China Merchants Bank APP User Incentive Program Report

With the diversification of finance today, banking products must also learn to keep pace with the times. As a state-owned bank, China Merchants Bank has a strong user base, but compared with the emerging financial apps, the former has obvious shortcomings in user incentives. How to solve this problem?

1. Introduction

1.1 Product Background

China Merchants Bank is a comprehensive financial product that covers account assets, financial management, life payment, community, entertainment, and shopping malls. Good user experience and simple design style are the advantages of China Merchants Bank APP compared to other bank APPs, and are also important reasons why the number of users has exceeded 100 million.

China Merchants Bank has achieved sophistication and strength in product design and security. However, in terms of "user incentives", although China Merchants Bank, like other apps on the market, includes operational activities such as points, gift-giving for recommendations, and points mall, the incentive effect on users is not significant enough. Most users only use it when making payments or checking their accounts.

From this perspective, the CMB APP still has limitations. Therefore, in the process of China Merchants Bank's strategic transformation into a "financial technology bank", it is crucial to research and develop relevant functions of "user incentives" to stimulate and encourage users to continue financial learning and complete financial transactions through the China Merchants Bank APP, thereby increasing user stickiness to the China Merchants Bank APP.

1.2 Current Market Demand

In order to increase the frequency of user use and retention time, the most common strategy for tool and service applications, represented by "China Merchants Bank" and "Life on Palm", is to add more functions and products, hoping to increase the user's opening probability and usage time by providing richer and more comprehensive services.

After version iterations in recent years, the functions of the China Merchants Bank APP have become more and more abundant. In addition to basic financial services and products, the CMB APP also loads and connects a large number of non-financial scenarios and life service functions, such as "meal tickets", "movie tickets", "life payment", etc. The China Merchants Bank APP has connected with more than 300 partner institutions including social security, provident fund, AutoNavi Taxi, SF Express, Walmart, and Ele.me, covering high-frequency life scenarios such as travel, tourism, shopping, and food delivery. Taking the "two tickets" as the starting point, China Merchants Bank has carried out in-depth cooperation with leading companies in the industry to attract consumers.

However, as a financial service app, it has sufficient breadth of non-financial scenarios but lacks depth. It invests costs everywhere, but none of them can compare to professional apps. There is no flagship product to attract customers, customers have limited choices for non-financial scenarios, there is no price advantage, the user interface is unfriendly, and the security standards are high. These factors objectively bring inconvenience to customers using bank apps for multi-scenario services, and ultimately investments that fail to see returns will be unsustainable. To sum it up in one sentence, the user experience and incentives are below expectations. Therefore, only by improving the user incentives for various services can we solve the long-standing problems of low usage frequency and short retention time.

1.3 Product Analysis Objects of User Incentives

This report selects three APPs, namely Alipay, JD.com and Lufax, based on the product positioning and functional scope of China Merchants Bank APP. It mainly analyzes the user experience and user incentives of the products from the strategic level, scope level and performance level, and completes the research on competing products. At the same time, we summarized the research information, dug deep into the product pain points, and formed a relatively complete user incentive plan for the China Merchants Bank APP.

1.4 Selection Basis

Alipay: As a third-party payment tool, its product positioning is payment and finance, and it is used to meet financial and life payment demands. Its core business is shopping, life payment and financial management. Alipay is recognized by the vast number of users for its security and reliability. Alipay's sound user incentive policy is a continuous driving force to support the promotion and development of this application. Whether it is the bonus mechanism launched in 2017 or the promotion of Huabei and Yu'ebao payment methods, they have been effective in achieving rapid user growth. Alipay's user incentive program is of great reference value for China Merchants Bank to improve the stickiness of long-tail users.

JD Finance: is a comprehensive financial tool whose core businesses are financial management and life services. It cooperates with JD platforms such as JD Mall to incentivize users to complete tasks by setting up virtual currencies. These virtual currencies can only be circulated and used within the JD APP and can generally be used to redeem goods and offset expenses when consuming. Users can earn JD Beans by signing in, shopping, commenting and posting orders through the JD APP. JD Finance uses a method of distinguishing between gold coins and growth values ​​to build a points system and membership level system.

