Professional Documents
Culture Documents
Meinekes
Approach to
Customer
Engagement
IN THIS
ISSUE:
Know more,
stress less
In this Issue...
THIRD QUARTER 2015
WWW.LOYALTY360.ORG
VOLUME 7 NUMBER 3
FEATURES
16
Passionate Customers Lead to
Supreme Brand Loyalty at
Auntie Annes
Jim Tierney | Loyalty360
LOYALTY FORUM:
IN EVERY ISSUE
4 Letter from the Editor
6 Loyalty360 on the Web
8 Your Voice
10 Behind the Brand with Tom Cole, Executive
VP, Chief Development Officer | Ansira
18
Meineke Repairs the Car Care
Industrys Approach to
Customer Engagement
Mark Johnson | Loyalty360
12 360 Insights
Shopping Experience
20
Customer Loyalty at Bavarian Inn
Lodge Is All About Creating
Enjoyable Experiences
Jim Tierney | Loyalty360
32 Loyalty Innovation
56 Loyalty Reads
Expo Session
Previews
58
22
Family Atmosphere at HarleyDavidson Instills Brand Loyalty
Jim Tierney | Loyalty360
2 0
1 5
24
Hospitality Triggers Customer
Loyalty at Hwy 55 Burgers,
Shakes & Fries
Jim Tierney | Loyalty360
MANAGE THE
CONNECTION
BETWEEN
CUSTOMER
EXPERIENCE
AND LOYALTY
Lenati.com
RECOGNITION
REWARDS
BENEFITS
AFFINITY
80%
PRODUCT
VALUE
UTILITY
INFORMATION
EASE OF USE
QUALITY
20%
@Lenati
In this Issue...
THIRD QUARTER 2015
WWW.LOYALTY360.ORG
VOLUME 7 NUMBER 3
TECHNOLOGY,
TRENDS & REWARDS
BEST BUSINESS
PRACTICES
44 Simplicity at Hertz Means Great Customer Experience
Jim Tierney | Loyalty360
40
Contacts
Article Submissions & Advertising:
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CM
REGISTER NOW!
MY
anaaltamira@loyalty360.org or
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o
h
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our white yalty.com
www.cxlo
WWW.ENGAGEMENTEXPO.COM
Loyalty Management THIRD QUARTER 2015
Whats New
ON LOYALTY360.ORG
360
podcast
yourvoice
Loyalty360
I believe the omnichannel experience has mostly fallen short of expectations, not
because of its impact potential (which is great), but because of retailers speed to
successfully create it for consumers. From the shoppers perspective, there are no
channels, simply brands; however, still today channel-based issues abound. Whether
its online purchases that cant be returned to stores or inaccurate loyalty point accruals
across channels and devices, efforts need to be made to create a 360 view of the
consumer rather than silo both the information and operations so a true omnichannel
experience can be had.
Jeff Sopko President, Insights & Marketing | Baesman
For lack of a better solution, there has been a trend in B2C companies using CRMs
to engage consumers. Customer Relationship Management, originally a B2B sales
solution, was never designed to help marketers understand, segment and engage
consumers who purchase, socialize and acquire specific items (SKUs); therefore, it
has fallen short of their expectations.
Brad Marg, COO | Clutch
The problem is not usually with the technology, but with the users
of the technology. Customer engagement needs to be personal, and
values driven, no matter what tools we use.
Al Perkinson, Vice President of Marketing | Costa Sunglasses
BehindtheBrand
WITH TOM COLE, EXECUTIVE VP, CHIEF DEVELOPMENT OFFICER | ANSIRA
Tom oversees the development of key relationships with both current and new
Ansira clients. Prior to his current role, Tom was co-president and co-founder of
predecessor company RAZOR, helping to build the agency to $300 million in
capitalized billings in less than eight years.
Prior to founding RAZOR, Tom served as president of Brann Worldwide Dallas,
executive vice president of JWT and vice president of marketing for PepsiCo.
Tom received bachelors degrees in economics and business and his masters
in business administration from the University of Pittsburgh. He attended the
Harvard Business School program for Owner/President Management of privately
held businesses.
WHAT TREND OR TECHNOLOGY SHOULD MARKETERS EXPIRE AS
A FAD OF THE PAST?
There has always been a trend, or a tendency, of brands viewing
customers through the lens of their business. That has to change.
Brands have to do a better job of viewing the business through the
eyes of its customers. That will require significant organizational
changes to achieve, but the mindset must change first.
WHAT IS THE BIGGEST CHALLENGE YOU ARE CURRENTLY
LOOKING TO SOLVE?
