business, as well as determine the optimal strategies to engage their target customers.”
Further industry research spotlighted in the in-depth report includes: