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Mall Loyalty Program Strategy How to attract & keep customers (short example)

Mall Loyalty Program Strategy Example

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How to attract & keep customers

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Page 1: Mall Loyalty Program Strategy Example

Mall Loyalty Program Strategy

How to attract & keep customers (short example)

Page 2: Mall Loyalty Program Strategy Example

TOP5 factors of choice

1. Supermarket availability2. Good set of stores 3. Convenient location4. Favorable prices5. Lack of queues

Page 3: Mall Loyalty Program Strategy Example

Most selling products

Clothing for adults

Shoes for adults

Gifts

Cosmetics and perfumery

Household appliances

Children's clothing and footwear

Foodstuffs

Cafés and restaurants

Entertainment

Domestic services

Meeting point

0% 10% 20% 30% 40% 50% 60%

56%

54%

30%

25%

17%

15%

21%

12%

23%

12%

15%

Page 4: Mall Loyalty Program Strategy Example

Frequency of visits

28%

24%

20%

12%

10%

5%1%

Every monthSeveral times per monthEvery 2-3 monthesEvery weekEvery six months and lessSeveral times per weekUsually visit the mall in another city

Page 5: Mall Loyalty Program Strategy Example

TOP5 factors of dissatisfaction

1. Lack of supermarket2. Exciting entertainment3. Complicated navigation4. Queues5. Many people

Page 6: Mall Loyalty Program Strategy Example

Loyalty Program Targets and Tasks

To attract customersPromote Loyalty Program

To keep customersExpand set of capabilities at each level

To increase the average check & To increase frequency of visitsPurchases gamification, involvement of the customer in the process of achieving higher levelGrowth personalization of Loyalty Program depending on customer loyalty

Page 7: Mall Loyalty Program Strategy Example

Best World Practice#1 Starbucks

The My Starbucks Reward program offers a wide variety of hard and soft actions users can be rewarded for. Customers in the program can earn “Stars” by paying with their registered cards, participating in product promotions, and completing incentivized actions. Once Stars are earned, they are stored in a customer’s user profile until they are redeemed for drinks, food items, and more.

Customers are also offered the chance to move up to Green and Gold levels of the program once they earn a certain amount of stars, with each level opening the door for more customer benefits. Customers can earn Stars for online and offline actions, like engaging with the brand’s mobile app, buying coffee in grocery stores, and even engaging with the brand through their various social channels and public promotions. The more a customer interacts with Starbucks, the more Stars they earn, and the bigger the opportunity for reward becomes.

Key Possibilities

Welcome levelEnjoy Something Special on your Birthday. On your big day enjoy a drink or treat on us, plus a coupon for 15% off a purchaseExclusive Offers Just For You. Be sure to opt-in to get special offers, discounts and exclusive invitations via email or text message.

GreenFree Refills in the Store. We want you to feel at home. Paying with your registered Starbucks Card or mobile app gets you brewed and iced coffee and tea refills at no charge during your visit at a participating store.Exclusive Offers Just For You. Be sure to opt-in to get special offers, discounts and exclusive invitations via email or text message.

GoldFree Drink or Food Reward Every 12 Stars. Earn 12 Stars and we’ll treat you to your favorite drink or food.Personalized Gold Card. Your barista will know you’re somebody special when you place an order.Exclusive Offers Just For You. Be sure to opt-in to get special offers, discounts and exclusive invitations via email or text message.

Page 8: Mall Loyalty Program Strategy Example

Best World Practice#2 Bloomingdales

Program details: Bloomingdales started their Loyallist program to reward customers for in-store purchases, but this program has grown to reward users for every single dollar they spend. Whether customers purchase goods in-store, online, or at their outlets, they are rewarded with Loyallist points no matter how they pay (cash, credit, store card, etc.). Double, triple, and even quadruple points are offered at different times throughout the year, and the more points a customer earns, the more you get for free (like free shipping and access to Power Points shopping).

When a loyalty program member reaches 5,000 points, they receive a $25 Bloomingdale’s gift card, regardless of their status in the program. Talk about generosity in loyalty marketing!

Page 9: Mall Loyalty Program Strategy Example

Best World Practice#3 Walgreens

The Walgreens brand is moving back to its health-focused beginnings, and part of their “health first” initiative can be seen through their Balance Rewards loyalty program. With the Balance Rewards program, members can earn points by taking care of themselves through filling prescriptions, receiving immunizations, logging points for walking and/or running, tracking weight loss, or participating in physical activities.

Once points are earned, they can be redeemed in increments for in-store gift cards up to $50. If that’s not incentive enough to promote a healthier lifestyle, I don’t know what is!

