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Using data to transform customer loyalty

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Published on

NRF NXT 2019
July 22, 2019
Julie Roy, VP, CRM, Digital, and Customer Insights & Analytics, DSW Inc.
Brian Seewald, SVP, Customer Experience & Operations, DSW Inc.

Published in: Retail
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Using data to transform customer loyalty

  1. 1. Julie Roy - VP, CRM, Digital & Analytics Brian Seewald - SVP, Customer Experience & Operations DSW Designer Shoe Warehouse 7.22.19 SESSION: Using Data to Transform Customer Loyalty
  2. 2. DSW + LOYALTY • Leading omni-channel footwear and accessories retailer, DSW is all about the thrill of finding the perfect shoe at the perfect price • Sales of $2.7B with over 500 store locations in the U.S. and Canada • Strong loyalty program dating back over 30 years • 26M+ loyalty members, with 29% members for 10+ years • Represents >90% of sales • Brand mission: WE INSPIRE SELF-EXPRESSION
  3. 3. THE NEED FOR CHANGE • Proven, but tired loyalty program • Changing retail landscape • Evolving customer needs, preferences and expectations • Desire to refresh the brand • Need to build emotional loyalty
  4. 4. VISION DEVELOPMENT HUMAN-CENTERED DESIGN - Voice of the Customer Research: Qual, Quant - Identification of Barriers to ‘Shoes as a Habit’ & Pain Points - Macro shifts in consumer needs & preferences RETAIL & COMPETITIVE TRENDS - Buying Behaviors - Role of Physical Retail - Competitive Plays WHO WE ARE - Brand Mission, Values & Promise - Competitive Advantages LOYALTY INNOVATION - Best-Practices in Loyalty - Program Design BUSINESS IMPACT - Economic Modeling - ROI & Long-Term Payoff 1 2 3 4 5
  5. 5. PROGRAM DEVELOPMENT MUSE DEFINITION DATA EVALUATION BENEFITS EXPLORATION QUANTITATIVE ASSESSMENT
  6. 6. ITERATIVE PROGRAM DESIGN SPRING 2018 FALL 2018 SPRING 2019 • Faster rewards • Free shipping & returns benefits • 3-tier structure with exclusive benefits • Shoe donation & rewards earning • Digital integration • Cloud-based loyalty engine • Real-time points & rewards • Expanded non- transactional rewards • Rewards donation • MyPerk choice reward • Mobile wallet • Text to enroll
  7. 7. KEY SUCCESS METRICS • +6% annual sales comp = highest in 7 years • Tri-fecta of AMAZING customer growth: • Significant new customer enrollments • Highest-ever retention & reactivation rates • Average annual member spend increase • 1.6M additional app downloads, growing to 20% of digital traffic • 1M shoes donated in <1 year and heart-warming, emotional stories • Recognized as one of the best, most innovative programs in the industry
  8. 8. FORWARD FOCUS • Personalization • Community & social • Enhanced digital utility • Experiential rewards • Paid memberships/bundles • Exclusive services • Credit integration • Gamification
  9. 9. KEY TAKEAWAYS • Focus on the customer • Set a vision & align the organization • Keep it simple • Continuously evolve

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