“Basically, with the widespread adoption of social networks and smartphone devices – a completely new and highly relevant opportunity lies for merchants to reach out to their customers,” says Sajin Sebastian, the founder of LoReMo app.
“Development started around January 2012, and by April 2012 we launched our beta run in Bangalore by partnering with 7 merchants, which are mainly restaurant and coffee shops,” Sajin informs.
Besides Sajin, who has worked extensively on customer engagement, LoReMo is led by co-founder Anirban Majumdar. Sajin takes care of the sales, marketing, operations and strategic vision while Anirban heads the product development and strategic vision aspects. Both the teams have a couple personnel each.
What it is all about
LoReMo is a smart phone app that is available for free downloading across Android, Blackberry and iOS, with the windows version coming up. LoReMo, which stands for Loyalty Rewards on the Move, is specifically designed towards the twin issue of handling Customer Loyalty and Engagement for merchants.
Operating both in the B2B and the B2C spaces, LoReMo’s partners currently include more than 20 names in Bangalore like Beijing Bites, South Indies, Mint Masala, The Chocolate Room, Veekes and Thomas, Starkes and Adupadi.
These are a few benefits that merchants can enjoy:
- Access to entire LoReMo user base upon signing up.
- The possibility of building a brand’s goodwill through multiple reward strategies like rewarding customers for walking into their stores, making purchases, sharing offers on social networks
- Performing targeted marketing to LoReMo’s user base.
- Gaining insights into their customer’s demographic and spending profiles, and thus devise better customer acquisition.
Also, for customers, a few advantages are:
- A simple, single sign-up process that gives access to every merchant’s deals and rewards program.
- Receive information that is curated automatically as per their profile and location, in a non-obtrusive manner. Zero spamming!
- Have a clear picture about the reward points and rewards across merchants.
Revenue model and expansion plans
A seed-funded company, monetization for LoReMo is entirely driven by merchants, including a nominal fixed service charge that is borne by merchants for supporting the cost of sustaining the needs of the LoReMo program. “Other than that, we stand to make money only if the program works for the merchant. They pay a percentage of the value of the rewards that customers earn through LoReMo – since, unlocking rewards is the surest sign of repeat customers,” adds Sajin.
Although inherent startup obstacles like hiring good talent and operational issues have posed minute glitches, the plan for the future would include scaling up all key teams like development, analytics, sales, marketing and operations.
Anirban says, “LoReMo treats user confidentiality with paramount importance. Also, we have made sure that all information related to users is captured in an aggregate manner.”
Talking about numbers, Sajin reveals, “We have also chalked out an aggressive plan to expand to 6 other cities within India while targeting to partner with more than 5000 merchants and attracting an active user base of 5 lacs. Further ahead, countries where smart phone adoption is already going ahead full steam, like South Africa, Australia, South Korea and those in Southern Europe will be our focus.”
Do give them a look at what they can offer you here.