Lufax: As a financial management tool, Lufax’s user incentives are composed of points, growth values, medals, and contribution values, which cross-form a points system, a level system, a medal system, and a membership system, which have a positive impact on improving daily activity indicators.

1.5 The significance of user incentives to the development of China Merchants Bank APP

The report analyzes the user incentive systems designed by three financial-related products, namely Alipay, JD Finance, and Lufax, and interprets the deeper design principles. It helps China Merchants Bank APP design, build and improve the user incentive system, promote users to complete the "monetization" business indicators, and improve product and operation data. At the same time, as users gain certain benefits from the product, their sunk costs increase, and thus user stickiness also increases.

2. Strategic Level Analysis

2.1 Product Strategy

User motivation is a systematic work and a very important part of realizing product strategy. Its core is to enhance product experience. By formulating reasonable incentive plans, users can be effectively guided to complete corresponding behaviors and increase their activity levels. While implementing product strategies, allow users to achieve their personal satisfaction, that is, achieve the business goal of an objectively unified incentive system for products and users.

Alipay: Build the Alipay digital life open platform, focus on the digitalization of the service industry, and help merchants complete digital upgrades.

JD Finance: Creating social value in the process of continuous digitalization of the real economy.

Lufax: Combining the development of financial globalization with information technology innovation, we provide professional, efficient and secure comprehensive financial asset transaction information and consulting services to institutions, enterprises and qualified investors.

2.2 Version Iteration

Product iteration is essentially the iteration of user experience. In recent years, the three software have carried out product upgrades around user experience. In addition to adding, reducing and optimizing product functions, they have also innovated and improved user incentive programs.

Alipay:

1. In August 2016, Alipay launched Ant Forest, a public welfare platform that introduces virtual energy to cultivate and motivate users’ low-carbon and environmentally friendly behaviors and sense of achievement.
2. The Ant Farm Love Game was launched on August 6, 2017. You can use Alipay to pay for chicken feed, feed the chickens to get eggs, and then donate them.
3. Digital features are gradually becoming more prominent: the homepage of the March 2020 version added sections such as takeout delivery, fruits, vegetables and medicine, reflecting the positioning of a one-stop digital APP

JD Finance:

1. In June 2015, JD.com launched Coins, which generated circulating virtual currency and opened up two-way communication, thereby increasing the number of active users of merchants.
2. Since 2016, JD Finance's overall positioning has changed, its model has shifted from B2C to B2B2C, and it has also transformed from a financial company to a technology company. JD Finance has developed strategic cooperation with various financial institutions, including co-issuing the "Xiaobai Credit Co-branded Card" with China Merchants Bank.
3. In July 2017, the company promoted an early-rising card-in activity, where participants paid RMB 1 a day to participate in the early-rising challenge the next day. Those who clocked in between 5:00 and 8:00 could share the bonus. This move increased the number of users on the JD Finance platform and also increased the user sunk costs.

Lufax:

1. Since 2013, Lufax has gradually faded the P2P label and upgraded itself to an intelligent online wealth management platform, focusing on the user's wealth custody experience.
2. In 2016, Lufax launched the “User Rights System”, using gaming thinking to provide rights incentives. The system will divide users into five levels, LV1-LV5, based on their growth values. Growth values ​​can be obtained by completing authentication, card binding, participating in first investment, reinvestment and other activities and tasks. Every time a user completes a task, in addition to gaining growth points to level up and obtain more privileges and benefits, they can also receive investment coupons and points. The higher the level, the more investment coupons and points you can get.

