Digital Transformation Agency

Top tips to optimize customer acquisition with gamification

By Ellie Hanson | Marketing manager

Rawnet

|

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July 5, 2022 | 6 min read

As gamification in advertising is on the rise, Ellie Hanson, marketing manager at Rawnet, questions how brands can make the most of this space and invest wisely in tech to stay competent.

It’s no secret that gamification is coming of age. According to Rawnet X Beauhurst’s Gamification Report, last year saw a record £420m invested in UK companies employing this technology to stay competitive. This is a staggering contrast to the previous 2019 record of £16m of equity investment. So, the big question is why has gamification boomed in the past few years? The answer to that is the Covid-19 pandemic, associated lockdowns and the rise of remote working, which has fostered an environment where gamification is vital in boosting customer engagement.

Not only do employers need to find ways to engage employees, but businesses need to adapt to new and exciting tools to interact with and retain consumers. We are all spending more time at home using digital devices for both work and pleasure, with many of us favoring e-commerce and online shopping rather than an in-store experience. There has also been an uptake in people taking up new hobbies or exercise to pass the time. All in all, these new or altered behaviors are quickly becoming the new normal, and businesses need to use digital technologies and gamification tools to stay relevant.

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Rawnet on how marketers can make more of the gamification market. Image credit: Jeshoots Com- Ektzgjc/Unsplash

Rawnet on how marketers can make more of the gamification market / Jeshoots Com-Ektzgjc via Unsplash

Optimizing customer acquisition

In today’s fiercely competitive market, brand engagement is needed to increase customer lifetime value and create new and more effective forms of acquisition. Gamified content can significantly help as the incentives offered to consumers will convince them to actively engage with the brand. Through this engagement, users are able to learn more about the company and its products or services, helping them to develop a sense of loyalty and advocacy. In fact, studies have shown that there is a 100-150% increase in user engagement as a result of gamification, highlighting that for businesses looking to improve their customer acquisition strategy, gamification is the best solution.

One way in which businesses can optimize customer acquisition is by attracting new consumers through loyalty schemes. These programs are one of the best tools for gaining new customers while retaining existing ones. By offering rewards to customers who make frequent purchases, brands can influence consumers’ purchasing behavior and increase loyalty in the longer term. What’s more, each time a brand rewards a customer, they can start building a bond, which encourages them to make repeat purchases. Consumers will also become brand advocates, with 81% of emotionally-connected customers willing to spend more and spread the word.

Additionally, gamification provides businesses with the opportunity to educate customers on their products or services in a collaborative way. For instance, if a brand creates a quiz to help customers choose the best product for their needs, marketers will have first-class access to their data while giving customers useful information on the products available. Gamification can easily educate customers as the interactive content makes the brand’s products and services much more personal, ensuring that the information resonates with customers.

Best practices when implementing gamification

In order for businesses to leverage the advantages of gamification, they need to make sure that they do it right. The first factor to remember is that gamified content needs to be as simple as possible. We all associate games with having fun, so keeping the gamified campaign streamlined and user-friendly is vital in encouraging customers to play for the long haul. It’s also important to understand the target audience that the brand wants to reach and make sure that they are at the center of the gamified content. Marketers can do this by researching the audience and identifying key demographics, as these will influence whether the audience is receptive to and ready to interact with the content.

With most loyalty programs, companies are offering their website visitors a chance to win a reward. Marketers need to make sure that the reward is relevant to the target audience and their demographics, but also that it is substantial enough to pique their interest in taking part in the gamified campaign. Brands can also consider the option that allows users to invite their friends to play. Not only does this make the gamified content more competitive and interactive, but it also expands the organization’s reach within the market.

Future of gamification

Gamification is continuing to evolve and impact brands across an unlimited number of industries. There are also significant benefits to incorporating gamified content into a business strategy, mainly centered around helping organizations drastically improve their e-commerce experience and creating more positive experiences for consumers. Over time, gamification will build a community of advocates who have an emotional connection to the brand and frequently interact, as well as continue sharing data in exchange for additional incentives.

There is no doubt that if gamification strategies are planned and implemented correctly, they can help to drive future business growth through increased customer lifetime value, optimized customer acquisition and overall consumer satisfaction.

Digital Transformation Agency

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We use Digital strategy & Service Design to create a customer-centric roadmap, create Organisational Excellence by leveraging digital and Empower our clients teams enabling them to take control.

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