Shopper Discounts & Rewards

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Programmes like Shopper Discounts & Rewards can offer consumers appealing benefits

However, merely having an e-shopping presence does not guarantee success. In fact, research shows online shoppers have very different priorities to physical shoppers. For e-shoppers, price is by far the most important criterion, the Verdict research shows. Almost 50% of e-shoppers say they base their decision of which website to use on price. Among physical shoppers, only 39% say price is an important driver in their choice of which shop to use, Verdict says.

This means programmes that offer discounts and savings can play a very important role in e-shopping, points out Verdict. For example Shopper Discounts & Rewards, a reward programme from Webloyalty offers consumers access to discounts and cash back when they shop at hundreds of top online retailers. e-shoppers have been shown to be more price-sensitive, it follows they will be more interested in bargains and deals, and programmes such as Shopper Discounts & Rewards are able to offer these benefits to the online shopper, Verdict comments.

In addition, as two thirds of internet shoppers see e-retail as offering cheaper prices than the high street, Verdict points to programmes such as Shopper Discounts & Rewards being appealing - as they can provide further discounts, further enhancing the image of the web as the place to find cheaper products.

What's more, as a member of the Shopper Discounts & Rewards programme, if a consumer sees the exact product they have bought advertised for less by the same retailer, they can receive double the difference in price (terms and conditions apply). Further information about the benefits of the Shopper Discounts & Rewards programme can be found by clicking on www.shopperdiscountsandrewards.co.uk

In addition Verdict comments - the Shopper Discounts & Rewards programme owned by Webloyalty can also help e-retailer clients of Webloyalty increase repeat traffic to their sites. Almost three quarters of online shoppers believe the internet provides a much better medium through which to perform price comparisons, compared to the high street, and therefore attracting consumers back for that all important repeat purchase is a key driver. With the Shopper Discounts & Rewards programme, where there is a 'money off next purchase' offer, if consumers join the programme, e-shoppers have a good incentive to return to Webloyalty's clients sites for an additional purchases.

One of the many barriers to purchasing online is consumers' concern with product delivery, the Verdict research uncovered. Programmes such as Shopper Discounts & Rewards, that offer its members additional shopping benefits such as Delivery Guarantee, offer protections that meet consumers needs..More details about the shopping protection benefits of the Shopper Discounts & Rewards programme can be found at www.shopperdiscountsandrewards.co.uk

How Monetisation Can Enhance e-retail?

As e-shopping grows and becomes more important, so will the number of retailers online, which will make the marketplace more and more competitive. For an e-retailer to be successful, new business models and techniques will have to be developed, Verdict says in its report.

On the high street, shops have adopted new ways to generate additional revenue. For example, grocery stores will charge brand owners a premium to have their products displayed in the most visible locations. The same concept can be applied to e-shopping where web traffic can be used to generate additional revenue for e-retailers. This is commonly known as 'monetisation'. According to Verdict Research, the monetisation of retail websites will provide an important additional revenue stream for e-retailers.

As the Verdict Report goes onto explain, monetisation means allowing third parties to make their offers to visitors of an e-retailer. This could take the form of a discount programme, such as the Shopper Discounts & Rewards programme offered by Webloyalty. Or it could take the form of some other membership programme or one-off offer. These third parties will pay e-retailers for access to their web traffic, and in the case of membership programmes they can also offer the retailer a revenue source for each member signed to the membership programme via the retailer's site.

Verdict Research, in the study it carried out for Webloyalty, estimates that in 2007 the potential value of the monetisation of retail websites, excluding any revenue from advertising banners, could be up to £129.97 million. As e-retail continues to rapidly grow, this figure will increase: potentially up to £817.5 million by 2011.

In addition, the costs associated with generating this revenue are very low: if an e-retailer chooses the right partner, monetisation requires very little work on their part, and ongoing costs are negligible. The resulting income stream, however, could be extremely lucrative. The Shoppers Discounts & Rewards programme is an example of a way for e-retailers to monetise their sites, suggests the Verdict report.

Webloyalty's Shoppers Discounts & Rewards programme offers consumers, who join, access to ongoing discounts of up to 20% from over 450 online retailers. In addition Shopper Discounts & Rewards members receive other benefits including delivery protection, extended warrantees and best price guarantees. It typically costs £8 per month to be a member of Webloyalty's Shoppers Discounts & Rewards programme.

The Shoppers Discounts & Rewards programme is promoted to consumers via a link on the post-transactional page of Webloyalty's partner clients: of e retail or e travel companies. Customers of these online companies, who click on a link on the sites confirmation page, will be offered the opportunity to join the Shopper Discounts & Rewards programme. The programme is free for the first 30-days, and customers joining the programme also receive an incentive in the form of a 'money off voucher' towards their next purchase at the e-retail or travel company they have just purchased from. Webloyalty fund the money off discount voucher and pay retailers for consumers who sign up for the Shoppers Discounts & Rewards programme.

For further information visit: www.shopperdiscountsandrewards.co.uk or www.webloyalty.co.uk

Information taken from Verdict Consulting Report: E-retail: The Revenue Generation, 2007.