TARGET. DESIGN. EVALUATE.
Customer engagement is the journey; loyalty is the destination.
If gaining loyalty is so important to your brand, how do you earn it, or earn more of it? A great loyalty program creates value to better engage with your customers by encouraging the behavior you want and discourages the behavior you don’t want as well as creating strong brand affinity.
Clear Peak helps you capture and analyze the information needed to connect with your customers along each step of the journey and reach your ultimate destination – customer loyalty.
Target Your Efforts
Most customers are not loyal. The trick is to target, attract and then reward your most profitable customers. Fact-based insight provides you with the personas or even the individual names of those that you want to target and retain in your loyalty program.
However, identifying your target customer is not always obvious. As with most things, there are tradeoffs. Our Clear Peak team can help you understand the most critical attributes of your best customers and identify the personas that are most likely to become active loyalty program members.
Design Your Program
Understanding your target is just the first critical step. You must now develop a program that provides incentives for the right kind of behavior with the right kind of customer.
The design of loyalty programs should be aligned with your overall marketing plan. However, the most important factors in designing a program are personalizing the customer experience and providing attainable and desirable rewards.
The experts at Clear Peak help you identify the key factors, prioritize them and then help you design a rewards program that your customers will value, creates a strong brand affinity and meets your business goals.
Analyze Your Results
Data-based + Fact-based + Iterations
This is the formula for loyalty program success. Only by analyzing the relevant data will you know, definitively not anecdotally, that you are meeting your goals against key loyalty program measurements related to acquisition, retention, conversion and win-back. And if you’re not meeting your goals, it identifies where you can start to make adjustments.
Experienced professionals like our Customer Experience experts know this too well. But data is our core competence and our team will impress you with our effective, efficient, cost-conscious approach to your data.
Customer Story: Branded Apparel Retailer
A branded apparel retailer had a mature loyalty program and was experiencing a decline in membership. They were interested in revitalizing the program. However, they lacked the capability to analyze their program and to understand their key brand levers that impact loyalty.
- Developed a plan to test and gather insights that provided a fact-based foundation for loyalty program restructuring
- Conducted benefit conjoint analysis to determine most impactful benefit combinations and revise rewards structure to increase engagement among more members
- Analyzed first time buyer and lapsed customer offer tests to create acquisition and win-back strategy
The analysis demonstrated which benefits were most meaningful. The data showed that active members had an average spend of about $750 with a frequency of eight visits. Non-members had an average spend of about $150 with a frequency of two visits. This insight provided the information needed to build the business case for revitalizing the program and implementing a new loyalty application and analytics platform to support the initiative.
Our combination of commercial experience understanding and business analytics skills could be just what you need to take your business to a new level of success. The next step is up to you…