The Turning Point

One of our retailer clients was facing increased competition and reduced share of wallet from existing customers. They wanted to identify opportunities for sales growth and increased protability.

We began with an evaluation of what the brand stands for and how it is perceived by customers.

Opportunity

Our deep-dive evaluation of the brand allowed us to better articulate the key value to customers. We developed a revised brand guideline and used it to review all customer touch points. This review identified a key opportunity:

Increased customer loyalty and frequency of purchase

Strategy

To take advantage of this opportunity we redesigned the customer loyalty program to be better aligned with the brand promise and to provide better incentives to drive repeat purchases and in-store visits.
We integrated the loyalty program into every aspect of customer engagement and communication. We chose Christmas season shopping as our first
priority for delivering results because

• We were seeing increased competition during this critical period
• As the highest volume sales period, our client had the most to gain from increased sales

Results

Program participation and Christmas sales from existing customers increased dramatically.
Over the first two years of the new program:

• Existing customer Christmas sales increased 89%
• Loyalty program profitability rose 9%
• Existing customer sales grew 19%