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Proud sponsors of Mega Event 2014 Mega Event Asia-Pacific 20-21st August 2014

Mega Event APAC 2014 - High Performance Reward Programs

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Collinson Latitude presentation by Chris Rogers at Mega Event APAC 2014 on High Performance Reward Programs

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Page 1: Mega Event APAC 2014 - High Performance Reward Programs

Proud sponsors of Mega Event 2014

Mega Event Asia-Pacific 20-21st August 2014

Page 2: Mega Event APAC 2014 - High Performance Reward Programs

High Performance Reward Programs

Mega Event Asia-Pacific 20-21st August 2014

Chris Rogers

Page 3: Mega Event APAC 2014 - High Performance Reward Programs

Engagement via Earn and Burn

Driving commercial value

Page 4: Mega Event APAC 2014 - High Performance Reward Programs

Earn & Redemption

Existing Client programme

management & Points Engine

Earn Mall Redemption Shop

Earn Redeem

Page 5: Mega Event APAC 2014 - High Performance Reward Programs

Mega Event Asia-Pacific 20-21st August 2014

Understand potential of e-commerce1

Page 6: Mega Event APAC 2014 - High Performance Reward Programs

Asian e-Commerce value

Mega Event Asia-Pacific 20-21st August 2014

Delivering campaigns drives results in engagement

In 2014, consumers in Asia Pacific will spend more on e-commerce purchases than those in North America

Asia Pacific

North America

Western Europe

Central & Eastern Europe

Latin America

Middle East & Africa

0

100

200

300

400

500

600

$ billions

Page 7: Mega Event APAC 2014 - High Performance Reward Programs

Asian e-Commerce growth

Mega Event Asia-Pacific 20-21st August 2014

Delivering campaigns drives results in engagement

Asia-Pacific will claim more than 46% of digital buyers worldwide in 2014, though these users will only account for 16.9% of the region’s population. -

China Indonesia UK US South Korea Japan Australia0

10

20

30

40

50

60

70

% Growth 2014

Your members are already spending online...

Give your members an opportunity to earn + redeem through your programme, when shopping online, and create a high

performance reward proposition, with merchant funded miles purchasing, and greater efficiency in redemption

Page 8: Mega Event APAC 2014 - High Performance Reward Programs

Mega Event Asia-Pacific 20-21st August 2014

Learn from others2

Page 9: Mega Event APAC 2014 - High Performance Reward Programs

Key players

GAFA

Mega Event Asia-Pacific 20-21st August 2014

Page 10: Mega Event APAC 2014 - High Performance Reward Programs

Out with the old…

Mega Event Asia-Pacific 20-21st August 2014

“You can have any colour you like so long as it's black”

Henry T Ford

Page 11: Mega Event APAC 2014 - High Performance Reward Programs

I want my stuff now

I want stuff when Iwant it

In with the new

I want discounts

I want to compare

I want the best price

Mega Event Asia-Pacific 20-21st August 2014

Page 12: Mega Event APAC 2014 - High Performance Reward Programs

Peak shopping periods

Mega Event Asia-Pacific 20-21st August 2014

Page 13: Mega Event APAC 2014 - High Performance Reward Programs

Core components converge

Mega Event Asia-Pacific 20-21st August 2014

Content Technology Engagement

Page 14: Mega Event APAC 2014 - High Performance Reward Programs

Mega Event Asia-Pacific 20-21st August 2014

Earn Mall: Leverage merchant relationships to fund bonus miles3

Page 15: Mega Event APAC 2014 - High Performance Reward Programs

Local, regional and global content

Malaysia

Mega Event Asia-Pacific 20-21st August 2014

Page 16: Mega Event APAC 2014 - High Performance Reward Programs

Mega Event Asia-Pacific 20-21st August 2014

Local, regional and global content

Rest ofAsia

Page 17: Mega Event APAC 2014 - High Performance Reward Programs

Mega Event Asia-Pacific 20-21st August 2014

Local, regional and global content

Rest of the

World

Page 18: Mega Event APAC 2014 - High Performance Reward Programs

What sells?

Mega Event Asia-Pacific 20-21st August 2014

Electricals and food and drink lead the way for one APAC airline

42%

17%16%

15%5%

2% 1% 1% 0%

Volume of goods sold in June 2014

ElectricalsFood & DrinkHealth & BeautyClothes & FashionEntertainment & leisureGifts & FlowersSports & FitnessHome & GardenOffice & Business

Page 19: Mega Event APAC 2014 - High Performance Reward Programs

Extracting value from merchant partners

Category Typical % of sale available for funding

Electricals 3-7%

Food & Drink 5-10%

Health and Beauty 5-15%

Clothes & Fashion 2-15%

Entertainment & Leisure 5-15%

Gifts & Flowers 5-10%

Sports & Fitness 3-7%

Home & Garden 5-10%

Office & Business 2-10%

Mega Event Asia-Pacific 20-21st August 2014

Page 20: Mega Event APAC 2014 - High Performance Reward Programs

Mega Event Asia-Pacific 20-21st August 2014

Learn from e-commerce to drive redemption4

Page 21: Mega Event APAC 2014 - High Performance Reward Programs

For your customers

Choose from thousands of rewards Get a great experience

Choose how to interact

Choose how to pay

Choose how to receive

Mega Event Asia-Pacific 20-21st August 2014

In summary…

Experiences

EntertainmentMerchandise

Travel

Page 22: Mega Event APAC 2014 - High Performance Reward Programs

Creating a blended portfolio

Mega Event Asia-Pacific 20-21st August 2014

Home Sports & Outdoors

Eyewear Kids & Toys And many more…..

Food & Drink Accessories

Computer

Cinema & Experiences

Health & Beauty Fragrances Digital Content eGift Card

Electrical

Luggage & Travel

Jewellery & Watches

+50% of anticipated redemption <10% of the range can account for +60% trx

Page 23: Mega Event APAC 2014 - High Performance Reward Programs

Mega Event Asia-Pacific 20-21st August 2014

Attainable Rewards

E-commerce platform

E-commerce ready suppliers

Drive engagement through redemption

Blended portfolio of goods

Page 24: Mega Event APAC 2014 - High Performance Reward Programs

Mega Event Asia-Pacific 20-21st August 2014

Global benchmarks5

Page 25: Mega Event APAC 2014 - High Performance Reward Programs

Global benchmarks

Mega Event Asia-Pacific 20-21st August 2014

Earn Redeem

6-8% 15%Average Commission Average Margin

6+ 1 in 80

Average Purchases p.a by an active shopper

Member base to transact ratio

15% 4-5%Click to Buy ConversionClick to Buy Conversion

$128 $200Average Basket Value Average Basket Value

Page 26: Mega Event APAC 2014 - High Performance Reward Programs

Earn and Burn programs need to be driven to optimize engagement and commercial return

Choose e-commerce enabled platform with comprehensive roadmap

Understand key shopping trends

Choose supplier with access to local, regional and global content

Delivering a high performance program

Mega Event Asia-Pacific 20-21st August 2014

Page 27: Mega Event APAC 2014 - High Performance Reward Programs

Thanks for listening!

For more information please contact:

Mega Event Asia-Pacific 20-21st August 2014

www.collinsonlatitude.com

@C_Latitude

[email protected]