Check your wallet, how many loyalty cards do you have in it right now, what about on your phone?
Today’s merchants and all companies are giving away more to their most avid consumers but how do you know if those promotions are having an impact to answer just that. Alison Chick, the VP of Loyalty with Indigo Chapters, shared some of the ways she uses data, tips on how to drive change with that information and examples of great loyalty programs to follow.
For Indigo, their iRewards program connects over 70 per cent of their customers into a full omni- channel rewards program.
We see people who are exploring new categories, so we can present them things they may be interested and continue to drive more sales.
“We have line of sight into 70% of all of the transactions that our customers perform,” said Chick. What makes that special is they can bring that down to the bio-data that each of those customers holds, knowing if a mother of two is shifting her reading patterns from books about raising a child, to books about real estate and business.
“We’re able to look at when people used to shop with us quite a lot, and we’re worried that their pattern is dropping off, and how we can do the win-back to drive that next trip. Other times we see people who are exploring new categories, so we can present them things they may be interested and continue to drive more sales,” Chick explained.
What can you do with data?
- Engage with past customers and provide them the messaging they need to drive new purchasing occasions.
- Track your sales regionally and drive internal business decisions about new investments.
- Drive cross selling activities.
- Leverage merchandizing decisions.
- Track promotion activities. Are you giving away too much or too little?
Data only has value to an organization as the programs it is deployed into.
“Big data is partly about intuition,” said Chick, knowing which questions to ask and how to collect the information brings data of value. “The thing is, data can sometimes show you that your intuition is wrong and that’s where you have challenges to have your voice heard in an organization – when you are going against the common wisdom but have the data to prove it.”
Data can sometimes show you that your intuition is wrong.
As important as it is to have good data, Chick said that it was more important to have great people who understand the business. “Do your data analytics teams understand the business goals and strategy … they don’t need to be able to go toe to toe with a CEO, but if they were cornered by an executive in an elevator could they hold their own?”
The same goes for any contractor or agency you work with, think about the data you require to understand your success and about how that contractor is going to benefit from those numbers. How are you going to track their activity, how are they feeding into your funnel of success?