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Use Digital Prepaid Cards to Get Started With Subscription Programs

Carolyn Schnare Chief Content Officer, Liquid Barcodes

07/18/2023

Digital prepaid cards are frictionless and contactless and a simple way to get started with subscription programs.

A subscription program is designed to conveniently remove thinking from everyday purchases for customers to make a one-time decision for month-long unlimited products like drinks and coffee.

But, sometimes a customer may be hesitant to commit to a subscription program.

There is a way for customers to test the waters of your beverage subscription program and that’s by offering the same benefit using a prepaid card valid for one month. Digital prepaid cards are a significant opportunity for convenience retailers and their loyal customers to join the subscription economy.

 

7-Eleven Sweden Bakery

The Time-Tested Concept Behind Prepaid Cards

Prepaid cards – both paper and digital – have been around for many years to gift or pre-pay a pre-determined amount. Today, retailers offer the enhanced ability to add a digital prepaid gift card to the mobile app, thereby combining it with the loyalty program and mobile ordering platform. Starbucks and Dunkin’, for example, allow gift card recipients to load those to their loyalty app for mobile payment 

Now, you can take that “gift” one step further and apply a fixed amount for a prepaid benefit, just like 7-Eleven in Denmark has done for a decade.

At 7-Eleven, a customer can purchase a prepaid card that allows for five coffees from the point of activation. After that time, they can activate a new card, but unlike a subscription, there is no automatic renewal.

 

711 Denmark

 

prepaid card

 

If a monthly subscription program is already in place, simply increase the cost for the prepaid one-month unlimited pass and entice the customer to join the program at a lower rate with auto-renewal. Not only will you build a new loyal customer, but you will also lock in an automatic customer that won’t go anywhere else for their beverages fix!

 

Benefits of Digital Prepaid Cards

Digital prepaid cards are activated by simply scanning a QR code or barcode on the customer’s app and each transaction is frictionless, contactless, and faster all around. Customers love the convenience and economical choice of saving money by not buying the products one by one. Further, the prepaid card is bought as a one-off purchase, so they don’t have to worry think about it automatically or unintentionally renewing.

For that one month, customers automatically will choose your store to fulfill their drink needs. And, it’s unlikely they’ll leave with just that drink, boosting overall basket sizes.

 

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Analyze Data from Digital Prepaid Cards

With customers identifying themselves for each transaction, your business can benefit from the data and insights available over time, understanding who is buying what and when. This enables more efficient targeted offers and marketing.

If you haven’t yet started a beverage subscription program, this is the perfect opportunity to test the water and give it a try. You will notice how attractive the prepaid card is to customers and those members will also be the first to convert to the full monthly subscription program.

If you already have a beverage subscription program, this prepaid option is a great idea for those subscribers to share with their friends and family. With the infrastructure already in place, a prepaid card allows the non-committal, the vacationers, and the unbanked to also get involved in the program.

 

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Get Ready to Grow Your Foodservice Sales With a Subscription Program

Liquid Barcodes has long been the industry leader in subscriptions, servicing more than 2,000 locations in the US alone. Having helped convenience stores around the globe, especially in Europe, offering beverage and foodservice programs to thousands of customers daily, Liquid Barcodes is quickly becoming the industry leader in foodservice subscriptions. Read more about the basics of subscription programs and three models to consider.

When you’re ready to get started with a subscription program or gift cards, let us show you how!

 

Cafe

More About Subscriptions

This summer, we’ve been publishing several articles in our Summer Subscription Series to help you learn the basics and more about subscription programs. Check out these great articles to find your fit.

About Liquid Barcodes

Liquid Barcodes is a leading global loyalty and digital marketing technology company specializing in the convenience and foodservice industries. The proprietary, cloud-based technology platform allows retailers to create and manage their digital marketing campaigns with a process called the “customer connection cycle’ to engage, promote, and reward customers’ activities in real-time across digital and media channels.

Liquid Barcodes loyalty platform is powering loyalty programs for industry leaders across several global markets, by offering unique subscription, mobile payment, machine learning, personalization, gamification, loyalty, and other capabilities.

 

About the Author

Carolyn Schnare, Chief Content Officer, Liquid Barcodes

Carolyn Schnare has been involved with the convenience retailing industry for two decades with extensive knowledge of customer engagement and marketing, sustainability, and community outreach. Prior to Liquid Barcodes, Schnare worked at NACS (National Association of Convenience Stores) in a variety of roles from event production to membership and most recently as Director of Strategic Initiatives and host and producer of the popular industry podcast, Convenience Matters. Schnare currently anchors the popular Shop Talk LIVE! video series produced by Global Convenience Store Focus media group.


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Liquid Barcodes

Put a rocket under your loyalty program

With our loyalty platform, we help design and operate world-class, tailor-made subscription and reward programs that make sure your customers always come back.

Book a Demo →

We are trusted by global brands.

Convenience retailers all over the world have engaged and rewarded consumers with our tailor-made loyalty programs.

To our case studies →

Liquid Barcodes
Liquid Barcodes
Liquid Barcodes
Liquid Barcodes

Convenience retailers all over the world have engaged and rewarded consumers with our tailor-made loyalty programs.

To our case studies →

Liquid Barcodes
Liquid Barcodes
Liquid Barcodes
Liquid Barcodes

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