A loyalty program that is loyal to you

#Branding #Communication #Service design

Every major retailer has her own loyalty program. It has become a ubiquitous aspect of shopping – that customers expect to be rewarded for their loyalty.

Usually retailers focus on loyalty discounts, designed especially for privileged frequent customers. As in, the more you spend, the more you can save on discounts. Yet in the world of FMCG, in a fiercely competitive market, prices are already driven down by the producers themselves. Therefore a price-focused loyalty program will make the customer loyal only to discounts, not the brand.

We decided to take our client Prisma into another direction. Discounts and savings are great – but what’s the point of tiny savings if you cannot use or see them? Inspired by Prisma’s ‘one trouble less’ approach, we researched what customers really needed. And that was something tangible with which to rely on. Something that would accumulate, based on their everyday grocery shopping. So in addition to good prices, wide choice and customer-friendly shop layouts, they would collect a real and usable bonus. This is how Prisma Konto concept was born: the more you shop at Prisma for your groceries and supplies, the higher your bonus rate and consequently the amount of money that lands on your personal account in Prisma.

Let’s say you spent €100 last month. This gives you as a customer a 1% bonus, amounting to 1€ on your Konto account. With 200€ a month the bonus is 2%, which is already 4€. Utilising all the vast choice of products in Prisma and spending 500€ will grant you a bonus of 5% and €25 on your account. This is then saved money you can use for ice cream, Christmas gifts, sports gear or a new kitchen appliance. And Prisma Konto doesn’t require you to carry around another plastic customer card. It uses Estonian ID cards to identify customers, so it is truly one trouble less.

And what are the numbers saying? By May 2014 over 135,000 customers had joined Prisma Konto, collecting a staggering 1.6 million euro in total. These are pretty real savings, don’t you think?

Prisma loyalty programme scheme