3 Mobile Wallet Strategies to Boost Conversions During the Holiday Season and Beyond

There is abundant data showcasing the mobile wallet as a highly effective yet underutilized marketing channel. What started as a place to store digital cards and passes has evolved into a versatile and valuable touchpoint in the customer journey, offering a direct path to conversion. With wallet customers spending 30% more on average than non-customers, brands have an opportunity to capture more value from their customers and increase the ROI of acquisition costs  — especially during peak shopping periods like the holidays.

Our recent webinar, “Unlock the Marketing Potential of Mobile Wallets,” explored the evolution of the mobile wallet as a marketing channel. Airship’s VP of Product Marketing Ali Haris and Google’s Product Manager for Wallet Kevin Miller shared how recent innovations in mobile wallet technology are empowering brands to connect with customers in more meaningful ways — instilling a habit of engagement and driving repeat conversions.

While brands across industries benefit from mobile wallet adoption, retailers are uniquely positioned to capture more customer value with in-the-moment wallet experiences. Here are three strategies to enhance your wallet strategy during the holiday season and beyond.

1. Drive More Purchases with Digital Gift Cards

Gift cards make up a sizable portion of holiday purchases this year. Recent research found that holiday shoppers plan to spend 48% of their total holiday budget on gift cards in 2024 — up from 39% in 2023. 

Mobile wallets offer a new way to deliver gift cards directly to customers’ phones so they actually get used. For example, retailers can deliver a gift card to the recipient via SMS with a prompt to add it to their mobile wallet instantly. The cardholder can then easily access the card in-store without digging through their physical wallet to find it. Digital gift cards are a particularly powerful tactic for younger consumers, who are turning their backs on traditional marketing tactics and adopting mobile wallets at a higher rate.

The benefit to your business is threefold: enhance the customer experience by making gifting even easier, reduce the chance of gift cards sitting in an inbox, and lay the groundwork for future purchases.

2. Boost In-Store Loyalty Sign-Ups

Airship research found that the #1 way consumers use smartphones while shopping in physical stores is through mobile wallet loyalty cards and coupons. It’s no secret that customers want more value from brands in the form of perks, discounts and rewards. Mobile wallets make it easy to entice customers to take advantage of these perks during moments of attention.

Following an in-store transaction, brands can invite customers to join loyalty programs via mobile wallet. With a clear notification prompt and pre-filled information, customers can enroll in a loyalty program with just a few taps. This approach makes it easy for customers to start accruing rewards and increases the likelihood of repeat conversions in the future.

As Google’s Kevin Miller pointed out, “Loyalty programs are a key driver of this retention. Having a loyalty card in Wallet means that even those who are not willing to download your app have a more direct, personal connection with you and your brand. In fact, we know consumers in top loyalty programs make 2x more purchases and are 77% more likely to choose the loyalty brand over competitors.” 

3. Deliver Wallet Passes Directly through Ads

Another way brands can leverage wallets to create a direct path to conversion is by incorporating links or QR codes directly into ads that drive customers to add mobile wallet coupons, deals or offers. This holiday season, 72% of consumers said they would scan a QR code in a TV ad to make a purchase, showcasing a willingness to engage with these tactics as media consumption evolves.

TV viewers can easily scan the code with their phones and save the pass to their mobile wallets. Most retailers invest a significant amount of money into holiday season advertising, so it’s critical that customers actually convert to offset increasingly high acquisition costs.

Brands can then send wallet notifications about the coupon codes at relevant times or even as customers are passing by a store. Airship’s Mobile Wallet solution helps brands take the wallet experience one step further to dynamically update and personalize the passes based on any changes to the offer or a deepened discount — all without the customer having to redownload or refresh the pass. 

Get More from Your Mobile Wallet Investments with Airship

For more mobile wallet insights and strategies to support your conversion goals, watch “Unlock the Marketing Potential of Mobile Wallets.”

Airship launched its Wallet Notifications API in June, introducing the industry’s first consistent method for messaging mobile wallet pass holders across iOS and Android. If you’re looking to implement mobile wallets more holistically into your customer experience strategy and capitalize on the channel’s new reach, our Strategic Services team is available for guidance. Let’s connect!