Building loyalty with a robust rewards program.

The industry


The client

A regional retail cosmetic supply and salon chain

A unique business model — modern and clean warehouse style retail with space for multiple salons at each location.


Our client had built a strong retail business model and had plans for significant future expansion. As part of their business model, they launched a customer rewards program. Our team was asked to review the program and find ways to expand and leverage their growing and very loyal customer base.

Our findings

Upon review of the existing program, we found it to be quite limited. Customers could only check loyalty balances and receive discounts in store. The loyalty program didn’t provide much value to the customers and the client had no path to increasing sales, advertising promotions or moving inventory with this group. Additionally, the sign-up process was clunky and did not require all the information that would best benefit both the business and importantly, the member.

The key finding was rather simple — leverage more attributes of modern retail rewards programs, meeting the expectations of existing customers.

The solution

Expand the loyalty program to make onboarding easy, the incentives more robust and the experience more personal.

The details —
More member information

We shifted loyalty program onboarding to an online experience, increasing the scale and speed of customer growth. We incentivised new and existing members to complete a robust user profile in an effort to gain valuable information about their interests and preferences. This allowed our client the ability to offer very targeted messaging and rewards at more appropriate intervals — like birthdays and point milestones.

Regular and personalized communications

Members receive personalized communications and exclusive offers based on their status within the loyalty program. With an established cadence and schedule for communications across channels providing unexpected rewards and gifts to keep members engaged. These efforts extended into their online and in-store presence, keeping members' experiences consistent.

Referral benefits for a win-win

To grow the program a referral benefit program was established that rewarded both parties upon successful account creation. This created a consistent flow of new members acquired at a very low cost in comparison to traditional marketing efforts.

“You don't earn loyalty in a day. You earn loyalty day-by-day.”
Jeffrey Gitomer, Author
The results

By implementing more robust reward and loyalty program strategies, our client can continue to build strong relationships with their existing customer base, increase customer retention, and ultimately drive long-term brand loyalty and sales growth.

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