To be best in class at data-driven customer engagement marketing,
an agency needs more top talented people collaborating from more
disciplines than ever before. Finding, attracting, retaining and inspiring
this level of talent is a significant challenge that will only grow.
WHAT DO YOU SEE AS THE NEXT BIG TREND IN CUSTOMER
ENGAGEMENT AND LOYALTY?
The next big trend has already happened, but most marketers are
struggling to catch up. The trend is the always on, always connected
consumer, yet marketers still seem stuck in a batch-and-blast model
that grew up in the world of advertising campaigns.
10
1
2
3
4
5
6
7
8
9
10
INSPIRE
DICTATE
SEEING MY FAMILY
MEMBERS EXPERIENCE
SPECIAL MOMENTS
BLAMERS
POLITICS
WELCOME
*Inspired by James Lipton on Inside the Actors Studio we asked Tom to share his quick fire response to
the questions originating from the French series, Bouillon de Culture hosted by Bernard Pivot.
11
Customer Experience
Challenge of Listening:
Talking Points Versus Active Listening
Mark Johnson
Loyalty360
12
Theres a challenge that still exists for most brands, and we have addressed it
numerous times. It is the challenge of listening, but it is the kind of listening that goes
further than just brands talking to customers or to their suppliers. We continue to see
a long list of talking points that too many brands overly rely on, or acronyms they
continually posit as a result of dealing with too many consultants or technology
providers who may or may not understand their challenges. The problem
is that there is no unanimity, no agreement, and no industry consensus.
One of our board members recently stated that this industry is
more disruptive of itself than any other. And this is why we
continually call for consensus and for simplicity.
We go to numerous conferences, speak to countless
brands and technology providers, and we have listened
to them all. Truly listened. And we continue to see
new challenges that, by and large, did not exist in
the 60s and 70s, or decades past. Sometimes
it seems as if we do not even have the depth of
understanding that we did then.
Larger corporations, with disparate processes
and siloed organizations and with powerful
technologies, have not led to stark improvements
for all brands. We hear of best of breed
technology that will empower via a software
developer kit (SDK), we hear of application
programming interfaces (APIs) that will
integrate disparate technologies. But the fact
remains that brands are now just struggling
with complexity. And also with being able to
provide a return on investment, to keep these
same technologies running year over year, and to
continually integrate them across growing networks.
When you speak with brands and technology
providers that truly understand the implicit and
explicit challenges in the market, you find an honest,
forthright, and candid dialogue among them.
They understand these challenges. As they look at
organizational imperatives, they understand the opportunities
that are present, and they want to know how they can
systematically integrate technologies and leverage them to
increase the efficacy of their processes.
Yet when we speak with other brands that think they get it, they only talk in
myopic buzzwords, they use catch all phrases, or they use acronyms that
they dont really understand. And, as weve talked about, there is a great deal
of confusion and obfuscation in the market.
Loyalty360 will
continue putting
forth the leading
brands that are doing
amazing things. We
engage with those
brands that want to
share their challenges in
an effort to learn more, and
to join a thriving community
through content collaboration.
These are the successful brands
that are committed to building the
insights, the requisite metrics, and the
technologies required to leverage data
and customers in a new and proactive
manner. For these brands, this truly lifts them
up to be powerful players in the industry, and
enables them to engage customers in unique ways.
Weve talked in the past about a return to a mentality that used to see
people have personal relationships with a corner bookstore or the local
drug store, for example. Those businesses used to see their customers
as individuals, as people. That person behind the counter of the local
drug store used to explicitly, and sometimes implicitly, know and
understand the product needs, desires, and wants of their customers.
This is what brands struggle to do today, but not for want or lack
of technology.
Thats also why we see a continued rise in small- and medium-sized
merchants and brands that are being disruptive. They are looking at
ways they can create a new paradigm for the customers, to engage
with them. Weve heard about the challenger brands. Weve heard
about disruptive technologies. Weve heard about looking at ways
organizations and brands that actually are doing it well, and weve
heard about those that are not. Some are successful, but many more
are still struggling. Even though they may think they are doing well
internally, many only grasp at talking points without being able to
offer any real substance.
Some of the brands may be doing well, but there remains a rising tide
of customer expectations. If you step back and listen to how some of
these brands are talking about the challenges, and how they address
them, you can really see the dichotomy between those who are only
relying on the empty talking points and those who are truly making the
commitment to understanding their customers.
