Unwrapping loyalty: 3 powerful tactics for post-holiday success

The lion's share of the holiday marketing conversation focuses on promotions and other tactics to drive purchases in retail's legendary fourth quarter. But don't despair, retailers — January offers another enticing opportunity to make gains with shoppers at a time when competitors are taking their eye off the ball.

You can transform January from an infamously slow month into the launchpad for a prosperous new year by making returns convenient, enabling omnichannel gift card spending, and creating exclusive, personalized offers for specific groups of post-holiday shoppers.

Craft a best-in-class returns experience

Many returns are frustrating. They often require customers to tediously repack items and print out labels on their own. Retailers can stand out by being among the few to make returns a delightfully easy experience, especially during a period when returns tend to see a sizable uptick.

REI is a good example of a retailer that offers fast and free in-store returns. For customers who need to ship their returns, REI sends easy-to-use QR codes for convenient, paperless drop-off at any USPS location — no label printing required. Retailers can even take it a step further through partnering with a company like Narvar, for instance, and simplify returns by offering customers convenient home pick-up of their items.

Enabling positive return experiences boosts customer trust in a retailer's ability to manage orders effectively. It also reassures them that they can change their minds stress-free after making a purchase. And, reducing the friction for returns encourages future transactions.

Make gift card spending easy across channels

Shoppers prize cash or pre-saved credit cards for their ease of use. In contrast, gift cards can be cumbersome, requiring a consumer to go to a retailer's store or enter the number of the card from their device. These extra hurdles, while seemingly small, can potentially upend conversions because consumers have become accustomed to the ability to make instantaneous purchases, anytime, anywhere.

Retailers can turn the typical inconvenient gift card experience into a competitive advantage by making the cards easy to use no matter where customers shop. For example, Nordstrom carries eGift cards that seamlessly integrate into Apple Wallets so customers can make purchases both in store and online with a single tap. Long gone is the need to enter in that gift card code for every transaction. And for those using the retailer's physical gift cards, Nordstrom offers a virtual terminal for customers to check their card balances easily.

Retailers can go a step further to accelerate the transition from a gift card purchase to repeat transactions. For example, they can use promotions to encourage gift card users to use their cards by a specific time in exchange for a special deal and include an additional opportunity for savings for those who sign up for a store credit card or loyalty app. Attaching expiration dates to those promotions fosters a sense of urgency, increasing the chance that shoppers will cash in on a one-time offer and gain a reason to return again and again after the holiday season.

Making it more convenient for consumers to use the gift cards they've received over the holidays allows retailers to turn the billions of unspent gift card funds into opportunities to create positive, repeatable brand experiences while also benefiting from the substantial number of customers who - when they do use those gift cards - spend more than the gifted amount.

Create gated offers for lasting goodwill

Retailers should also consider using gated offers to generate loyalty among post-holiday shoppers. Gated offers allow retailers to reward consumers for a core part of their personal identity that they are proud of, such as their professional or educational status.

For example, a retailer like Macy's could run a promotion for teachers getting ready for school to start up again after the holiday break. By verifying their status as an educator, teachers could get 15% off their Macy's purchases. This type of offering also shows consumers that the retailer supports educators who are making important contributions to their communities, creating goodwill for the brand.

Speaking of back-to-school, students are another group retailers can support during the start of the new year. Students may be looking to replenish school supplies just before the next semester or for another chance to upgrade their devices after the holiday surge. A retailer like Walmart, for example, can offer deals to support students and encourage them to share the student offers with their friends and peers.

Customers are thrilled to give and receive for the holidays, but the stress that comes with cumbersome returns and gift cards in the new year can dampen the mood and deter engagement. Retailers that streamline returns and gift card usage can transform what is often a frustrating post-holiday shopping experience into one that is memorable for the right reasons. And those who enhance that positive sentiment with tactics like exclusive offers can inspire the best gift of all: new and repeat customers who are eager to shop all year long.