SMART-Loyalty
SMART-Loyalty interfaces with any open platform epos system, using transactional, product purchase and payment information gathered from the epos database. Loyalty Club members details are held securely within the SMART-Loyalty application, and as their purchases are linked to their account, points are accumulated as specified.
The system allows flexibility in allocation of points to address specific business issues, and can be related to spend, product purchases, visit frequency, load leveling (where different numbers of points are rewarded for shopping at certain times, days of the week or months to influence shopping behaviour). Unlike almost all other “loyalty schemes”, which apply a discount, often retrospective discount, to customer’s spending - which are therefore, by definition, discount schemes, SMART-Loyalty works on the principle of giving away as little reward as possible, but just enough to ensure that the rewards issued are valued and the customer is incentivised to identify themselves at the till point.
The objective is for all vouchers mailed out to create additional reasons to visit, and for the recipient to spend in excess of the voucher. Reducing the cost of the voucher from 100% (if no further money is spent) to may be 25% off that one transaction. To achieve this, all vouchers carry two values – the first being what the voucher is worth of any purchase (say £5.00), the second the value of the voucher when spent against a higher set amount (say £25 of a spend of £100). The second voucher is worth more to the retailer and the customer.
Points are generally earned at 1% of spend, which although equal to supermarket schemes, can provide for very low rewards in less volume retail. Therefore points are boosted through bonus points – for buying certain products, which can be supplier funded, spending higher than the set average spend, shopping on weekdays and not weekends, shopping at certain times of the day (early morning or late at night – away from the peaks), recommending friends to join the club or other such activities. Vouchers are sent out when the customer has reached certain thresholds seasonally, in time to promote to them new ranges and the season. With voucher values sufficient to encourage a visit and large vouchers possibly offset against 3rd party offers, such as marginal tickets to the theatre, which may cost less, but have a higher perceived value.
SMART-Loyalty provides the reporting tools to not only manage the loyalty scheme effectively and address specific customer queries, but also understand the dynamics of the customer base and consequentially manage it better. Active customer reports, lapsed customers, customer segmentation analysis, postcode penetration analysis and customer tier analysis are all available.
SMART-Loyalty can be implemented instore or outsourced using Broadband technology.