We look forward to working with and sharing the brands that are
making a true commitment to the customer experience. We also look
forward to bringing new metrics and insights to help these brands
create a more direct relationship to their audiences. We endeavor to
enable simplicity and alignment in this respect. And we look forward
to telling the stories of the brands that are meeting and exceeding
new challenges and finding success going forward. L
13
Technology
Eases Shopping Experience
90%
30%
25%
82%
want wearables to enhance
their shopping experience
14
22%
20%
want map to
navigate the store
Info@clutch.com
(888) 541-6789
Know more,
stress less
Kenticos all-in-one CMS,
E-commerce, and Online
Marketing platform means you
get to know your customers,
not your therapist.
FEATURES
Passionate
Customers
Lead to Supreme Brand Loyalty at Auntie Annes
Jim Tierney
Loyalty360
16
17
FEATURES
Loyalty360
18
For messages that dont work, perhaps the message was irrelevant
and not meaningful enough to elicit a response. Maybe the right
information was sent to the wrong person? Or, as could often be the
case, maybe it was the right message, sent to the right person, but at
the wrong time.
Meinekes objective is to make the car care and repair process as simple
as possible, which is marking a shift in the way most businesses
across the auto repair industry approach the customer experience.
19
FEATURES
Enjoyable
Experiences
Jim Tierney
Loyalty360
20
The Bavarian Inn Perks Club was created in 1999 to reward the
loyal customers of the Bavarian Inn Restaurant, Bavarian Inn
Lodge, and Frankenmuth River Place Shops. The Bavarian Inn
Restaurant has served more than 20 million guests with its
world-famous all you can eat family style chicken dinners
and German entrees.
Bavarian Inn Lodge features 360 European-themed guest
rooms, indoor water park, and Family Fun Center with indoor
mini golf. Frankenmuth River Place Shops is an outdoor mall
and is a re-creation of a Bavarian village. The restaurant,
lodge, and shops are all located within walking distance in
Frankenmuth, MI, one hour north of Detroit.
21
FEATURES
Family Atmosphere at
Harley-Davidson Instills
Brand Loyalty
WELCOME
Jim Tierney
Loyalty360
22
There have been a few, but the moments that have made the most
impact are not only when we succeed, but also when we dont quite
hit our mark with a customer, when we could have done better. Retail
is an evolving business and change is a necessity in order to achieve
success. How things worked 10 years ago, three years ago, or two
months ago may not work today. We have made a commitment to always
be better today. Once we realized this fact we have continuously
improved our customers experience and our business in its entirety.
Care. Care about the people who are choosing YOU to do their business
with. Customers have options. They can go elsewhere to spend their
time and money. Our family of
customers chose us because we
genuinely care about them,
we listen to their feedback,
and strive to deliver the best
buying experience.
Simplicity was one of the main themes at our Loyalty Expo Conference
in April. How do you simplify your customer relationships to enhance
brand loyalty?
Marketers are tasked to be more data-centric than ever before, yet the
challenge of creating actionable insight from data is more challenging than
before. What is your advice for marketers?
FEATURES
Hospitality
Jim Tierney
Loyalty360
24
If our guests can say that they not only enjoyed the
way they were treated at Hwy 55, but theyd recommend
our brand to a friend or colleague, then we know theyre
willing to put their reputations as tastemakers on the
line for Hwy 55, Moore explains. Our extensive
surveying hinges on that proposition, and its the
starting point for how we define the efficacy of the
customer experience.
For the companys loyalty program, specifically, We
check sales to see a correlation between an increase
in loyalty program signups and same-store sales
increases, Moore says. We also work with our loyalty
partner, FiveStars, to monitor each stores frequency
compression a metric that shows guests increase in
visits once they become loyalty members.
For 2015, Moore says the company has experienced
monthly same-store-sales growth of 6%-8%, a number
that has risen along with the user base. With average
user bases of 1,050 guests per store, company officials
can confidently track a correlation with sales.
Involve
all your
employees
in your
mission.
25
Communicate
often, but
add value.
26
Lets face it were all living in a state of digital fatigue. You feel it,
I feel it and your loyalty members certainly feel it too. Using direct
mail as the primary driver of your loyalty program can not only
break through the digital noise, but your members and prospects
enjoy receiving mail! Consumers appreciate its tangibility, flexibility
and once-a-day frequency. This is reflected in exponentially higher
response rates over digital and mobile channels according to the 2015
DMA Response Rate Report.
With todays sophisticated digital print technology and workflows,
you can use consumer data to create highly-personalized content
and offers on paper that were previously only available through digital
channels. And while direct mail is primarily a customer acquisition
method, it can be used for customer experience and engagement
efforts as well. Using customer data, you can send personalized offers
that address each recipients individual needs, goals and pain points.
