When the town first launched Akronite, a points-based program that rewards customers for purchasing domestically, it was searching for a fast resolution to help native companies whose gross sales suffered through the pandemic. Now, this system is right here to remain after producing greater than $1 million in financial exercise in a 12 months.
Almost 7,000 customers and 277 native companies have participated within the system for spending {dollars} domestically. Prospects are rewarded for every in-person and on-line buy they make at taking part native companies utilizing linked credit score or debit playing cards via factors, or “blimps.” Every blimp is value $1 that may be redeemed at any taking part location. On the finish of every month, the town reimburses retailers for rewards they accepted. It’s free for companies to make use of.
Because the gentle launch in August 2020, the app has generated $1.18 million in financial exercise, the town says, which is measured by the cash spent and redeemed by customers at taking part companies with playing cards linked to the app.
“On the time [the app was launched] with COVID, all of the small companies had been hurting,” stated Sean Vollman, deputy mayor for built-in growth. “There was an amazing want once we rolled this out, and it’s gone rather well to the purpose of continuous this system for at the least a number of extra years.”
A lighter-than-air prize boosts curiosity
To have fun the anniversary of the official launch in November 2020, the town, along with the Goodyear Tire & Rubber Co., raffled a trip within the Goodyear blimp — a uncommon expertise that’s extremely coveted amongst Akronites.
“Using within the blimp has at all times been on my bucket record, however it was a type of near-impossible issues I didn’t assume would ever truly occur, so I’m very excited,” stated contest winner Kyle Leslie, 28, of Cuyahoga Falls. “I made certain to rack up these factors after I noticed the prize.”
Leslie, who had been utilizing the app since its launch, stated Akronite’s rewards are a great incentive to “double down” on patronizing native companies over massive chain shops and eating places.
Through the contest, which ran between Nov. 15 and Dec. 15, there was a “good uptick” in exercise, Vollman stated, with 201 new customers and 22 companies signing up. There have been greater than $115,000 spent and redeemed: a 29% enhance from earlier months.
The highest 100 customers who redeemed essentially the most blimps throughout the month entered a raffle for the blimp trip.
The town additionally ran a twin contest for taking part retailers, which had been chosen from the pool of companies at random. Diamond Deli was the winner.
“Out of all of the reward packages we’ve been approached to make use of, that is by far the most effective,” stated Chad Magilavy, who co-owns Diamond Deli along with his brother.
“It’s type of cool as a result of it’s a means for our prospects to get rewards for purchasing with us, however we’re not chargeable for giving out the rewards. I hope it continues to increase.”
Magilavy isn’t taking the blimp trip himself; as an alternative he’s passing it to his father, who based the deli 25 years in the past, and his mom.
Lengthy-term plans for app
The partnership with Goodyear is just the start in what the town hopes is a higher collaboration with firms within the space going ahead. The town has beforehand partnered with numerous organizations, such because the Downtown Akron Partnership, to run promotions, promoting or sponsorship of further blimps towards a selected trade or marketing campaign.
The app, created by the Israel-based firm Colu, price the town $32,500 to develop. Colu launched comparable authorities initiative rewards apps in different nations, however Akronite was its first U.S.-based endeavor.
To financially maintain this system long-term, Vollman stated the town is hoping to proceed to domesticate company sponsorships and promoting. Akron initially budgeted $30,000 in blimps, with a further $10,000 in rewards from Colu. Up to now, almost $34,000 has been redeemed. In 2022, the town is funding $100,000 for the app itself and $40,000 in blimps from the joint financial growth district funds. The town can be searching for group partnerships to help in rewards prices.
“It’s gone rather well,” Vollman stated. “Between the free promoting throughout the app and the reward incentive, I feel it’s an amazing instrument for our native companies, and I’m excited to see the place it goes.”
Reporter Abbey Marshall is a corps member with Report for America, a nationwide service program that locations journalists into native newsrooms. Study extra at reportforamerica.org. Contact her at at amarshall1@gannett.com.