2.3 User Requirements

Alipay: Users use Alipay to solve all services related to "money" safely and quickly

JD Finance: Obtain financial information, financial investment, and meet users' needs for lending and crowdfunding

Lufax: Search and purchase financial products, learn about and exchange financial information

2.4 Usability and User Research

Alipay: The iterative updates of Alipay have led to the continuous expansion of the user base of mobile payments. Multiple user incentive programs have promoted the widespread penetration of mobile payments into various scenarios of residents' consumption. Although the utilization rate of financial payments is still low, it is also in a rapid development trend.

JD Finance: JD Finance mainly targets middle-aged people in more developed cities who have strong financial management ideas and great financial management needs. Young people who are more receptive to this platform but have weaker economic foundations also learn about financial management information through this platform. This group does not have high investment demands, and their core demands are mostly the convenient payment and shopping discounts provided by the platform. Since they shop online more often and often use products such as small treasury funds, wealth management funds, and white strips, the group has high stickiness and a high return rate.

Lufax: More than 70% of investment users are young and middle-aged, and the vast majority of users choose to purchase change management, public funds and online loan products. The platform allows users to sign in daily and redeem points earned from investments for products such as investment coupons, effectively increasing user retention time and preventing user churn.

3. Scope Level Analysis

3.1 Defining incentive requirements

Alipay: Users use Alipay mainly for convenient payment operations, and secondly hope to obtain preferential discounts, benefits and surprises to gain convenience.

JD Finance: Users hope to obtain professional financial information with the help of professional platforms, and can also use the platform’s benefits to invest and make profits.

Lufax: Users hope to manage their wealth through a safe and reliable financial management app to ensure the safety of their assets, while also hoping to achieve greater returns on their investments.

3.2 Functional Comparison

Alipay:

1. Users can obtain Alipay points to redeem various benefits. Users can obtain Alipay points through consumption shopping, life payment and financial management, and can also earn points by completing tasks. Points are mainly used for on-site redemption, lucky draws and other activities. Point consumption does not affect level upgrades.
2. Users gain satisfaction from continuously participating in charity activities in Ant Forest and Ant Manor;
3. Users who pay with Alipay at offline participating stores can participate in the bonus mechanism and have the opportunity to double their bonus.

JD Finance:

1. Users sign in daily to earn coins, which can be used directly to pay for JD.com orders;
2. Users complete tasks and earn gold coins, which can be used for redemption;
3. The coins and gold coins earned by users are not counted towards the membership level upgrade. Users can obtain growth points by completing core tasks.
4. Design an early-bird check-in activity where users can participate during a specified period and share cash.

Lufax:

1. After signing in, users can participate in the "Daily Benefits" and receive points;
2. Users can complete tasks, collect medals, gain growth points, and upgrade levels;
3. Users can obtain contribution points and upgrade their membership status through the account assets they hold.

3.3 Incentive Logic

Alipay: Pay, Payment → Points → Points Value/Membership Level

JD Finance: Financial Management/Payment → Gold Coins/Growth Value → Gold Coin Value/Level

Lufax: Financial Management → Points/Growth Value/Contribution Value → Points Value/Level/Member Level

3.4 Detailed experience comparison in different scenarios

Alipay:

1) "Get Points" Activity

Sign in to receive points: Users can go to the points page to sign in every day. They can receive 1 Alipay point on the first day. Continuous sign-ins can increase 1 point every day. The maximum number of points that can be received by continuous sign-ins is 7 points per day. If the sign-in is interrupted, it will be recalculated.

Earn points for in-store purchases: When using Alipay to pay in stores, take taxis, or shop offline, you can earn points up to three times a day when the actual amount of a single payment is greater than 0 yuan. The amount of points earned each time is random, and you can earn up to 300 points per month.

Earn points by paying with Ant Huabei: When you use Ant Huabei to pay in stores, on Taobao and Tmall, or at merchants, and the actual payment amount is greater than 0 yuan, you can get extra rewards. You can get up to 1 opportunity to earn points per day, and the amount of points earned each time is random. You can get up to 300 points per month.

