Mobile Apps Are Redefining Fuel Retail Loyalty and Here’s How

If customer engagement is key to a successful loyalty program, mobile apps are the catalyst that makes it happen. While everything has taken a drastic change with mobile apps, loyalty programs too are undergoing a mobile-app-based transformation to create seamless experiences for end customers. 

A mobile app loyalty program can be defined as a digital loyalty initiative designed to engage and reward customers through a smartphone application. These apps are powerful tools that help retailers 

• enhance customer engagement
• differentiate their brands, and 
• provide personalized experiences by gathering valuable customer data. 

According to a study by Google, 53% of users prefer using an app to retrieve account and loyalty card information, giving a strong reason for brands to switch from the traditional loyalty structure to this digitized approach. Almost 65% of brands from various industries are already on this transition and have started seeing impressive results for their business. 

Also Read: How to Enhance Fuel Retail Experience with Loyalty Programs

The Rise of Mobile Apps in Fuel Retail

Capillary has worked with several fuel retail players over the years and observed a dynamic shift in the fuel retail loyalty space recently. Digitized loyalty solutions will play a huge role for these fuel retailers to adapt to the changing mobility landscape. Asia alone has seen a significant rise in the number of fuel retailers like switching to a digitized loyalty program model. 

This transformation is a part of the broader trend shaped by several key factors. Firstly, the rise of Electric Vehicles (EVs) has prompted oil and gas companies to reevaluate their strategies, recognizing the need to adapt to changing consumer preferences and environmental concerns. Secondly, technological advancements have paved the way for innovative solutions in the fuel retailing sector, revolutionizing the way customers interact with fuel stations. Moreover, consumers’ behaviors are undergoing a paradigm shift, with a growing demand for convenience and personalized experiences.

Helping fuel retailers adapt to these shifting dynamics are mobile apps. Mobile apps give an option for fuel retailers to compete for a larger wallet share of customers by offering them convenient options for fuel and non-fuel purchases (such as lubricants, car-washing facilities, F&B at the stations) and offer personalized experiences using data analytics. 

Taking a closer look, here is how mobile-based loyalty programs are changing the way fuel retailers engage their customers and drive their business:

1. Improving Non-Fuel Retail: Fuel retailers can expand their offerings beyond fuel, providing customers with a one-stop shop for various products and services.
2. Easy Reward Redemption: Mobile apps simplify the process of redeeming rewards, making it hassle-free for customers.
3. Gamification: Games and other interactive features within the app enhance customer engagement.
4. Localization: Customizing the app’s content and offers to match local preferences and market nuances.
5. Brand partnerships: Collaborating with other brands to offer exciting incentives and cross-promotions.
6. Streamlining Data Collection: Gathering valuable customer data to inform marketing strategies and enhance the overall customer experience.

Capillary’s platform equips fuel retail loyalty apps with all these features (and more!) for customer engagement. By bringing in the best of advanced technology and customer-focused loyalty solutions, Capillary enables fuel retailers to craft individualized and gratifying experiences for their customers.

Checkout more about Capillary’s Fuel Retail Solutions

With Capillary’s Partnership a Global Fuel Retailer in Added Around 2Mn New Users with Mobile App – Case Study

A prominent fuel retailer in Indonesia with whom Capillary has a long-standing partnership wanted to address some challenges in their existing loyalty program. They were looking to:

• digitize their approach
• gain a unified understanding of their consumers, and 
• transition from a vehicle-centric to a consumer-centric brand.

With Capillary they co-developed their loyalty app, thus smoothly shifting from a traditional card-based loyalty program to a mobile-based one. And the results?

Within nine months, the mobile app onboarded 1.7 million users, with over 60% active members.

Here’s how Capillary’s partnership made a difference for the brand:

Fully Integrated Mobile App: The success of the mobile app was attributed to its customer-centric approach, offering user-friendly interfaces, a versatile reward catalog, and store locators. 

Customer Segmentation and Communication: Additionally, Capillary’s advanced data-driven insights and analytics were used to identify valuable customer segments, create personalized journeys, and implement effective communication strategies. Capillary’s Promo engine was critical in identifying the right communication strategy for the customer cohorts. It identifies the right next action and nudges the customer to initiate a purchase. 

Enhancing Convenience: Local language support and a focus on non-fuel retail further endeared the brand to its customers and contributed to business growth. 

The mobile app that the fuel retail brand co-innovated with Capillary, effectively unified fuel and non-fuel retail streams, streamlined the purchase experience and enhanced loyalty engagement.

Interested to know more about this client of ours? Just hit us up here and we would love to share more details with you on how we are helping our clients redefine their loyalty solutions.

Future of Mobile App-Based Loyalty 

The shift towards mobile apps for fuel retail loyalty is not isolated but part of a larger trend. Other fuel retail brands worldwide are recognizing the potential of mobile apps to redefine customer engagement and loyalty. 

By providing convenience, personalization, and seamless experiences, mobile apps are revolutionizing the way fuel retailers connect with their customers and drive business growth.

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With a knack for creating engaging content and crafting effective social media campaigns, Anjali wants to make it her mission to leverage the power of content as a strategic marketing tool for businesses. While she is not working, she is either binging movies or writing about them on her blog.