Thats not to say its all or nothing with direct mail. Its high response
rates can augment your digital efforts, with technologies such as
personalized URLs, Augmented Reality, and QR codes driving members
to digital channels and creating a more omnichannel approach to
your campaigns.
Give direct mail a try and let your members do the talking. Youll see
increased response and involvement with your customer loyalty and
engagement efforts.
27
Trending
NOW
PERSONALIZED VIDEO
Personalized video, also known as viewer-driven video, smart video or interactive video,
is catching on in industries where customers confusion about bills and statements can
negatively impact satisfaction and drive up call center costs. Companies in insurance,
telecom, utilities and other industries are presenting customers with uniquely designed
videos that make their bills and statements easy to understand. Personalized videos
are also being used to engage customers with relevant content at other critical stages
of the customer lifecycle, by delivering highly personalized messages when, where and
how the customer prefers to receive them.
Brands
that offer
Personalized
Video:
While not a new concept, especially in markets like Canada, Europe and Australia,
coalition loyalty programs are gaining attention in the U.S. Plenti, a U.S.-based loyalty
coalition operated by American Express, was heralded as the first U.S.-based loyalty
coalition when it launched in May 2015. The program offers members the ability to
earn points and save on items at lots of different retailers, including Macys, AT&T,
Rite Aid, Exxon and more, regardless of the payment method used. Coalitions for fuel
rewards and airline frequent flier miles already exist in the U.S. and programs like
Nectar and Air Miles Canada have proliferated in other markets around the world.
Coalition
Programs
to look for
in the U.S.:
28
TM
SERVICES INCLUDE:
DATA SERVICES
MARKETING
INTELLIGENCE
AND ANALYTICS
Empowering clients to
unleash the full value of their
customers by transforming
big data into intelligence-driven
marketing and customer
engagement.
ansira.com
ATLANTA
LOYALTY
STRATEGY
DIRECT AND
DIGITAL CHANNELS
972.663.1100
CEDAR RAPIDS
ANSP101-0101-Loyalty360.indd 1
CRM
CHICAGO
ANSP101-0101_Loyalty360 NOTES:
Loyalty Management Ad
NA
AD
DALLAS
DETROIT
LOS ANGELES
Art Director
SW
NEW YORK
ST. LOUIS
Client Partnership
WANT BUZZ
WORDS?
OR REAL
SOLUTIONS.
7.5" x 10.0"
8.375" x 5.3575"
8.625" x 5.6075"
4/0
8/12/15 5:39 PM
100
...always live
in the steep
part of the
learning curve.
As CEO, Javier Flaim is responsible for the overall vision and strategic
direction of the company scaling and growing the Recyclebank
behavior change platform by partnering with communities and
brands to educate and encourage consumers to make smarter,
more sustainable choices for a waste-free future. Through his work
at Recyclebank, he is able to combine his passion for sustainability
with his dedication to innovation.
BehindtheBrand
WITH JAVIER FLAIM, CEO | RECYCLEBANK
30
WHAT IS YOUR
FAVORITE WORD?
OH SHOOT, THOUGH
HONESTLY THE NON PG-13
VERSION HAS BEEN KNOWN
TO INADVERTENTLY ESCAPE
MY MOUTH.
LAUGHTER ESPECIALLY
[MY] CHILDRENS!
TEACHER/PROFESSOR. OR
SURGEON. SOMETHING
TOTALLY DIFFERENT.
OPTIMISM.
1
2
3
4
5
6
7
8
9
10
WELCOME...
*Inspired by James Lipton on Inside the Actors Studio we asked Javier to share his quick fire response
to the questions originating from the French series, Bouillon de Culture hosted by Bernard Pivot.
31
Loyalty
Innovation
Products,
Advancements &
Technologies
At Idomoo, we believe that one size doesnt fit all. We believe organizations
should communicate with each customer through a personal video story that
is bespoke to their needs and preferences.
With the new Dynamic Story Suite, from now on, the power is at the hands of
the marketer to create a unique CX and deliver standout, meaningful,
memorable and relevant stories to each customer personally.
An advanced SaaS based wizard tool to build, structure and customize the
personalized video, the Storybuilder is where the wisdom of the video is
defined. The output is a Storyboard that has the logic and content of the
video campaign.
The Storybuilder allows you to choose ready-made video scenes that are
ready to be plugged in to be part of the video flow. Additional new scenes can
be uploaded to the Scene Library, that is part of the Storybuilder and easily
added to the video flow as dynamic scenes.