Earn points by paying for buses and subways: When you use Alipay to pay for your first bus or subway ride each day, if the actual payment amount is greater than 0, you can get 1 extra bonus point. You can get a maximum of 2 points per day and a maximum of 62 points per month.

2) Ant Forest and Ant Farm

Alipay launched the Ant Forest and Ant Farm activities, which generate "energy" and "feed" respectively based on users' bill-buying and payment behaviors, giving them value, directly linking them with tree-planting charity and donation charity, forming daily tasks, awakening the public welfare awareness of tens of millions of users and increasing the frequency of users using Alipay. Users fulfill their spiritual sense of mission while participating in the activities.

3) Bonus Activities

Use Alipay to pay at offline participating stores and receive a bonus for the first payment of the day. The bonus will be issued after payment is made from Sunday to Thursday every week and can be used as cash on Fridays and Saturdays. When using Huabei and Yu'ebao, the reward money you get will have a chance to be doubled, and the maximum amount you can get after doubling is 999 yuan. The subsidy-and-reduction method is used to encourage consumers to use Alipay, and the "addiction model" is adopted to prompt users to use Alipay for small payments from four aspects: trigger, action, investment, and variable rewards.

JD Finance:

1) Sign in to get coins

JD Finance users can receive coins by signing in. The design mechanism of this sign-in activity is simple. Therefore, if accumulated based on natural days, such rewards will not be attractive to users. In response to this, JD.com has added various rewards, such as getting a treasure chest after accumulating 2 days. In addition, JD Finance has set a maximum value of "up to 100 coins" as a possible target value to attract user participation.

2) Complete tasks to get gold coins and growth points

Design core business indicators into each task and guide users to complete them to obtain gold coins and growth points. The core design to attract user participation lies in privileges and offers. JD Finance increases the value of gold coins by providing a variety of products for users to redeem. Growth points cannot be consumed by users and can only be used to upgrade to obtain privileges, which in turn provide them with gift packs.

3) Membership system: Membership levels are divided into five levels: bronze, silver, gold, platinum and black gold. When users complete a special task, they will gain growth points and can quickly reach platinum membership.

4) For the activity of getting up early and checking in to share the cash, users only need to pay 1 yuan the day before and get up early to check in between 5 am and 8 am the next day, and then they can share the cash from the bonus pool of the day accumulated from the registration fee with those who sign in continuously.

Lufax:

1) Daily check-in

Lufax users can get 4 points when they sign in at the beginning, +1 point the next day, and the daily maximum is 9 points. There will be a surprise every time they sign in for 6 consecutive days, and points can also be earned by completing tasks. After signing in for 6 consecutive days, you can get a surprise. The surprise is an unknown "random reward", which can stimulate the user's curiosity to a certain extent and motivate the user to sign in continuously.

2) User tasks

When users complete tasks, they can gain growth points and medals. There are 15 levels in total. You will get corresponding points for each level you upgrade. On the other hand, when users complete tasks, they will also receive corresponding medals. Medals are divided into gold medals and silver medals. When you collect 1, 4, 8, or 12 gold medals, you can get a gift package; when you collect 4, 8, 12, or 16 silver medals, you can get a gift package. Through the main line of tasks, Lufax has cross-integrated the points system, level system, and medal system.

3) Membership system

In terms of membership level, Lufax mainly focuses on the core business system. According to the rules, contribution value only comes from users' asset investments. There are five membership levels: ordinary member, gold VIP member, platinum VIP, black gold VIP and diamond VIP.

4. Analysis of the presentation layer

4.1 Visual style and comfort

Alipay:

1) The blue color of the software logo and main interface makes users feel comfortable and safe. In 2020, the blue color of the logo and page was fine-tuned to match the product transformation. Visually, it is brighter and more technological than the old version. The overall sense of security and reliability given to users has not changed, which can avoid user loss;

2) The pages of Ant Forest and Ant Farm are simple and easy to operate, but long-term use can easily cause visual fatigue.

