Could This Company's Loyalty Program Be A Hit In The Growing Asian E-commerce Market?

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Retaining customers can be challenging for any business fighting for its share of a competitive market. The slightest slip could see customers migrate to competing brands, never to return.

Because of this, companies are urged to make the most of existing customers and keep them coming back for more.

Studies show that previous customers are nine times more likely to buy from a business than new customers. Studies also show that existing customers spend an average of 31% more than new ones.

Apart from retaining existing customers, luring new ones is a challenge that can bedevil a business. Getting new customers can be tough and costly. Because of this, companies have been known to adopt several strategies and initiatives, such as loyalty programs.

Loyalty programs became prominent in the 1980s when airlines launched frequent flyer programs. American Airlines Group Inc. AAL launched its Advantage in 1981, followed by United Airlines Holdings Inc.’s UAL Mileage Plus.

Loyalty programs offer discounts, rewards and other special inducements to attract and retain customers. Designed to encourage repeat business, they reward customers for loyalty.

The more a customer buys or patronizes the service or products of a merchant, the greater their rewards. An effective rewards system might guarantee customer loyalty and ultimately increase revenue through recurrent purchases.

Asia’s Loyalty Program Giant?

Society Pass Inc. SOPA (SoPa) is redefining e-commerce and loyalty programs for consumers and merchants alike. SoPa is an e-commerce ecosystem in Southeast Asia that offers lifestyle, food & beverage, travel, digital marketing, merchant payment software and loyalty programs.

The e-commerce company’s business model focuses on collecting user data through the expected circulation of its universal loyalty points. It attempts to seamlessly connect consumers and merchants across multiple product and service categories, fostering organic loyalty.

Since its inception in 2018, SoPa has amassed over 1.6 million registered consumers and over 5,500 registered merchants and brands on its platform.

Society Pass provides merchants with #HOTTAB Biz, an order-management app for business partners on SoPa.asia, and #HOTTAB POS, a specialized POS technology solution that the company says is a comprehensive system for payment, loyal customer management, user profile analytics and convenient financial support packages for small and medium-sized enterprises. 

The company also operates Leflair.com, Vietnam’s leading lifestyle e-commerce platform, Pushkart.ph, a popular grocery delivery company in the Philippines, and Handycart.vn, an online restaurant delivery service based in Hanoi, Vietnam.

A regional presence in Singapore, Vietnam, Philippines and Indonesia allows the e-commerce company to create what it believes is a truly synergetic and multinational customer experience.

For more than two years, SoPa states it has worked on building proprietary information technology architecture with advanced components to effectively scale and support its platform’s consumers, merchants and acquisitions.

In its quest to further redefine loyalty for merchants and consumers in Southeast Asia, Society Pass expects to launch the Society Pass Loyalty App in June 2022 to enable consumers earn and redeem universal Society Points with any of their merchants.

Founded by Vietnamese-American entrepreneur Dennis Nguyen, SoPa could be on its way to achieving the dream of building a loyalty program among Southeast Asia’s mushrooming middle class tied to merchant software.

When the company went public, it was said to be the first company to complete an initial public offering (IPO) outside its home market of Vietnam. 

Drivers For Growth?

Currently, SoPa’s growth drivers include the relaunch of the Leflair luxury site in Vietnam with more than 1.5 million registered users, a growing food and beverage platform and a loyalty points program.

The company says its current cash of $33 million and no debt are sufficient to fund mergers and acquisitions and organic growth plans for the next three years.

This post contains sponsored advertising content. This content is for informational purposes only and is not intended to be investing advice.

Image: Society Pass Loyalty App (Photo: Society Pass Inc)