This document summarizes a webinar about creating successful customer loyalty programs. It discusses overcoming challenges like having too many loyalty programs and demanding customers. Common factors for loyalty programs of Starbucks, Macy's, Metro, Walgreens and Sephora are examined, such as rewarding healthy choices, multiple membership levels, and mobile apps. The webinar emphasizes that loyalty programs require gathering customer data, building customer insights and segmentation, and enabling personalized experiences. It stresses that loyalty programs are marathons, not sprints, and require constant innovation, generosity, focusing on best customers, and leveraging customer data.

1. #LoyaltySuccess
The
Secret
To
Crea,ng
Loyalty
Programs
That
Actually
Work
SPONSORED
BY

2. Welcome
Webinar
A=endees
#LoyaltySuccess
Type
ques,on
here

3. Follow
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#LoyaltySuccess
#LoyaltySuccess

4. About
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#LoyaltySuccess

5. #LoyaltySuccess
Panelists
MODERATOR
Debbie Hauss
Editor-in-Chief
Retail TouchPoints
Luc Garneau
VP Strategic Consulting Services
DataCandy

6. 6
The Secret to Creating Loyalty
Programs That Actually Work
9.30.14

7. Empower Marketing to be more Strategic by Integrating all Consumer Data,
Interactions and Analysis into One Place to create “ONE VERSION OF THE TRUTH”
7
Discussion Topics
Overcoming Challenges to Build a Winning Program
Common Denominator Among Key Players
Moving From a Good to Great Program
Summary & Key Takeaways

8. Overcoming Challenges
To Build a Winning Program

9. 9
The Challenge for Today’s Retailers
> 20 cards/household
Stand out from the crowd
Customers are more knowledgeable…Demanding

10. Loyalty
931 123 456
Jane Smith
10
Between the Card and the Strategy
+
Analytics Relevance
Satisfaction Retention Sales Growth

11. Tactical Key Success Factors
• Simple & Easy to understand
• Fair Base Value Offer
• Opportunities to Accumulate Points Faster
• Time to Redeem is Short Enough
• Relevant Rewards
11

12. Strategic Key Success Factors
• Focus on Capturing & Analyzing Customer Data
• Identify & Focus on Best Customers
• Build Customer Relationship based on
Relevance
• Test & Measure Initiatives to Improve Customer
Response
• Become Truly Customer-Centric
12

13. How to Overcome Those Challenges?
13
? ?

14. How to Overcome Those Challenges?
14
?
Program
conception
Innovation
Effectiveness Generosity

15. Common Denominators
For Loyalty Success

16. 16
Loyalty Program Success

17. Starbucks
Access to higher level for more benefits
Quick & easy payment through mobile
17
Enhancing the shopping experience
When the customer’s affection for the brand
becomes more important than the rewards

18. Starbucks Moving Forward….
18
The Slippery Field of Member Demotion
Letting a member know that his membership
status is being downgraded
can be very tricky

19. Macy’s
19
Digital wallet to manage payment
options & digital coupons
3 levels, 8 sets of benefits
Understand how, when & where to
deliver relevant messages
messages
Macy’s Loyalty Program is aiming at capturing a
bigger part of loyal customers’ share of wallet

20. Macy’s Moving Forward….
20
A Massive Amount of Data
Fully leverage the customer data and…
eliminate the siloes

21. Metro
Turn key program for customers
Weak base offer, strong bonus offers
Voucher sent every quarter along with
highly relevant coupons
messages
Metro & moi has set the bar for the other programs
21
mainly from a relevance stand point

22. Metro Moving Forward….
22
Remain Current & Keep Re-Invigorating
Constantly evolve program by…
• remaining extremely connected to
technology
• listening to customers, particularly
loyal customers

23. Walgreens
Rewarding customers for healthy choices
23
Bonus points on thousands of products,
healthy choices and prescriptions
Enrolling over 100M members flawlessly
Walgreens is clearly expressing that their key
objective is to treat their best customers BETTER

24. Walgreens Moving Forward….
24
Make Customer Retention a Priority
Define types of activities that have the best
Impact on customer retention
Test & Learn

25. Sephora
25
Includes passbook, mobile app
and “Fan Friday” offer on Facebook
Rewards members with unique
products and experiences
Program is driving traffic into stores
(10.6M members & Counting)
Sephora makes the program very appealing with
rewards not available at store level

26. Sephora Moving Forward….
Make Beauty a Good Reason to Interact
26
Explore the experience aspect of a
loyalty program by…
• going beyond the products
• taking special events to the
next level

27. From Good
to Great Programs

28. 28
Aiming at Best in Class Loyalty
?

29. 29
Aiming at Best in Class Loyalty

30. The Loyalty Approach
• Gathering &
organizing
data
LP data
POS data
Research data
Other sources
• Building
Segmentation
Value
Lifestyles
Lifestages
Etc….
• Enabling Better
Business
decisions
Store design
Promotions
Pricing
Assortment
Availability
• CRM
Through rewards
& relevance
• Increasing
Customer
lIfetime Value
By growing:
• Sales
• Margin
• Market share
Customer
Data
Customer
Insight
Customer
Experience
Desired
Customer
Behavior

31. Driving Results with Loyalty Data
31
Customer
Data
Customer
Insight
Customer
Experience
Desired
Customer
Behavior
relevance
ü Promotions
ü Communication
ü Flyer
ü Pricing etc…

32. Summary
Key Takeaways

33. 33
Loyalty is Too Important!
Do Not Improvise!

34. Never improvise
with Loyalty
and
STAND OUT
from the crowd
34
Customers are
much more
KNOWLEDGEABLE
and so…more
DEMANDING
Loyalty is
not a sprint
It’s a
MARATHON
Innovation,
generosity &
effectiveness are
ONLY PART
of equation
The real
secret is
in the DATA

35. Connect with DataCandy
Luc Garneau
VP Strategic Consulting Services
514.903.3282 x25
lgarneau@datacandy.com
www.datacandy.com

36. Thank You

37. Q
&
A
//
Panelists
#LoyaltySuccess
MODERATOR
Debbie Hauss
Editor-in-Chief
Retail TouchPoints
Luc Garneau
VP Strategic Consulting Services
DataCandy

38. Thank
you
for
a=ending!
View
&
download
this
webinar:
#LoyaltySuccess
h;p://rtou.ch/loyaltysuccess