JD Finance:

1) Simple, refreshing and cool beauty, without deliberately imitating mainstream apps such as WeChat and Alipay. The use of black and white makes the product list more concise;

2) The activity page for user incentives is designed very carefully. For example, the interface for sharing 500 million red envelopes after sharing is interesting, which increases the APP opening rate and user stickiness.

Lufax:

1) The sign-in page has an activity where you shake your phone to consume your energy, which gives users a sense of surprise;

2) The content of the wheel lottery page is concise and clear, and the special effects of the wheel are vivid.

4.2 Visual and Interactive Consistency

Alipay:

1) The software opens very quickly without waiting

2) As the main business is mobile payment, the Alipay payment function can be seen on the homepage of the APP, which is convenient for users to use in payment scenarios. After the payment is successful, you can directly receive points, one-click operation, very convenient

3) After the new design, new sections closely related to daily life such as take-out delivery, fruit and vegetable supermarkets, and medicine were added to the homepage. This actually further reflects the "all-in-one" one-stop digital APP positioning

4) Applications are displayed in order of importance and frequency of use. Users can also adjust the position, add or hide applications according to their personal preferences.

JD Finance:

1) Some user incentive interfaces lack details. The icon style of the gold coin exchange mall is too rough, and the red envelopes on the full screen make it difficult for users to distinguish them.

Lufax:

1) The icon style of financial products lacks recognition, and users will feel dull when seeing too many product list icons piled up on the homepage

V. China Merchants Bank APP User Incentive Program

5.1 Existing User Incentive System of China Merchants Bank APP

• China Merchants Bank has an industry-leading incentive system. Users can earn points after completing tasks and redeem a wide variety of gifts in the Points Mall.
• Use large amount of novice gift packages to induce new users to register, and the incentive will be effective quickly
• At the bottom of China Merchants Bank's website, there are five columns: [Home], [Community], [Wealth Management], [Life], and [My], which correspond to functional modules such as common functions, wealth information, financial products, life services, and personal settings. The user incentive page is easy to find, making it convenient for users to complete tasks and get rewards. The icons on the New Member Gift Pack page are arranged very clearly and without any clutter, and the visual interaction is very consistent.

5.2 Find the behaviors that need to be motivated from the user's growth path

5.2.1 From new or lost users to trial users

Prioritize solving users’ “one-time” and “simple repetitive” behaviors.

• Complete real-name authentication, complete personal information, bind mobile phone number, bind bank card, complete profile picture, nickname, personal profile, etc.;
• Complete the financial planning questionnaire, develop a financial plan for the first time, and guide first purchases;
• Try "simple repetitive" behaviors, such as logging in multiple times, clicking multiple times to learn about different financial products, and understanding various life services. The China Merchants Bank APP can launch financial management intention surveys for registered users and provide highly guided and personalized financial product recommendations, allowing users to become familiar with various financial products and encouraging users to try first-time consumption.

5.2.2 From Trial Users to Consumer Users

Guide users to continue to pay attention to financial products and cultivate the habit of regular financial management.

• Strengthen advanced financial management behaviors, such as receiving regular feedback from professional financial advisors after completing the first investment, and starting to consume lifestyle service products;
• Guide continuous financial management and provide rewards, including checking daily returns, comparing the returns of multiple financial products, and trying personalized recommendations for lifestyle products;
• Periodic activity incentive strategies, such as guidance on user advancement paths, experience upgrade benefits, points feedback, platform node activity stimulation, and random ticket activities. The China Merchants Bank APP needs to focus on product content and be supplemented by event operations. It should encourage users to invest through precise incentive activities and begin to stimulate an increase in the time users spend reading financial information articles, while also maintaining the professionalism of the financial management platform.

5.2.3 From Consumer Users to Contributing Users

Allow users to complete a major identity upgrade, that is, the transformation from ordinary users to active members.

