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Learn the secret to using big data and gamification to motivate, engage, and engender true loyalty among your customers, employees, and partners
As our lives move online and nearly everything we do is being mediated by technology, all of our activity is generating reams of data – we are all “walking data generators.” Loyalty 3.0 reveals how to combine this “big data” with the latest understanding of human motivation to power gamification - the data-driven motivational techniques used by game designers to stimulate engagement, participation, and activity. With this potent combination, businesses now have a powerful engine for creating true loyalty among their customers, employees, and partners, and for generating a sustainable competitive advantage in their markets.
Loyalty 3.0 is a book that will redefine how you think about loyalty, and will open your eyes to the power of data to engage and motivate anyone, anywhere.
Rajat Paharia created the gamification industry in 2007 as the founder and Chief Product Officer at Bunchball, which has been recognized as an industry leader and innovator by Fast Company, TechCrunch, MSNBC, Forbes, and many others. Prior to Bunchball, Rajat worked at the intersection of technology, design, and user experience at world-renowned design firm IDEO.
- Sales Rank: #156141 in eBooks
- Published on: 2013-05-31
- Released on: 2013-05-31
- Format: Kindle eBook
Review
A WALL STREET JOURNAL & NEW YORK TIMES BESTSELLER
"Relationships are the single greatest asset for all organizations. Relationships with customers, relationships with employees, relationships with partners. In Loyalty 3.0, Rajat Paharia reveals the new science of relationship building through big data and gamification."- Tim Brown, CEO, IDEO
"The journey to Loyalty 3.0 is real. Rajat's vision shows why right time relevancy and context will transform how organizations engage with customers and truly craft relationships."- R "Ray" Wang, Principal Analyst & CEO at Constellation Research
"Loyalty 3.0 is filled with major insights, and does a brilliant job of grounding the reader in fundamental concepts around motivation, big data, and gamification - building on these concepts through real-world case studies that bring the combinations to life - and finishing with actionable ideas and next steps that enable you to test and operationalize these ideas in your own workplace and personal life."- Brad Smith, President & CEO, Intuit
"A fascinating insight into how companies are exploiting big data."- Mark Read, CEO, WPP Digital
"Rajat pioneered the business use of big data and game mechanics to transform the customer experience. A decade before anyone else, he saw that the same techniques that video game designers had used for years -- fast feedback, badges, competition, goals, and leveling up -- were also incredibly powerful for motivating behavior outside of games, and an industry was born. This book shares his secrets."- Clara Shih, CEO, Hearsay Social, author of The Facebook Era, and Board Member at Starbucks
"Adoption is a critical component when creating an exceptional customer experience or smarter workforce, and gamification has proven to be a powerful driver for success. The insights Rajat shares in Loyalty 3.0 will help guide the next wave of deeper relationships across the enterprise."- Sandy Carter, IBM Vice President, Social Business Evangelism and Sales, author of Get Bold
"In this powerful and groundbreaking book, Rajat Paharia clearly demonstrates how big data, motivation, and gamification can be utilized to create true engagement and loyalty. We believe Loyalty 3.0 will be a game changer for our associates and guests."- Ray Bennett, Chief Lodging Services Officer at Marriott International
"Rajat Paharia comprehensively explains how to create loyalty in the modern world full of data and connectivity. If you want to learn how to motivate and inspire employees, you must read this book."- Dave Kerpen, New York Times bestselling author of Likeable Social Media
About the Author
Rajat Paharia created the gamification industry in 2007 as the founder and Chief Product Officer at Bunchball, which has been recognized as an industry leader and innovator by Fast Company, TechCrunch, MSNBC, Forbes, and many others. Prior to Bunchball, Rajat worked at the intersection of technology, design, and user experience at world-renowned design firm IDEO.
Most helpful customer reviews
27 of 28 people found the following review helpful.
Helpful primer and inspiring playbook about gamification
By Jesse Lahey
Since you're reading this review, you've likely heard the buzz about gamification. Do you want to fully understand what it is, see pictures of real-life examples in a variety of contexts, and get actionable ideas and next steps for getting started in your own business? If so, this book won't disappoint you.
I have personally interviewed many gamification experts and practitioners, so I didn't expect to learn much more from this book -- but I was wrong. My copy of Loyalty 3.0 is now dog-eared and marked-up with all the ideas and facts that I've gleaned.
What is Loyalty 3.0? According to Rajat Paharia, it evolved from the original "loyalty programs" introduced decades ago:
- Loyalty 1.0: These are rewards programs focusing on "the deal" (think frequent-flier points, cash-back credit cards, and "buy 10 get 1 free" coffee cards). Once a better deal comes along, customers and employees will defect.
- Loyalty 2.0: These are more segmented and personalized, based on a customer's specific demographics and buying habits, but still transactional and focused on "the deal" (think direct-mail and email coupons and ads).
