How to unveil the real value of your data? The knowledge is there, but how can it be used? Case studies of Comarch projects regarding loyalty around the world.

1. INSCRUTABLE LAYERS OF KNOWLEDGE
UNVEILED TO OPTIMIZE THE RESULTS OF
YOUR LOYALTY PROGRAM
Amsterdam Arena, 07.12.2016

2.  8+ years hands-on experience in loyalty
 Loyalty Business and Operational Consulting
 Loyalty Programme Management
 CRM campaign planning and execution
 Customer Satisfaction
Joanna Witsch (Młynarska)

3. TODAY’S CHALLENGES
The data are not a knowledge yet.
The knowledge is just the beginning to start
personal marketing within loyalty programs.

4. THE KNOWLEDGE
IS THERE…

5. …YOU NEED TO UNVEIL THE
INSCRUTABLE LAYERS
Hi, I’m Kate, I live in Amsterdam, I’m
35 years old
I love shopping under one roof. Street
shopping is rather not for me…
Once I had to complain that i receive
too many emails…
My wallet is full of everything so
i never know what i have there but
i have everything in my smartphone
I love socializing, my friends treat as a
fashion expert so I often share my
opinion
I’m married , we don’t have kids
yet…but i can tell you in secret that
I’m pregnant (yaaaayyyy)
I do have my car, i love it!!! but I use
public transport too, especially to
work

6. THE RESULT IS SUCCESS OF
YOUR LOYALTY PROGRAM

7. YOU MAY ASK HOW TO DO IT?

8. MEASURE YOUR CAMPAIGN
RESULTS AS WELL AS YOUR
MEMBERS ENGAGEMENT
1. Set KPIs
2. Measure results during campaign
3. Measure results after campaign
4. Benchmark them vs assumptions
5. Conclude
6. Ask your members about opinion
THE BASICS ARE: DO, TEST AND LEARN
1
Adjust offers
to target
groups
2
Set
objectives
3
Set KPIs and
benchmarks
4
Launch
5
Measure
6
Improve
LEARN
DO
TEST

9. IT’S GREAT TO LEARN FROM OTHERS
SAMPLE CASES

10. PAYBACK – 5 X POINTS IN ONE WEEK – MASS CAMPAIGN THAT
BROUGHT HIGH COSTS AND LOW INCREMENTAL INCOME
TARGETING:
 All PAYBACK members
COMMUNICATION:
 ATL, in-store, paper newsletter
MECHANISM:
 5 x points for various products at different
partners but no all partners
RESULTS:
 Very high commercial costs
 Negative ROI
DISCOVERY:
 Too short and too complicated promotion
 No time for incremental purchase

11. VS STRONGLY TARGETED CAMPAIGN: 2X, 3X, 4X TIMES POINTS AT BP
Customer Segment Coupon
Redemption
Rate
Segment 1
avg frequency: once per 3 weeks
avg fill: 30l +
2x - fill >30L any fuel 21 days 47%
3x - fill >30L any fuel 14 days 76%
4x - fill >30L any fuel 14 days 84%
Segment 2
avg frequency: once per week
avg fill: 15l +
2x - fill >15L any fuel 7 days 51%
3x - fill >15L any fuel 7 days 79%
4x - fill >15L any fuel 7 days 85%
TARGETING:
 Members with various:
 Frequency of shopping & Basket size
COMMUNICATION:
 In-store, coupons issued at till
MECHANISM:
 Double points
 Triple points
 Quadruple points
RESULTS:
 Up to 85% redemption rate
 250% ROI
DISCOVERY:
 Members willing to purchase more frequent
 The better benefit, the higher redemption rate

12. VS STRONGLY TARGETED CLOSE COOPERATION BETWEEN TWO
PARTNERS: BP & REAL
TARGETING:
 For REAL: customers who fuel the car at BP and are not
REAL members.
 For BP: customers who purchase at REAL and are not BP
members.
COMMUNICATION:
 In-store, on coupons issued at till
MECHANISM:
 Buy 20l of fuel and get 3x points coupon for REAL
 Buy for 25 PLN and get 3x points coupon for BP
RESULTS:
 15% redemption rate
 7K new members
 250% ROI
DISCOVERY:
 Proper choice of well covered stores and fuel stations was a
key for success

13. MY WAITROSE – REVERSED APPROACH TO TARGETING
TARGETING:
 All myWaitrose members
COMMUNICATION:
 In-store, online, on receipts
MECHANISM:
 Choose up to 10 products for which you can get 20% off
when shopping
 Amend the list 10 times a month
RESULTS:
 1.5m customers in 3 months
 3% sales boost
 Increase in frequency and basket size
DISCOVERY:
 Members are happy to spend even more on average
 Amazing way to understand customer needs and engage
them is to give them the choice

14. VS PROFI ROMANIA – LACK OF TARGETING AND VERY LIMITED
PROMOTIONS CAUSED A STRONG DECLINATION
TARGETING:
 All PROFI loyalty program members
COMMUNICATION:
 Online, folders and voice message
MECHANISM:
 Discount for one product only on Tuesday and for
seniors on Wednesday
RESULTS:
 Short-term increase in promoted products sales
 Loyalty penetration was stopped on the level of 20%
and last year dropped to 13%
DISCOVERY:
 One day offer for one product only doesn’t make
members loyal

15. HEATHROW – REACTION ON MEMBERS’ LIFE-CYCLE IN THE
RIGHT MOMENT IS WELL PAYABLE
TARGETING:
 Members not active in last 6 months
 Potential new members
COMMUNICATION:
 Email
MECHANISM:
 500 points when you spend 50 GBP
RESULTS:
 16% OR and 0.2% response rate for new members
 29% OR and 20% response rate for reactivated
members
DISCOVERY:
 Maintaining and reactivating members pays back much
more than acquisition

16. PAYBACK – ASKING CUSTOMERS ABOUT THEIR CHOICES IN THE
SURVEYS HAS SAVED THE MONEY
TARGETING:
 Members of PAYBACK that didn’t use
certain partners
COMMUNICATION:
 Phone survey
QUESTIONS:
 Why don’t you use our partner?
 What offer would make you convinced?
RESPONSES:
 It’s not on my way
 It’s more expensive than other brands
 I’d use it if I’d get 10% discount or more but
only for the promotion
DISCOVERY:
 Try to acquire once or twice
 But do not invest in the customers who
may become your members for once

17. PAYBACK – USING GEOLOCATION AND UTILISING RIGHT
PARTNERS BROUGHT NEW VALUED MEMBERS
TARGETING:
 Customers of telco operator who are not fuel station customers
 Customers of bank who are rather richer but use other fuel
stations’ brands
COMMUNICATION:
 Email from bank
 Push notifications/ SMS when passing by fuel stations
MECHANISM:
 Extra points and discounts on fuel for new members
RESULTS:
 10% response rate,
 50% members remained within the brand
DISCOVERY:
 Maintaining and reactivating members pays back much more than
acquisition

18. SO WHAT IS THE INSCRUTABLE KNOWLEDGE THAT WE’VE
JUST UNVEILED?
 Focusing on maintaining and engaging existing
members rather than over-investing in new ones is far
more payable
 But when you’ve got a new program, only when finding
the right targets and right partners will bring you
valued members that will stay with you
 Too short lasting promotions bring mainly the costs
 The more detailed you target and the more elements
of targeting you use, the higher income you win
 Listening to your customers and letting them choose,
brings you income that can surprise

19. THANK YOU
Any questions?