How many of you recently purchased/seen a wafer called Nabati? They have deeply penetrated into the Indian Market by understanding customer behaviour. The marketing strategy employed by Nabati Wafers through its cashback program indeed reflects a nuanced understanding of consumer behaviour and digital marketing dynamics. Here’s a breakdown of the benefits the company enjoys from the cashback program which all product-based companies can learn.

1. Enhancing Sales Through Incentives:

Offering a cashback incentive like INR 10/INR 20 for purchasing two packets instead of one directly encourages consumers to buy in larger quantities. This not only boosts immediate sales but can also increase the product’s market penetration. By making the offer more attractive, the company can effectively compete with other brands in the market, potentially increasing its share. This strategy can be particularly effective in price-sensitive markets like India, where consumers are always looking for value-added deals. There is a cap that, with one UPI id consumers can get cashback up to 3 times. So a user can get somewhere between INR 30- INR 60 as a cashback for giving their data to the company.

2. Customer Loyalty and Repeat Business

Cashback programs are a form of loyalty promotion that encourages repeat purchases. By providing a tangible reward for purchasing Nabati Wafers, the company fosters a positive brand relationship with its customers. Over time, this can enhance brand loyalty as customers begin to associate the brand with rewards and positive experiences. Moreover, repeat purchases driven by such programs can lead to habit formation, making Nabati Wafers a preferred snack choice among consumers.

3. Data Collection for Targeted Marketing

The requirement for consumers to enter a unique code on the website and fill in their personal information serves as a strategic move for data collection. This data is invaluable for several reasons:

Personalized Marketing:

With access to consumer data, Nabati can tailor its marketing efforts to suit the preferences and behaviours of its customer base. This could involve personalized email marketing, targeted advertisements, and custom promotions designed to appeal to individual preferences.

Market Insights:

The data collected can also provide insights into consumer demographics, purchase patterns, and preferences. This information can guide product development, marketing strategies, and distribution plans to better meet the needs of the target market.

4. Collaborative and Affiliate Marketing

By potentially sharing data with partner companies, as mentioned in their privacy policy or terms and conditions, Nabati Wafers can engage in collaborative marketing efforts. This could include cross-promotions, affiliate marketing, or co-branded initiatives that broaden the reach of their marketing campaigns. Such strategies can open up new customer segments and leverage the strengths of partner brands for mutual benefit.

Nabati Wafers’ cashback program is a multifaceted marketing strategy designed to enhance sales, build customer loyalty, collect valuable consumer data, and facilitate collaborative marketing opportunities. Each aspect of the program is crafted to not only boost immediate sales but also to lay the foundation for long-term brand growth and customer engagement. By leveraging incentives, data analytics, and strategic partnerships, Nabati Wafers can strengthen its market position and build a more personalized relationship with its consumers.

Image Source: Woohoo