The Storyboard can tell adaptive stories. It applies business logic to decide in
real time, which scenes will be shown and in which order based on scene
selection rules. The Storybuilder is used for configuring each scene: selecting
colors, deciding if the parameters are static or dynamic, setting values for
static parameters, setting audio and all video parameters that the brand
might be interested in customizing.
Restore the 1:1 connection to your customers in this always on digital world
with Personalized Videos. www.idomoo.com
Where customer experience and business results collide, disruption is the new
norm. Tahzoo is at the forefront solving the biggest and most complex customer
experience (CX) problems. Coupling innovative thinking with engineering rigor, we
provide our clients with the services and solutions needed to deliver relevant and
personalized customer experiences. An end-to-end 21st century CX agency,
Tahzoo is pioneering with big brands to think differently about customer experience.
Todays global enterprises increasingly rely on digital CX solutions to help
differentiate their branded customer experiences. After doubling in growth, year
after year and upon identifying this need, we merged with Netherlands-based
digital agency HintTech. Through the merger, Tahzoo has more than doubled in size
to become one of the largest independent CX agencies. Providing Fortune 500
clients with a range of industry-leading CX consulting services incorporating
change management, customer insight, content and data strategy, analytics and
user experience design plus complete implementation and integration of
marketing technology solutions including Web Content Management (WCM),
Digital Asset Management (DAM), Customer Relationship Marketing (CRM),
Marketing Automation and eCommerce. Tahzoo will also be able to take advantage
of HintTechs global delivery model and deep subject matter expertise to offer
customers expanded scalability and 24x7 global support.
This merger further expands Tahzoos footprint across North America and Europe
and will complement Tahzoos global client base in the financial services, retail,
manufacturing and business services industries.
Learn more about digital transformation by visiting us here: www.Tahzoo.com.
Shoes are optional.
Exchange Solutions Smarter Loyalty for IBM Commerce helps retailers drive
retention, customer lifetime value and profitability by identifying, valuing and
closing high-value "customer behavior gaps" (valuable behaviors that customers
are not performing). Whether enhancing an existing loyalty program, or
implementing a new one, this solution enables one-to-one customer engagement,
using individualized incentives to drive incremental behavior change.
Solution capabilities include:
Individualized Behavior Gap analysis determines un-tapped customer potential
"Propensity to Perform Intelligent Rules Engine, which distributes just the
right value of incentive, to the right customers, to obtain the desired
incremental behavior
True one-to-one customer engagement, providing customers with a choice of
targeted incentives
Interaction Management in real-time, in all channels
Currency / Point Bank to manage all customer interactions, fulfillment
and redemptions
Ongoing optimization based on machine-based learning
Smarter Loyalty is the only loyalty solution to be validated by IBM as Ready for
Smarter Commerce for WebSphere Commerce. It is also seamlessly integrated
with IBM Tealeaf and IBM Digital Analytics, requires no additional capital
expenditure and is delivered via a cloud-based platform and supporting
processes / analytics. Smarter Loyalty is available under a fee-forservice model or via a performance-based fee structure to lower
upfront investment and risk.
Its always interesting for brands to hear what other brands are doing or thinking about the state of marketing, customer
loyalty, customer engagement, technologies being used to reach certain goals, and the attendant challenges.
Loyalty360 had the pleasure of interviewing three top executives at Hilton Worldwide about those very topics.
34
35
TECHNOLOGY,
TRENDS & REWARDS
FEATURES
Hilton continued...
36
At Hilton, we hear from our guests every day about what they are
interested in, where they want to go, the experiences they want to
have and so much more. With the advancements in big data and
location services, we always can be smarter about what makes each
of our guests unique. Micro and macro location targeting combined
with new platforms will let us create many new types of experiences
for our guests that uniquely complement their preferences.
In short, technology that provides guests with more control and the
ability to personalize their travel experiences will drive the most
effective engagement, and in turn earn loyalty.
How should brands attempt to keep up with the rapid proliferation of
technologies, especially with some of the newer technologies harder
to measure versus more traditional technologies that brands are
more comfortable with?
Hilton prioritizes its people power and invests in creative, innovative
and strategic team members who are never short on ideas, solutions
or success. We also focus on leveraging innovative technology to build
things that are truly exciting and useful to our guests, as opposed to
temporarily patching guests digital desires with commonplace tech.
While that seems like a small distinction, it helps keep our strategy
more stable in a very dynamic technology environment. L
37
Paul Gordon
38
22%
Higher Profitability
cogensia
2 0
1 5
A C A C |G R O U P Company
Mon
Tue
Wed
REGISTER NOW @
ENGAGEMENTEXPO.COM
SundaySky
Consumers move seamlessly between their devices to send emails, post a social update, watch online video, pay bills and shop online, and they expect the brands with
which they interact during each of these transactions to provide the same experience across every device and touch point. Brands that can truly provide a consistent,
personalized experience will make their customers feel valued and earn their repeat
business.
