Like online businesses, offline businesses too struggle with footfall vs. conversion ratio and the freshly launched Clubd mobile app is a great attempt to solve this problem for offline businesses.
clubd hopes to solve the loyalty program in a language that both business’ and consumers understand and appreciate – i.e.”discounts“. Not the ones given by group buying sites that have faced critique of placing a merchant’s brand image at risk, but discounts that are earned by the customer, through regular visits and displayed loyalty.
The way Clubd works is very simple – merchants need to register with Clubd and they get a merchant kit (posters/QR code/tent-cards etc) to have consumers start using the ‘Clubd’ membership. For a consumer, it’s very simple – they just need to download the app (supports iPhone and Android currently) and use the app to scan the QR code (inbuilt).
The more the customer visits the merchant, the higher the discount. So you can start at 10% and move up to 15% after you have visited the business 3 times. Move up to 20% if you visit another 6 times etc.
clubd has signed up 100 merchants (in Bangalore) on the platform and as far as value proposition is concerned, the company wants to focus on customer retention (and not acquisition).
clubd comes from Revu, which earlier tried solving the same problems using checkins/point system, and is now building a 360 degree view to the problem statement.
Essentially, clubd is attempting to solve a two-sided problem statement – i.e. 1). consumers need to use the app or businesses to use clubd services and 2) lot many businesses need to use the app to stay on consumer’s smartphone. What’s great is that the company is seeding merchants and isn’t following a spray-and-pray model, which some of the earlier players indulged in.
Do give clubd a spin and share your experience.