Results

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In all KPIs for members, including average order value, frequency of engagement and sales frequency
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Per-member revenue exceeds that of non-members, with UGG continuing to monitor program enrollment, engagement rates, attrition and potential fraud.

Key to Success:

Aligning the loyalty program strategy to both your business objectives and customers’ activities/behaviors, and defining success measurements accordingly
Leveraging data and acting on it
Relying on reputable, market-tested loyalty vendors that can align data with CRM for meaningful analysis, insights and recommendations
Testing the program fully before launch to fine-tune strategy while managing risk

Challenge

Keeping up with customers in today’s hyper-connected world requires agility and foresight – consumers not only set the bar, they determine the pace. Winning is no longer driven by traditional competition, channel breadth or marketing funnels. Urgency prevails, expectations are high and consumers are savvy. Engaging the consumer now requires speed, personalization, and connected brand experiences.

UGG products are sold across several channels – third-party retail stores, online and direct-channel stores – the brand was previously unable to collect and analyze first-party data on all of its customers. Today, UGG Rewards not only enables and simplifies data collection, it rewards consumers for providing it. Continued engagement is built into UGG’s earn-redeem cycle, to ensure continued engagement and transactions beyond the peak fall/holiday season into spring and summer.

Leveraging the UGG Rewards program as a means to drive and collect consumer behavior, UGG’s knowledge and understanding of their customers increased, fueling the majority of brand’s growth and giving more control over the direction of brands and the consumer experience.

Approach

To spur program interaction beyond UGG’s peak fall/holiday shopping season, the brand rewards members for non-purchase activities Continued engagement is built into UGG’s earn-redeem cycle, with redemption thresholds as low as 10 points. Across several channels – third-party retail stores, online and direct-channel stores.

“Launched in October 2016, the UGG Rewards loyalty program tackles common retail challenges around understanding customers and encouraging continuous engagement”