Personalization allows brands to tailor the experience for each customer, giving customers exactly what theyre looking for when theyre looking for it. This is only possible with the availability of first-party customer data. Housing data in a single data
repository provides full visibility into the preferences and behaviors of the customer
base across every interaction they have with the brand, from transactions to browsing history to service calls. If a customer makes an online purchase and later submits
a service query, the agent should have a full overview of the customers transactional
history and preferences in order to continue tailoring the experience to the customer.
Siloed initiatives result in a broken, segmented appearance to consumers, which
makes it difficult to create lasting relationships and turn customers into advocates.
With the wheels in motion for a customer-centric digital experience, brands next
need to drive digital engagement throughout the customer journey by encouraging
customers to choose digital channels before any others when connecting with the
brand.
Jim Dicso is president and chief revenue officer of SundaySky. Jim drives the
go-to-market strategy, sales execution, business development and revenue growth
for SundaySky to support the growing market demand for the companys
SmartVideo solution. Jim has a Bachelor of Science in electrical engineering
from Villanova University.
41
.com
Seeks Differentiation Through Customer Loyalty
Jim Tierney
Loyalty360
I
An enticing, attractive, and thoroughly
rewarding customer loyalty program
can go a long way toward forging a key
point of differentiation for any brand.
And for Peter Cobb, Founder/EVP
Marketing for eBags.com, the
fact that his company is a
pure play means that
we have to win them
over on loyalty.
42
43
Simplicity
BEST PRACTICES
Jim Tierney
Loyalty360
44
Consistently deliver on
every aspect of what
youve promised.
Has there been an ah-ha moment in
this journey?
45
BEST PRACTICES
Jim Tierney
Loyalty360
46
...rather than changing our brand, these new platforms have created new ways to introduce our
brand to newcomers, and to extend and deepen relationships with our existing customers.
BEST PRACTICES
Revitalizing
Direct Mail
td
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James M. Loy
Loyalty360
48
Digital fatigue can mean a variety of things, but for marketers, it often means unopened
emails, unclicked links, and video ads that go largely ignored. Consumers are constantly
propositioned by legions of online sales efforts, and this is making it very difficult
for brands to cut through all the noise. As a result, some intrepid marketers are
switching gears and actually implementing a few traditional tactics that, until very
recently, would have seemed almost laughably antediluvian.
And some, like Best Western International, are doing it exceedingly well.
If the adage holds true, then everything old is new again, which appears to be the case
for this award-winning hotel chains approach to direct mailing. By leveraging new
technology to give an unfashionable marketing mechanism a modern spin, Best Western
has made some impressive strides in customer engagement.
Is direct mailing dead? asked Tammy Lucas, Managing Director of Marketing &
Advertising at Best Western, during an illuminating session at the 8th annual Loyalty Expo
held April 27-29 in Orlando, Florida. If you would have asked any marketer a few years
ago, many of us would have given the same response when we thought travel agents
and call centers were going away. Actually, it appears that the world is cyclical, and
we have found that direct mail is very much still alive and an effective way to reach
our customer.
This was the focus of a packed session titled, Sophisticated Direct Mail Delivers
Loyal Guests for Best Western, which was hosted by Lucas and Debora Haskel, VP
of Marketing at IWCO. The presentation detailed how Best Western and IWCO
successfully engage millions of individual Best Western Rewards members, from
Millennials to Baby Boomers, through a highly sophisticated form of direct marketing.
79%
45%
@
79% of consumers will immediately
act on direct mail as opposed to only
45% who open an email immediately
Recently honored with four Loyalty360
Awards for Best Creative Campaign, Best Use
of Customer Insights in Loyalty Marketing,
Best Technology & Trends in Loyalty Marketing,
and the North American 360-Degree Platinum
award for best overall program, Best Western
Rewards is considered to be one of the
industrys brightest stars. Its reputation is
well deserved, and the same the high level of
customer service and attention to detail that
makes Best Western Rewards so successful
also goes into the brands efforts to personally
engage these same 24 million members
through direct mail.
THE TOUCH OF HIGH-TECH
PERSONALIZATION
This tremendous task requires an intense
understanding of how to combine marketing
strategies and customer data with digital
print technology to provide customized
offers and images based on the preferences of
each customer. Through several well-crafted
Continued on page 50
49
BEST PRACTICES
Direct Mail continued...
