My favorite reward program is Cineplex. Cineplex gives cash discounts to moviegoers, and at other times, it provides free movies to its members. Cineplex has a loyalty program card that is provided to customers once they go to the movie cinema. One of the best things about the program is that it is not a complicated process and accumulation of points is easy as well. The card is free, and there are no additional subscription fees.
When one accumulates one thousand points, they see one movie for free. To get one hundred points, one must purchase a ticket. All popcorns and drinks purchased at the movie entrance have a 10% percent discount, and all these purchases increase the tally of ones overall points. Other than the free movie, Cineplex allows for the redeeming of points through DVD purchases. As of 2013, Cineplex has 4.7 million subscribers (The Star, 2013). Cineplex can use the hook model to have a better hook.
The Hook Model Framework (Source: Cowan, 2016)
The hook model has four major components: trigger, action, rewards, and investments.
The first step is triggering the emotions and feelings of the user. Triggers are of two types, internal and external triggers (Cowan, 2016). There are several ways through which Cineplex can apply triggers in their services. Since a trigger that a user can see, Cineplex should advertise upcoming movies with huge posters just at the entrance. Before a movie begins, there should be several previews and trailers of the upcoming movies. The curiosity of the users will increase, and as soon as the movie is released, they will want to see it.
The second step is the action phase. Action refers to the interaction that a user has with the product or service before they are given a reward. It is important to ensure that the action stage is simple and not complicated (Cowan, 2016). It should be easy to use and effortless. Minimum user action is recommended, and the effort needed to act should be minimized and optimized. Cineplex should come up with a page where the user can log in easily and scroll to find any news about upcoming movies, movies that are currently being shown, offers and charges. It should be an all-inclusive web page and should have a simple user interface. The registration process should be easy and quick.
The third stage is the reward. The reward is what consumer gets for using that particular service or product. The reward should be irresistible and interesting. It should be something that the user will tell his friends and family about it and consequently, get more consumers for you (Cowan, 2016). Cineplex awards point to its customers which is one of the rewards. Cineplex could opt to have special days when they provide free beverages and pizza for their customers. They could also provide movie packages, and when one pays for a movie package, for example, 5 or 10 monthly movies, Cineplex pays an extra movie or two for the customer.
The fourth stage is the investment. In this stage, one gets the user to invest in the product or service. Making the customer attached to your product or service is important. Once Cineplex gets their customers attached to their brand, and it becomes part of them, they will use them as a marketing tool. Cineplex prestige will grow, and the number of subscribers will increase.
However, adding additional triggers may decrease the efficacy of the program. This could be the case especially when actions are made harder, and users find them harder to use. Efficacy can also reduce if the triggers used to generate negative responses from the users.
References
Cowan, Alex. (2016). Making Your Product a Habit: The Hook Framework. Retrieved from
https://www.alexandercowan.com/the-hook-framework/ as at 10/11/2017
The Star (2013). Cineplex. Retrieved from
https://www.thestar.com/business/personal_finance/2013/06/09/why_cineplex_scene_is_my_favourite_loyalty_card.html as at 10/11/2017
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