E-Commerce
fromDigiday
3 hours agoDigiday+ Research: Retailers take a more complex approach to loyalty
Retailers increasingly rely on complex loyalty programs to enhance brand loyalty and adapt to changing market dynamics.
"Everything in today's e-commerce environment is being driven by increased intensity of the research phase and true generational divides during the current macroeconomic environment," said Jaysen Gillespie, VP of product marketing and analytics at RTB House.
Fashion fans are more visible - and influential - than ever before. The Met Gala - often called fashion's Super Bowl - garnered more engagement across social media and press than the actual American football championship last year, according to Launchmetrics. Just like Swifties, fashion fanatics gather online in communities and comment sections on accounts like Gvishiani's to dissect collections, magazine covers and red carpets.
Email marketing should seemingly be obsolete. The first "email," after all, occurred in October 1971, nearly 55 years ago. Surely, social media platforms, text messaging, and various applications such as WhatsApp and Discord could have supplanted it. And let's not forget the grim industry concerns when Gmail introduced the "Promotions" tab in 2013. Today, AI inbox summaries are the latest marketing threat.
We've never had more ways to reach people, and yet it's never been harder to actually stick in their minds. Messages flash by. Feeds refresh endlessly. Ads disappear the second you scroll. But the things we can touch, hold, and spend time with ... those linger. They're processed differently by the brain, and they're recalled more clearly after the moment has passed.
Beyond their spending, high-value clients typically engage regularly, remain loyal over time, and align with the company's core offerings. For example, a high-value client that engages regularly could be a regular shopper who purchases often but also always likes and comments on the business's social media posts. These comments and likes on social media can have a positive impact on the business, showing other potential consumers that the business is reputable and valued by others.
Mike Pastore is the Head of Content & Media at Third Door Media, the publisher of the Martech and Search Engine Land websites and the producer of the SMX and MarTech Conferences. In nearly three decades in B2B marketing, Mike has worked as an editor, writer, and marketer. He first wrote about marketing in 1998 for internet.com (later Jupitermedia). He then worked with marketers at some of the best-known brands in B2B tech, creating content for marketing campaigns at both Jupitermedia and QuinStreet.
Performance has always been the foundation of commerce media because it tied spend to measurable behavior. From sponsored search to sponsored products, the category scaled by delivering outcomes that could be directly attributed to transactions. Automation, AI-driven optimization and closed-loop measurement accelerated that model and made outcomes-based buying the norm. Outcomes still matter. But as AI reduces friction and increases competition, outcomes alone no longer create separation.
Discounting has been part of retail's toolkit for decades, and it can be effective, especially during high-stakes shopping seasons. But as promotions become more frequent across the industry, companies are taking a closer look at the downside: Short-term sales gains don't always come with long-term loyalty or durable margins, and customers remember how a brand made them feel far more than what they saved at checkout.
They were trying to get to the bottom of how to diminish catalogue distribution without having a negative impact on store and online sales. They were also keen to define the geographic areas where digital content would work best and how to profile those areas to classify digital purchase behaviour. Together with Analytic Partners they were able to uncover opportunities to eliminate 22% of catalogues with negligible sales impact and increasing digital support in high-performing topologies, preserving€ 294 million in sales.
As the market grows increasingly saturated with traditional digital content, brands are exploring new ways to stand out by engaging more than just sight and sound. Advances in augmented reality (AR), virtual reality (VR), spatial audio and other immersive technologies are opening the door to richer, more memorable brand experiences that feel interactive rather than interruptive. The challenge is knowing how to experiment thoughtfully and how to use these tools to deepen connection without novelty overshadowing their purpose.
The digital advertising industry has always been eager to create standards that simplify complexity. Taxonomies-structured systems for labeling content and products-are one such attempt. And while the IAB Tech Lab's new guidance to connect Content Taxonomy 2.1 with Ad Product Taxonomy 2.0 represents progress, it also raises a fundamental question: Is this really the evolution we need? Or is it just a neater version of a system that no longer fits the reality of how people engage with content?
The traditional customer funnel is quickly giving way to a more fragmented, dynamic and self-directed journey. Today's buyers move fluidly across platforms, channels and touchpoints-often gathering information, building trust and forming preferences long before brands realize they're in the picture. As AI, creator influence and real-time intent signals reshape how decisions are made, brands must rethink where trust is built and conversion truly happens.
Key stat: 54% of US marketers plan to fully implement their generative engine optimization (GEO) strategy within three to six months, according to September 2025 data from Scribewise. Beyond the chart: Use this chart: Drop this into your next digital strategy review to show stakeholders the GEO timeline pressure. Use it to benchmark your team's implementation plans against the majority.
B2B buyers now enter the purchasing process already considering at least one vendor. Increasingly, AI-powered answer engines like ChatGPT, Google Gemini, Perplexity, and Microsoft 365 Copilot inform their choices. These tools are becoming one of the first places buyers turn for vendor insights. If a company doesn't appear in these AI-generated answers, it risks being excluded from buyer shortlists. To improve visibility, companies must strengthen their answer engine optimization strategies by leveraging their customers.
Marketers spend billions trying to persuade consumers that a product is right for them. But our research shows that sometimes the most effective way to market something is to say that it isn't for them. In other words, effective marketing can mean discouraging the wrong customers rather than convincing everyone to buy. We call this "dissuasive framing." Instead of saying a product is perfect for everyone, a company is up front about who it might not be for.
So the brand reinvents itself to pull in a younger segment of the market, often by borrowing ideas from cooler competitors to seem more "on-trend." But instead of younger and cooler, the rebrand comes off as insincere, stilted, or cringey. Worse, the brand's older, core customers, who liked the brand as it was, are irritated by the changes. Instead of spurring new growth, the effort drives off some of the existing customers, leaving the brand worse off than when it started.