50
BEST PRACTICES
TheHigh
Cost of
Loyalty
Mike McDonnell
Connexions Loyalty
Fraud
Loyalty fraud is on the rise fighting it is a must to protect
customers as well as your own bottom line. Here is the
lowdown on this troubling trend and tips on how to keep
fraudsters at bay.
52
1.
Hackers
As described above, by far the biggest growth in loyalty fraud has
been from the work of organized criminals and hackers, who know
how to exploit security holes and weak customer passwords in order
to snatch miles and points. Their goal is to use program currency to
purchase consumer goods or hotel stays, or credit cards registered
with the account to purchase even more points and miles.
2.
Insiders
While less common than outside fraudsters, employees and other
insiders (such as friends and family members) often have access to
loyalty programs systems or access to someone who does. That means
dishonest people may take advantage of the opportunity to scam or
game the program for example, employees with the right technical
knowledge might be able to reallocate frequent flyer miles. In the past,
paper-based programs were particularly prey to this kind of internal
fraud: Subways Sub Club, for instance, used stamp cards employees
were able to steal rolls of stamps and distribute them.
3.
Customers
Even loyalty program members themselves can game the system
and commit fraud. For example, there have been instances of
double dipping between multiple frequent flyer programs such
as when a customer is on the phone with a representative but also
logged into the website to attempt to redeem miles at the exact
same time. Customers have also been known to sell miles or points
to mileage brokers, which is against most program rules.
Identity verification is key when it comes to handling both customerbased fraud as well as protecting customers from hacker activity.
A multi-factor authentication process should be used that requires,
for example, identification of a code image in addition to inputting a
password and a temporary key. However, companies have to strike a
sensitive balance between protecting customers and making them feel
like its too difficult to access their account.
As the Group Vice President of Product for Connexions Loyalty, Mike McDonnell is
responsible for leading and managing the product organization, including product
management, development and marketing.
53
BEST PRACTICES
Mobile
Best Practices in
Miguel Ramos
Confirmit
54
One way to help keep your survey short is to avoid asking questions
to which you already know the answers. When a customer receives
a survey asking what they bought or where they bought it, it not only
wastes their time, but proves you just werent paying attention in the
first place. With mobile feedback, you have only a handful of questions
before customers lose interest dont waste them when you can
access the information through your CRM system.
With more than 15 years experience in mobile technologies, Miguel leads Confirmits
Mobile practice in the EMEA and Asia Pacific regions, developing mobile solutions for
both VoC and Market Research.
55
Loyaltyreads
Millennials with Kids: Marketing to This Powerful and Surprisingly Different
Generation of Parents
Jeff Fromm and Marissa Vidler
AMACOM | August 19, 2015
Millennials with Kids changes how we think about this new generation
of parents and uncovers profound insights for marketers and brand
strategists seeking to earn their loyalty. Building on the highly acclaimed
Marketing to Millennials, this book captures data from a new large-scale
Measuring Customer Experience: How to Develop and Execute the Most Profitable
Customer Experience Strategies
Philipp Klaus
Palgrave Macmillan | January 1, 2015
The Brand Flip: Why Customers Now Run Companies and How to Profit from It
Marty Neumeier
New Riders; 1 edition | August 9, 2015
56
blips in big data. They dont buy brands. They join brands. They want a vote
in what gets produced and how it gets delivered. Theyre willing to roll up
their sleeves and help outnot only by promoting the brand to their friends,
but by contributing content, volunteering ideas, and even selling products
or services.
At the center of the book is the Brand Commitment Matrix, a simple tool for
organizing the six primary components of a brand.
Your brand community is your tribe. How will you lead it?
The Science of Why: Decoding Human Motivation and Transforming Marketing Strategy
David Forbes
Palgrave Macmillan | June 16, 2015
motivations that drive the actions of every consumer, all of the time. He has
created a simple, easy to understand and easy to apply model of human
motivationa kind of periodic table of motives that identifies, organizes,
and explains the nine core motivations. This matrix contains all we need to
know about why consumers do the things they do the way they do them.
