PayRange Introduces Vending Industry’s First Mobile Based Rewards And Loyalty PlatformOctober 07, 2015
Vending Market Watch
PayRange Inc., maker of the world’s simplest mobile payment solution for machines, announced that it is launching the vending industry’s first mobile based rewards and loyalty platform designed specifically for automated retail.
The loyalty platform enables machine operators to reward their frequent customers, increase sales through additional purchases, and win new accounts by offering this program. The program is available beginning October 9 to all PayRange operators at no additional cost other than the cost of the rewards.
“PayRange rewards is built ground-up for the vending industry while leveraging best practices from other verticals,” stated PayRange founder and CEO Paresh Patel. “We’re excited to be a part of shaping the vending industry and making it relevant for the millennial generation through our innovations. With the PayRange app, we offer convenience through mobile payment, engagement through offers, and now loyalty through our rewards program.”
PayRange tailored the program for vending by designing features such as: (a) rewarding the frequent user, (b) enabling users to track rewards in real-time through the app, (c) encouraging incremental purchases through trials of different products with free rewards; (d) aligning earning of rewards and spending of rewards with the same operator; (e) offering automatic redemption to minimize overhead for operator and inconvenience for user; (f) allowing the user to choose when the free reward can be used instead of forcing use on next transaction, and (g) accruing points on a machine-by-machine basis, yet allow redemption on any of operator’s machines.
Highlights of the PayRange Rewards Program.
• Operator activate rewards program on a per machine basis.
• Users are awarded “Stars” for each mobile purchase and can track status right in the app.
• Stars are specific to each machine encouraging repeat usage of same machine.
• When 7 mobile purchases have been made, a free vend offer up to $2.00 is added to the user’s account. The user can use now, or save for later (up to 60 days).
• Free vend reward can be redeemed on any of operator’s machines encouraging trial of different products.
• Stars expire in 60 days, so 7 mobile purchases per machine must be made within a rolling 60-day period.
• When operators activate rewards program on a machine, users of that machine will automatically earn stars for mobile purchases made within a rolling 60-day period, increasing engagement.
• Operator can discontinue program on any machine at any time; any user who has earned a star can continue playing it out for up to 60-days. New users will not see the rewards program on that machine.
How it pencils out.
As an example, a user makes 2.5 purchases per week on average from a particular machine over the course of a year. After the rewards program, this user increases purchases to an average of 3 per week. This user will spend $39.00 more per year, and earn free vends worth $16.50 resulting in a net increase in sales of $22.50 or 11.5% from that user (assumes average vend is $1.50, and free vend cost is 75 cents). The operator earns more while rewarding the user and creating goodwill.
Use of rewards example.
Sally buys a bottle water every day at work. She loves earning the free vends because she uses the opportunity to try different items out of the food machine with her reward, especially the days she does not have time to run out for lunch. One time, she saw a Yogurt Parfait in the machine and was tempted to try with her reward. It’s not something she would have bought otherwise, but with her free vend, she decided to give it a try. She liked it so much, she now buys one every now and then for breakfast. For the operator, he has increased sales and not taken away from her water purchases.
The PayRange mobile app, available for both iOS and Android devices, allows consumers to purchase products from unattended retail sites securely, entirely on the mobile device via Bluetooth technology. The app has been well received having a five star rating in the App Store with consumers commenting on how much they like the new way to pay vending. PayRange enabled machines can be found across the 50 United States and throughout Canada.