The Future of Customer Rewards: Card Linked Offers
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The Future of Customer Rewards: Card Linked Offers

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Every customer likes receiving a discount at the till.

Not surprisingly, businesses like customer rewards programs as well – they can be a way to drive loyalty, get repeat business, and ultimately increase customer retention.

But there’s one problem: creating a quality loyalty program has been traditionally quite expensive, especially for brick-and-mortar businesses. After all, most companies do not have the clout to market a proprietary rewards app like Starbucks, so how can customer rewards be tackled more cost effectively in the digital era?

Introducing Card Linked Offers

Today’s infographic comes from Mobi724 and it explains the concept of card linked offers (CLOs), as well as the benefits they confer to consumers, retailers, and even payment processors.

The Future of Customer Rewards: Card Linked Offers

As brick-and-mortar businesses look to the potential of the smartphone economy to help retain customers and increase store traffic, card linked offers (CLOs) present an interesting opportunity.

Card linked offers are relevant, personalized, and easy to redeem. Further, they ultimately create a flawless and convenient experience that can help increase brand loyalty and customer satisfaction.

How Card Linked Offers Work

Card-linked offers (CLOs) are a card-linking technology enabling operators to link a special offer or coupon to a consumer’s debit or credit card.

  1. Retailers and/or banks target a consumer with relevant ads
  2. The closer the recommendations are to the consumer’s preferences and geolocation in real time, the higher the chances are for redemption
  3. Offers can be redeemed with usage of the linked payment card at point of sale (POS)

Combined with the effective use of proximity marketing, CLOs can help reach customers at the right place and at the right time. In return, operators see an increase card usage and spending at participating stores, while creating a unique opportunity to actively engage customers.

A Booming Market

In recent years, CLOs have become one of the most widely used online-to-offline (O2O) technologies.

Card linked offers are already a multi-billion dollar market, and a recent industry survey found that transactions are growing at a rapid pace. Impressively, 62% of CLO users that responded to the survey saw their transactions increase by 100% or more in the last year.

What else is driving growth in this expanding market?

1. A Shift to Cashless
The world is embracing a cashless economy, as the popularity and convenience of using cards and mobile payment apps increases. CLOs are poised to benefit from more cashless retail transactions, which are growing at 20% per year.

2. Changing Consumer Behavior
Research shows that having an immediately gratifying rewards experience is more important to consumers than the monetary savings they get in the process. This creates a positive feedback loop with every experience.

Gauging Success

Truly successful card-linked offers must reach consumers where they are, provide personalized offers, and enable O2O – an online-to-offline redemption experience – for the customer.

If used correctly, card-linked offers can transform massive cost burdens and a lack of efficiency into new incremental revenue streams, providing a seamless user experience for all parties.

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Infographic: Generative AI Explained by AI

What exactly is generative AI and how does it work? This infographic, created using generative AI tools such as Midjourney and ChatGPT, explains it all.

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Generative AI Explained by AI

After years of research, it appears that artificial intelligence (AI) is reaching a sort of tipping point, capturing the imaginations of everyone from students saving time on their essay writing to leaders at the world’s largest tech companies. Excitement is building around the possibilities that AI tools unlock, but what exactly these tools are capable of and how they work is still not widely understood.

We could write about this in detail, but given how advanced tools like ChatGPT have become, it only seems right to see what generative AI has to say about itself.

Everything in the infographic above – from illustrations and icons to the text descriptions⁠—was created using generative AI tools such as Midjourney. Everything that follows in this article was generated using ChatGPT based on specific prompts.

Without further ado, generative AI as explained by generative AI.

Generative AI: An Introduction

Generative AI refers to a category of artificial intelligence (AI) algorithms that generate new outputs based on the data they have been trained on. Unlike traditional AI systems that are designed to recognize patterns and make predictions, generative AI creates new content in the form of images, text, audio, and more.

Generative AI uses a type of deep learning called generative adversarial networks (GANs) to create new content. A GAN consists of two neural networks: a generator that creates new data and a discriminator that evaluates the data. The generator and discriminator work together, with the generator improving its outputs based on the feedback it receives from the discriminator until it generates content that is indistinguishable from real data.

Generative AI has a wide range of applications, including:

  • Images: Generative AI can create new images based on existing ones, such as creating a new portrait based on a person’s face or a new landscape based on existing scenery
  • Text: Generative AI can be used to write news articles, poetry, and even scripts. It can also be used to translate text from one language to another
  • Audio: Generative AI can generate new music tracks, sound effects, and even voice acting

Disrupting Industries

People have concerns that generative AI and automation will lead to job displacement and unemployment, as machines become capable of performing tasks that were previously done by humans. They worry that the increasing use of AI will lead to a shrinking job market, particularly in industries such as manufacturing, customer service, and data entry.

Generative AI has the potential to disrupt several industries, including:

  • Advertising: Generative AI can create new advertisements based on existing ones, making it easier for companies to reach new audiences
  • Art and Design: Generative AI can help artists and designers create new works by generating new ideas and concepts
  • Entertainment: Generative AI can create new video games, movies, and TV shows, making it easier for content creators to reach new audiences

Overall, while there are valid concerns about the impact of AI on the job market, there are also many potential benefits that could positively impact workers and the economy.

In the short term, generative AI tools can have positive impacts on the job market as well. For example, AI can automate repetitive and time-consuming tasks, and help humans make faster and more informed decisions by processing and analyzing large amounts of data. AI tools can free up time for humans to focus on more creative and value-adding work.

How This Article Was Created

This article was created using a language model AI trained by OpenAI. The AI was trained on a large dataset of text and was able to generate a new article based on the prompt given. In simple terms, the AI was fed information about what to write about and then generated the article based on that information.

In conclusion, generative AI is a powerful tool that has the potential to revolutionize several industries. With its ability to create new content based on existing data, generative AI has the potential to change the way we create and consume content in the future.

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