Value Creation and the Internet of Things: How the Behavior Economy Will Shape
the 4th Industrial Revolution
Alexander Manu
Gower Pub Co; III edition | August 28, 2015
Decoding the New Consumer Mind: How and Why We Shop and Buy
Kit Yarrow
Jossey-Bass; 1 edition | March 31, 2014
57
2 0
1 5
Artemio Garza
Chief Marketing Officer
Meineke
Brad Marg
COO
Clutch
Diana Helfinstine
VP of Customer Experience
Essilor
Al Perkinson
VP of Marketing
Costa Sunglasses
58
Dennis Maloney
Chief Digital Officer
Dominos Pizza
Dominos U.S. retail sales have grown 33% in a pizza industry that has seen little to no
growth for over five years. Not by coincidence, digital orders at Dominos hit 50% of total
sales at the end of 2014, helping make Dominos a digital success story. During this
presentation, join Dominos Chief Digital Officer Dennis Maloney and Ansiras SVP of
Strategic Planning Logan Flatt to learn how Dominos investments in digital technology,
customer intelligence, and the complete customer experience continue to help it grow
and thrive in the hyper-competitive U.S. QSR pizza market.
Logan Flatt
SVP, Strategic Planning
Ansira
Luc Garneau
VP of Strategic Consulting
DataCandy
Customer engagement is a direct reflection of the customer experience, right? After all, creating a unique experience will safeguard customers from disconnecting with
your brand. Then again, your competitor is wooing
customers with shiny, new loyalty benefits, cool offers
and exciting member rewards. Which is the better strategy?
Because loyalty is not one size fits all, cracking the
experience vs engagement code requires the ability to capture,
segment and analyze data from loyalty members. Luc
Garneau, VP of Strategic Consulting for DataCandy, will
discuss the rules of effective engagement and examine
the art of retaining todays highly distracted consumer.
Luc will outline how to put your loyalty data to work in
a way that will increase active engagement and drive
positive business results.
The discussion will also reveal some of the best kept industry
secrets for driving a positive customer experience.
Whether its online or at your brick and mortar store,
This engaging panel will explore how innovative and forward-thinking companies are
leading their industries with advanced strategies and technologies that drive rewarding
and enhanced customer experiences. Come learn how these iconic and leading brands
are leveraging loyalty and sophisticated CRM to drive unique and personalized
customer relationships.
Jim Sturm
CEO & President
Brierley+Partners
Jennifer Wainwright
Director of Digital & CRM
Bridgestone
59
2 0
1 5
Chris Politakis
Dir of Marketing & Communications
Goodwill
Many major retailers have seen sales stagnate or even plummet as the market
and customer base evolve. This is the story of how Goodwill has taken action on
all fronts centering every aspect of their company around their highest potential
customers. In this richly illustrated and interactive session, you will learn how
Goodwill leveraged deep CX insights to transform their entire business from
service, to digital marketing, to store design and real estate strategy. We will
pull back the curtain on how a national brand can shift gears in less than six
months going from customer insights to strategy to design to roll out in just
two shopping seasons.
Liam OConnor
Principal, Customer Acquisition Practice
Lenati
Paul Conder
Principal, Customer Experience Practice
Lenati
Tim Benner
Sr. Dir of Marketing Science and
Strategic Analytics
Samsung Electronics America
Ray Lansigan
Associate Partner
Rosetta Consulting
Nataki Edwards
VP of Digital Strategy & Operations
AARP
60
AARP, a non-profit organization that helps people 50 and older improve the quality of their lives, faced
an important challenge: how to motivate their nearly 40 million members to actively engage with aarp.org
to learn about the many ways they can ensure that they and their families live the best life they can. In
this rich case study, you will learn the challenges AARP faced planning, launching, and managing their
award-winning Rewards for Good loyalty program and the important lessons learned. You will also get
key insights into how they measure success and their impressive results.
Meg Culp
EVP, Strategy
rDialogue
Phil Rubin
CEO
rDialogue
BRANDisruption: Let Go of the Myth that Your Brand Belongs to You and Achieve
Ridiculously Great Results
Jen Swanson
Director of Digital Marketing
Childrens Hospitals and
Clinics of Minnesota
Andrew Eklund
Founder & CEO
Ciceron
61
2 0
1 5
cogensia
A C A C| G R OU P Company
Brian Hood
Director of Digital Marketing
Intuit
Eric Holtzclaw
Chief Strategist
PossibleNOW
Attendee Takeaways:
Best practices for collecting preferences
How to use preferences to drive customer experience
The importance of understanding preferences to
increase engagement
Need for customer consent as legal environment
becomes more restrictive and litigious
(recent FCC ruling on TCPA covering phone calls and
text messages)
Vinay Khetarpal
Sales Executive
Inquisium
62
Take away the labels. Take away the computers, the tech,
the data, and you still have one thing: a person. People
are at the heart of every data point gathered and every
dollar spent.
Liam OConnor
Principal, Customer Acquisition Practice
Lenati
Paul Conder
Principal, Customer Experience Practice
Lenati
63
4120 Dumont St
Cincinnati, OH 45226
Simplify
Your Journey