- Loyalty 3.0: Combines social-science research about motivation, plus user-activity data, plus tactics that videogame makers have been using for years, to create persistent engagement and win-win value (think Amazon and Netflix).
The book Loyalty 3.0 is organized into three parts:
- Part 1: Vision - explains the three building blocks of Loyalty 3.0: motivation research (especially the fields of self-determination theory and behavioral econonimics); big data (the ability to collect and use the data people generate as they increasingly live and work online), and gamification (game-inspired tactics to increase engagement). Having heard most of this before, I did get a little bored in Part 1 on occasion ... however, there were frequent surprises for me (such as the concept of "quantified self") so I never wanted to skip ahead out of fear for missing something important.
- Part 2: Execution - provides case studies of companies using these principles to drive customer and employee engagement. This is pure gold, both to help you understand principles of Loyalty 3.0 but also to help you explain the business case to others. Some of the case studies also appear in earlier books -- for example, LiveOps is discussed in "For the Win" by Kevin Werbach, but Loyalty 3.0 provides much more detail about what LiveOps did, why they did it, and what results they achieved.
- Part 3: Direction - provides a step-by-step guide on how to plan, design, build, and optimize your program. Again, I thought I would skim through this part, but it was quite rich and often presented a unique perspective. For example, Paharia does not simply present a list of common gamification elements ... he shares the 10 elements he has found to be the most useful, plus a convincing argument that they really ARE the most useful.
Because Loyalty 3.0 was written by someone who is selling a gamification platform, I was not expecting much from the book. I figured it would be an infomercial that I would skim through to pick out a few nuggets. Instead, I found it to be an important, thoughtful book that I enjoyed reading cover-to-cover.
Paharia does not simply get you to understand what Loyalty 3.0 is and why you need it, teasing you into believing that your company needs to hire Bunchball. He quite generously digs into principles and concepts for making Loyalty 3.0 a reality in your business, whether you or not you use Bunchball.
This is a book full of information and ideas that other gamification gurus will be quoting for years to come. Rajat Paharia comes across as both a theorist and a practitioner. He has been thinking about and experimenting with gamification concepts longer and in a broader array of applications than nearly everyone. As a result, this book provides both convincing research as well as useful models -- plus adds behind-the-scenes facts.
I believe CEOs, HR VPs, and other business leaders will find Loyalty 3.0 to be a helpful primer and inspiring playbook about gamification.
30 of 32 people found the following review helpful.
This book is in my top 10 business books of all time
By Thomas J. Kosnik
The purpose of this review is to encourage you to buy Loyalty 3.0: How to Revolutionize Customer and Employee Engagement with Big Data and Gamification, read it, and put it into action so that you will have more loyal employees, customers, and other stakeholders. Why, because Rajat Paharia has created amazing results for a variety of businesses using the principles inside, and you can too.
Why believe me? First, I am a self declared bookaholic who has read thousands of business books since i started my business career in 1975. Loyalty 3.0 is in the top 10 business books I have read.
Second, because I have been teaching marketing, first at the Harvard Business School (1985-89 and 1994-97) and then at Stanford in the Department of Management Science and Engineering 1990-Present). My intention is to make Loyalty 3.0 required reading for my Global Entrepreneurial Marketing Course, along with Jennifer Aaker's "The Dragonfly Effect," and a book I have co-authored called "Gear Up, Your Best Idea Ever!"
Third, because I am putting my money where my mouth is. I pre-ordered Loyalty 3.0 when I first learned about it, and after it arrived this week and I read it, I came back to Amazon.com and bought 10 more copies to give away to clients and colleagues.
The other reviewers have done a nice job of telling you what's in the book and why they like it, so I won't repeat those comments here. Instead I would encourage you to buy the book, read it and then put the principles into action. I am confident you will see tangible results as your customers, employees, co-workers, alumni, and investors take their loyalty to you and your product, service or cause to a new level.
Tom Kosnik
12 of 13 people found the following review helpful.
Best insight into Big Data, Gamification, and Motivation on the market
By Kevin Spier
I've read nearly all of the books and articles about gamification in the past 4+ years. This book stands out. Rajat does an incredible job of putting it all together with real examples and insight based on experience. I know in the past he has been affectionately called the father of gamification; his insights here demonstrate that it is well deserved recognition.
Rajat calls out how we have become walking data generators because of how we now live our lives online. This is throwing off tremendous big data. The smart people and companies are leveraging this information by being relevant and building relationships with their prospects and customers based on this data. Game mechanics/gamification provide the ability to do so effectively and efficiently.
The real strength of this book is that it's not just a bunch of theories and "what ifs". Rajat uses real world examples at every turn and weaves his company's experience through them to show the learnings and evolution of the field.
This book will stand out for years to come.
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