Evaluating Notification Methods for Customer Engagement
Key Takeaway
The client was empowered to continue leveraging SMS for its marketing needs while delaying investment in push notifications until a comprehensive app strategy could be developed. This ensured customer engagement remained high without risking operational inefficiencies or user frustration.
Client
A retail-focused cannabis brand delivering curated products to Canadian markets.
Project Scope
Assessed the risks and benefits of transitioning from SMS marketing to in-app push notifications, considering customer journey impacts and business objectives.
Challenge
The client's SMS marketing faced new regulatory constraints, fragmenting the customer journey and creating location-specific risks (e.g., customer charges in Saskatchewan). The company needed to determine whether switching to push notifications would improve the customer experience and marketing effectiveness.
Approach
SWOT Analysis: Compared SMS and push notifications on reach, engagement, delivery speed, cost, and regulatory constraints.
Behavioral Research: Analyzed customer interaction patterns, including onboarding, re-engagement, and opt-in/opt-out processes.
Customer Journey Assessment: Evaluated transition scenarios to understand potential impacts on user flow and loyalty.
Strategic Recommendations: Addressed the cost-effectiveness, operational complexity, and customer loyalty implications of both approaches.
Results
Demonstrated that SMS remains the most effective channel for broad reach and immediate engagement, despite new regulatory challenges.
Identified push notifications as a viable alternative only if aligned with a broader app strategy, such as building customer loyalty and streamlining purchase pathways.
Provided actionable recommendations to optimize SMS campaigns and mitigate regulatory impacts.