Mobile networks such as O2, EE and Vodafone are pouring money into imaginative loyalty schemes. Yet only 12 per cent of UK phone users have signed up.
Consumers are notoriously fickle when it comes to choosing a mobile network. Operators that offer the most minutes and data for the lowest price usually win out and customers rarely have an issue with switching to a competitor.
But as the mobile market continues to mature, the networks are having to get much smarter in the way they communicate with customers. As a result, the sector has seen a growing emphasis on added value services.
“There is huge potential in mobile loyalty schemes,” says Mark Stevenson, head of priority and sponsorship at O2, which gives early access to tickets at O2 venues through its Priority initiative and other perks via Priority Moments.
“We operate in one of the most competitive mobile markets in the world and with it reaching saturation it’s important to retain existing customers in addition to attracting new ones.”
Yet according to the Loyalty Lens report by Nectar owner Aimia, just 12 per cent of people in the UK are signed up to a mobile incentive scheme. Moreover, its survey of 2,062 consumers suggests that this is a hugely untapped area.
The report notes that among those who have signed up, the most popular scheme is O2’s, with 46 per cent subscribing to Priority. As of last December, 29 per cent were signed up to an Orange initiative, 27 per cent to Tesco Mobile and 21 per cent to Vodafone. Fewer than 12 per cent cited EE.