Page 10: Mall Loyalty Program Strategy Example

Best World Practice#4 Neiman Marcus

The Walgreens brand is moving back to its health-focused beginnings, and part of their “health first” initiative can be seen through their Balance Rewards loyalty program. With the Balance Rewards program, members can earn points by taking care of themselves through filling prescriptions, receiving immunizations, logging points for walking and/or running, tracking weight loss, or participating in physical activities.

Once points are earned, they can be redeemed in increments for in-store gift cards up to $50. If that’s not incentive enough to promote a healthier lifestyle, I don’t know what is!

Page 11: Mall Loyalty Program Strategy Example

Best World Practice#5 Dubai Mall

Welcome to THE LIST, The Dubai Mall's premier loyalty programme. Members of THE LIST can enjoy a broad selection of privileges such as VIP Lounge access, porter service and exclusive event invitations, among others.

THE LIST not only assures you access to the most exclusive experiences of The Dubai Mall but also symbolises status and prestige.

HOW TO QUALIFYBe on THE LIST and become part of one of the most exclusive loyalty programmes, beginning with the following steps:1. Present receipts of AED 100,000 spent within an active month at The Lounge reception. 2. Complete the application form 3. Receive THE List membership package which includes: * An exclusive card with member identification number * List of privileges & benefits * Voucher booklets * Rate card for private booking of The Lounge

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Loyalty Program Trends

In recent years, consumers' interest is shifted from economic purchases to new possibilities

Page 13: Mall Loyalty Program Strategy Example

Visitor logs in using tablet at reception and selects gifts, which accumulated enough bonus points

Girl on the reception accepts receiving a gifts and gives coupons to receive gifts

CRM

Customer fills out a questionnaire, confirms spending with a tablet, all the information goes to CRM

Customer downloads mobile app and get access to account management: confirmation purchases, receiving gifts, etc.

For offline participants For online participants

How it works

Page 14: Mall Loyalty Program Strategy Example

Financial scheme

Purchases summary cost 1 bonus point for each 10$ Gift cost = 40 bonus points

Page 15: Mall Loyalty Program Strategy Example

Motivation schemeLevels of Possibilities

Economy

Free Upload app and register

PremiumTo spend more than $ 3 000

GoldTo spend more than $ 6 000

PlatinumTo spend more than $ 10 000

BrilliantTo spend more than $ 100 000

Levels are got foreverPossibilities depend on the

activity

Gifts cost 1-9 bonus points

Gifts cost up to 29 bonus points

Gifts cost up to 59 bonus points

Gifts cost up to 99 bonus points

Gifts any cost

Page 16: Mall Loyalty Program Strategy Example

What possibilities for each LevelFree- free coffee and desserts- free massages and domestic services- discounts in partner stores (up to 3% or $15)- free parking (up to 2 hours per day)

Premium In addition to previous level- discount in partner stores (up to 5% or $50)- free parking (up to 4 hours per day)- free dinner in restaurant for two persons at birthday

GoldIn addition to previous level- discount in partner stores (up to 10% or $100)- free taxi from mall to home one time per month- free car wash one time per month- free dinner in restaurant for four persons at birthday

PlatinumIn addition to previous level- discount in partner stores (up to 20% or $1000)- free taxi from mall to home two times per month- free car wash two times per month- free dinner in restaurant for four persons at birthday- invites to the mall events for two persons- notifications about new collections favorite brands- special conditions for mall credit card

BrilliantIn addition to previous level- discount in partner stores (up to 30% or $10.000)- mall VIP lounge access- preorder for favorite brands & goods- full free parking & car wash- free taxi from home to mall and back two times per month- free tailoring service- free services of consultant of clothing choice- free child nurse

Page 17: Mall Loyalty Program Strategy Example

Gamification

Limited knowledgeMember does not know how many levels there are in the program and what possibilities they have, but he knows about the existence of a higher level and knows some of its features, but not all.

- Free parkingGold Level

…something else- discount in partner stores (up to 5% or $50)- free parking (up to 4 hours per day)Premium Level

Stimulating activityParticipant see how much still needs to make efforts to reach the next level.Also participant can get bonuses by doing some actions.

Competitive effectParticipant see if somebody has reached next level.

Page 18: Mall Loyalty Program Strategy Example

Personalization

Personal offers and gifts

Identification of needs

Personal requests from the customer

free level

Premium and Gold levels

Platinum level

Brilliant level

Page 19: Mall Loyalty Program Strategy Example

How to get bonuses

to make purchases by cash or mall credit

card

activity in social media to participate in surveys and

performance of tasks

Page 20: Mall Loyalty Program Strategy Example

How to Promote

advertising inside the mall

sms sending online advertising

cross promotions with partners

Page 21: Mall Loyalty Program Strategy Example

Author

Alexey Shestakov, [email protected]

http://www.linkedin.com/pub/alexey-shestakov/35/b51/a07