1. Guiding continuous participation behaviors, such as following financial information articles, collecting, following, liking, sharing, forwarding, and recommending;
2. Join the discussion group on financial management, where professionals can answer questions about financial products, encourage ordinary users to become active users, and increase the activity of the platform community;
3. Exclusive identity design, design that requires special rights and exclusive interest incentives;
4. Financial management guidance guide, in the form of one-on-one communication with professional consultants, provides users with advanced guidance;
5. Emotional advancement increases users’ trust and expectations for the product. As for the incentive method for contributing users, giving more generous rewards can enhance the relationship between the platform and users. Encourage users to log in continuously for a long time, browse continuously and invest regularly. Appropriately increase the discounts and exemptions for life service products to encourage users to develop the habit of using the CMB APP to complete their daily consumption.

5.3 Key points in the design of user incentive system

5.3.1 Material Incentives

5.3.1.1 Rewards

Complete the task:

• Gift packages for novice tasks: New users can get a novice gift package after registration, and can only get the corresponding amount after the user invests. After completing each step of real-name authentication, card binding, and purchasing financial products, you can get corresponding red envelope coupons, experience money, points and other rewards
• Newbie exclusive mark: After completing the newbie task, users can start to understand financial products and purchase them. The platform will give new users a newbie exclusive mark, which generally has a higher interest rate, shorter term and lower risk than ordinary marks, which helps to improve the first investment conversion rate and the average first investment amount per person.
• Complete the early check-in task: Users who successfully check in within the specified time can receive a points package, which can be used to redeem financial vouchers or goods
• Invite friends: encourage old users to invite new users to register for investment, and encourage users to share and invite friends after purchasing financial products. The sharing model of fission marketing is adopted. Both the invitee and the inviter can get certain rewards. Users can also get coupons or points rewards by sharing on other platforms.
• Gamification: After purchasing financial products, you can get a certain number of super spin opportunities, and participate in the flip game every day to get life service coupons

Event Gift:

Establish membership days or welfare days, and users can obtain financial coupons by logging in on designated dates every month, which can be used to purchase financial products to earn double points. In the later stage, the amount and discount will be gradually adjusted according to the use of users' financial vouchers.

5.3.1.2 Points Consumption

Redemption Items:

You can redeem financial coupons, daily consumption coupons, or even involve an outsourced points mall supplier to provide various gifts.

Deduction upon maturity:

Points will be recycled on an annual basis.

Activity consumption:

Allowing users to participate in point lottery activities, such as flipping cards or point wheel activities, not only meets the psychological needs of users, increases the fun of using the APP, improves the user experience, but also ensures a certain amount of point recovery

5.3.1.3 On-site operation of the points mall

When the points mall is launched, the value of points should be fully publicized, and the value comparison between points and physical gifts should be promoted in a prominent position on the site. You can even involve an outsourced points mall supplier to provide various gifts.

5.3.2 Spiritual motivation

5.3.2.1 High-end design achievement badges

As a long-term incentive strategy, the badge is designed around the user's core behavior of "financial investment". In terms of design vision and user experience, the focus is on highlighting the user's identity as a financial guru and the platform's tone, while combining spiritual and material incentives to increase user pride. When a user completes an investment task, a certificate is given to the user as a spiritual and psychological reward. This can be combined with financial management tasks, and users will be awarded a medal after completing each cycle of investment. It can also be made into a medal wall, and the corresponding medal will be lit up after completing each stage of the task. Medals can be artificially set with rare attributes to give them value.

5.3.2.2 Exclusive posters and benefits

During holidays and user birthdays, make exclusive posters for users and attach certain benefits, such as: birthday-exclusive interest rate coupons, birthday celebrants’ exclusive red envelopes, holiday gift packages and other benefits, to increase users’ sense of trust and belonging.

