Tune in to the Local Frequency

New rewards app helps businesses help each other

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This article was published 06/05/2016 (3466 days ago), so information in it may no longer be current.

Tyler Ibrahim and his team have designed a way to help locals frequent Winnipeg small businesses.

They have developed The Local Frequency, an app that rewards its users when they shop or dine at participating locations.

Think of it as a reward program for the digital age. People download an app from the App Store or Google Play. They scan their phone at checkout and earn three per cent of the purchase price in reward points. One point equals one dollar.

Tyler Ibrahim said when shoppers support local businesses the money circulates through the economy more than when they shop at chains
Tyler Ibrahim said when shoppers support local businesses the money circulates through the economy more than when they shop at chains

After the transaction, the user gets a message telling them how many points they have earned. They can save up their points or use them the next time they visit an area business.

Ibrahim said the local economy benefits when small businesses are supported.

“We came to the realization after much research that the money spent at local businesses recirculates more than when it is spent at chains.”

The team also did its homework, Ibrahim said. Before writing a line of code they spoke with more than 100 local business owners to determine what they wanted from a reward program.

That told them there was a clear need in the marketplace.

That is not to say that first product was the final one either, Ibrahim admitted. Since its February soft launch, the team has added new features and improved the product as they get feedback from users and businesses.

Ibrahim said The Local Frequency is trying to focus on retails stores, restaurants, events and entertainment experiences. Many businesses heard through word of mouth, while some have been recruited directly.

One of those businesses is the Tiny TreeHugger, a boutique selling eco-friendly family items at 140-600 St. Anne’s Road. Andrea Thiessen said they heard about The Local Frequency from another business owner.

“It was a way for us to get involved and help local businesses,” Thiessen said.

Alex Goertzen agrees. The founder and co-owner of Little Bones, a premium chicken wings restaurant with locations at 123 Regent Ave. W. and 1931 Pembina Hwy., said it was logical for him to get involved.

“I am a huge supporter of local businesses,” Goertzen said. “I don’t like to shop at places that are not.”

Goertzen added that if he follows that philosophy in his personal life, it only makes sense to support an initiative which helps small businesses.

Both Thiessen and Goertzen said they have not seen strong adoption yet but as more people download the app and businesses register for the program they expect the benefits to grow.

Joelle Foster said Manitoba provides a diverse marketing environment for young entrepreneurs. The Manitoba, Saskatchewan, Nunavut and NWT Director of Futurpreneur Canada explained many use a combination of new and old methods.

“In Manitoba, we can still use one of the best marketing tools, which is word of mouth. I have seen it make or break a business.

“Young entrepreneurs have moved away from traditional marketing and almost completely to the digital space — social media, Facebook ads, Snapchat. They embrace technology.”

Foster said some companies employ geolocation technology to target audiences in specific territories while others use virtual reality to provide “virtual tours” of their businesses.

“Young entrepreneurs realize that there is a lot of competition and a website and some signage is not going to cut it in a sea of competition. “

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Tony Zerucha

Tony Zerucha
East Kildonan community correspondent

Tony Zerucha is a community correspondent for East Kildonan. Email him at tzerucha@gmail.com

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