Record-breaking revenue with customer loyalty

Fresh, multichannel strategy reignites customer passion

family enjoying donuts

When a U.K. retailer saw its 2.5M reward members disengaging and spending less, the team knew it was time to adapt quickly. They reinvented customer loyalty and improved revenue, doubling member spend and delivering historic results. Even after five years, new members are still doubling their annual spend—up 144% after joining.

 

integrated customer loyalty platform on mobile

Identifying the need for streamlined incentives

The U.K. retailer has been serving hand-crafted donuts and fresh coffee to shoppers since 2003, expanding  to 120+ standalone stores, and 1,000+ retail partner locations and online platforms. Reward members range from daily treat seekers to the occasional coworker buying a dozen (or two) for their office. Despite the brand’s success, its previous loyalty  program struggled with low engagement and limited offer availability.

Implementing a personalized multichannel loyalty program

Previously, members had a lower average transaction value than nonmembers, and rewards were mostly free donuts, with little incentive to spend more or engage outside of normal purchase habits. Rewards could only be earned or redeemed in the retailer’s stores, even though many loyal members shopped at supermarkets or online.

Revamping the customer loyalty software

The brand partnered with ITA Group to launch a points-based system on the customer loyalty platform, Horizon. This synced offline and online experiences, enabling customers to earn and redeem points across stores, supermarkets, local service stations and online.

The retailer also launched a fresh ecommerce platform and mobile app. We made sure everything, from the  new tech to the existing POS, worked together seamlessly. Thanks to our API-first approach, members could always see their points and rewards, no matter where they shopped.

Communicating effectively with customers

Our client services team used email to spotlight new offers, flavors and program perks, including:

  • Personalized time-limited offers targeted to specific member segments
  • Unique strategies and game plays to increase customer activity

Every message was tailored using real customer data so members got updates that actually mattered to them—turning everyday shoppers into loyal fans. This has been critical to accelerating time to next transaction and reactivating dormant members.

 

Results

91% increase in member vs. nonmember spend across channels since program relaunch

Horizon has been a key piece of the puzzle as we move towards a more 1-to-1 approach to our marketing communications. Creating and overlaying customer segments is so much faster, meaning we can get personalized messages to our members far more easily.

Retail Manager

The team has been so helpful throughout this project, not only in terms of the technical implementation of the new program but also in terms of their advice on the overarching strategy. They’re quick to respond and always ready to help find solutions, even when it’s outside the scope of their services.

Retail Director