5.3.2.3 Gamification Incentives

Through the virtual community game "CMB Treasure Bowl", financial management behavior is combined with leisure life to create a virtual community environment. The characters controlled by players in the game can use the income from financial management to purchase goods and improve their living conditions. For example, when users obtain daily returns from the financial products they purchase, the characters in the game can also obtain a corresponding proportion of "fortune beans". The "fortune beans" can be used to purchase clothing, props and even houses, greatly satisfying the users' sense of honor and satisfaction. Games can also introduce financial knowledge. Users can use the knowledge they have learned to simulate investments while playing the game and will also receive "money beans."

If you invite friends to play together, you will receive bonus income. At the same time, you can set friend dynamics and friend rankings to enhance users' trust and motivation in the game, and encourage players to work together to create a virtual home.

Virtual community games increase the frequency and duration of product use, allowing users to develop the habit of checking their earnings, consuming "fortune beans", and improving their living standards in the game. This naturally increases the energy users devote to the CMB APP and promotes user retention and stickiness.

5.3.3 Value-added Services

5.3.3.1 Level ladder and differentiation of level rights

Design a predictable progression path. By setting up a user level ladder of 5-7 levels, users are encouraged to unlock different rights through continuous use of the product category. The higher the level, the more exclusive benefits and rights they will have. Ensure that under a differentiated rights system, high-value users are continuously satisfied and low-level users are incentivized to work hard to upgrade.

Regarding the differentiation of rights and interests, the first solution is to solve different pain points of users at different levels, ensuring that high-level users can solve more pain points; the second solution is to provide different degrees of solution to the same pain point. Both options need to be considered and applied comprehensively.

5.3.3.2 Level measurement criteria

Use a level measurement indicator that matches the product positioning, such as "Fortune-Attracting Value", which is in line with the product positioning and allows users to easily deepen their impression of the product while increasing their favorability.

5.3.3.3 Upgrade reminder

Set up a feedback system to inform users how far they are from upgrading in the form of a progress bar.

After the upgrade, users should be reminded through multiple channels both inside and outside the site, informing them that they have been upgraded to the next level and providing them with the latest user rights and interests after the upgrade. After the user upgrades, a floating layer or personalized splash screen can be popped up, or the user can be notified by sending an in-site message or text message.

5.4 Optimization principles of user incentive system

• Make more efforts in retention operations, provide high-quality services and experience for existing users, create high-net-worth users, give higher priority to frequent users, and serve high-end users well;
• Make good use of emotional and spiritual motivation methods, which can solve many user conversion problems;
• The incentive system is a means to promote activity and improve retention. You must choose the most suitable incentive method based on the user's core behavior and time, and adjust it according to user feedback. The user incentive plan should be refined rather than numerous.
• The incentive rules should be easy to find, clear and understandable, and provide appropriate guidance.

VI. Conclusion

Designing an incentive system can, on the one hand, improve user activity, increase active users, improve retention rate, and retain users; on the other hand, it can also measure the growth process and value of each user in the product.

If user motivation can be expressed by a formula, it is user motivation = goals + rules + feedback system + voluntary participation. The goals of user participation incentives are nothing more than material, spiritual and value-added reasons. The platform needs to formulate and adjust incentive plans and rules based on the user's desire threshold for the goal, and add a feedback system to motivate users to continue participating. Voluntary participation requires users to understand and be willing to accept the goals, rules, and feedback of the incentive program, allowing users to voluntarily try to overcome various obstacles to achieve their goals.

Flexible use of incentive rules is a key factor in effectively stimulating users to produce the behaviors expected by the platform. This report introduces driving principles to motivate users, such as development and achievement, creation and feedback, ownership and sense of possession, social influence and connection, unknown and curiosity, so that users can voluntarily participate in the incentive plan.

In addition, the design and optimization of the incentive plan needs to ensure the fairness of the incentive mechanism, ensuring that the incentives are received by users who meet their needs and continue to use the product, rather than those who are simply lured by the rewards but cannot use the product for a long time.

After the incentive system is established, you will need to spend time studying conversions at each level and making continuous adjustments based on user feedback data and actual needs.

Author: Dai Zhuzhu, who is as thin as lightning

Source: Lightning Skinny Dai Zhuzhu