5 Amazing Loyalty Program Case Studies & Examples

August 14, 2024
Jeffrey Hau

Before diving into the case studies, let’s set the stage a bit!

We want to highlight that our team has put together these successful loyalty program case studies featuring our very own clients! We’re excited to share what we’ve accomplished for them, and we hope to include your business in a future article!

These clients are located in Hong Kong, and we aim to provide you with a fresh perspective on what’s effective on the other side of the globe!

5 Amazing Loyalty Program Case Studies & Examples to Follow (Full Analysis)

Nestle - Interactive Rewards Program

We’re sure Nestle doesn’t need an introduction. They’re one of the biggest food and drink processors on the planet.

Their Hong Kong retail wing engaged us at KlikNGo to help them increase brand awareness and increase customer engagement.

Challenges Faced by Nestle

Nestle’s internal team found out that even though their branding and new marketing strategies for attracting leads were solid, their retention and engagement numbers weren’t amazing.

This showed that while new customers were buying their products, they weren’t sticking around for repeat purchases.

Plus, not much emphasis was put on loyalty initiatives, which resulted in a lower-than-expected customer lifetime value.

What We Did For Nestle

Built an interactive loyalty program.
Organized event campaigns for customers to earn points with every purchase.
Omnichannel Integration for accurate point-tracking and centralized rewards management.

Nestle brought us on board to completely revamp their loyalty program and the software that supports it.

We didn’t stop there; we also guided managing their rewards and promoting the loyalty program through fun events, like the “想醒神·賞生活” that we put together. This event lets customers rack up points with every purchase of their products.

Plus, we teamed up with their marketing crew to create gamified experiences right on their product packaging to boost customer engagement on the loyalty app.

We also helped Nestle forge partnerships with other companies, allowing their members to trade in points for things like amusement park tickets, hotel rooms, partner vouchers, and more.

Results

Nestle saw a big boost in brand awareness and membership registrations. Their loyalty programs also led to higher profits per customer, thanks to a robust data tracking system in their CRM.

Additionally, customer lifetime value improved significantly. While we can’t share specific numbers for Nestle, we can definitely say that our end-to-end solution was a huge success for them!

Omusubi - Smart Gamification & Referral System

Omusubi is a well-known Japanese restaurant chain in Hong Kong, boasting more than four locations in the area.

Previously, they tried to implement a stamp-based loyalty program; however, they struggled to effectively foster customer loyalty.

Additionally, their limited experience in the FMCG sector further complicated their efforts in this regard.

Challenges Faced by Omusubi

Omusubi was dealing with the same issues as Nestle. They were attracting customers but struggling to keep them coming back for the long term.

The average amount each customer spent was lower than what you’d typically see at other food and beverage spots nearby.

Their membership perks, rewards, and customer retention plans were pretty underwhelming. Plus, there wasn’t a solid game plan or standard operating procedures in place.

Challenges Faced by Omusubi

Omusubi was dealing with the same issues as Nestle. They were attracting customers but struggling to keep them coming back for the long term.

The average amount each customer spent was lower than what you’d typically see at other food and beverage spots nearby.

Their membership perks, rewards, and customer retention plans were pretty underwhelming. Plus, there wasn’t a solid game plan or standard operating procedures in place.

What We Did For Omusubi

To truly make the most of their resources, we needed to think outside the box when it came to structuring their strategy and figuring out the right tech to use. So, here’s how we approached Omusubi’s loyalty program:

We got creative with Omusubi’s strategy to make the most of their resources and tech needs.
Crafted a top-notch loyalty program that focused on their brand and user-friendliness.
We then revamped their old stamp reward system by adding fun missions and gamification, like daily check-ins and store visits.
Leveraging AI, we also created personalized coupons for different customer groups, like a 20% discount for spending over $60 – for those spending under $60, to mold customer behavior moving forward.
We’re most proud of the gamification aspect, where users can invite family to join missions, like trying to eat 20 sushi dishes in a week for awesome rewards, fostering a sense of community.

Results

Thanks to our hard work, we’ve been able to boost Omusubi’s single-basket value by an impressive 125% with the new reward system.

Plus, throughout the campaign, we helped them attract around 40,000 new users each month on average.

We’re pretty excited to share that our efforts led to us winning the Marketing Interactive Digiz Award for 2023!

Haagen Dazs - Loyalty Points & Stamp Reward System

Haagen Dazs could be considered to be one of the most popular ice cream brands in the world, with a worldwide presence and has a cult following in the Asia region.

Their Hong Kong branch needed a complete solution when it came to their loyalty program and voucher management.

Challenges Faced by Haagen Dazs

Before reaching out to us, Haagen Dazs rolled out a voucher system that allowed customers to purchase and gift vouchers to friends and family, which was a clever way to boost word-of-mouth and enhance their brand image.

While the concept is solid, the way it was implemented left a lot to be desired. The main issue was the inconsistency among the vouchers, with varying redemption methods, expiration dates, and other details that turned into a logistical nightmare.

Plus, they really could benefit from a centralized loyalty platform where customers can easily buy products, redeem their vouchers, refer others, and place orders online.

What We Did For Haagen Dazs

After diving into some research and chatting with their internal team about the challenges they faced, we crafted a comprehensive loyalty strategy along with a tech solution, here’s how we went about it:

Set up a single platform where customers could easily buy, order, and redeem items. This allowed them to earn points and participate in an attendance-based program that really boosted their connection to the brand.
We also rolled out omnichannel features, linking their physical store with the online experience. This included generating QR codes for customers to use as proof when redeeming items in-store, plus the option for home delivery of their purchases.
To top it off, we built a solid data tracking system. By integrating with their CRM, we ensured that all the important info was just a quick glance away. This included real-time updates on loyalty program data, such as purchase history, redeemed vouchers, and customer lifetime value.

Results

As a result of our efforts, Haagen Dazs HK generated:

More than $24 Million in Revenue in 5 years.
250,000+ Vouchers Generated.
88,000+ Vouchers Redeemed.

In this case, more than a third of vouchers generated were redeemed, which is way above average in the industry. To put it in perspective, the average voucher redemption rate was only 0.47%, according to FinMaster!

ChowSangSang - Omnichannel Loyalty & Tiered Program

For those who don’t know, ChowSangSang is a jewelry company that operates in mainland China, Hong Kong, and Taiwan.

Since they’re part of one of the oldest industries around, they realized they had to embrace digital transformation.

This meant stepping up their game with modern communication channels, a digital loyalty program, and improved marketing efforts to keep up with new competitors popping up.

Challenges Faced by ChowSangSang

ChowSangSang was really held back by their outdated tech. They were stuck with a POS system that’s been around for ages, didn’t have a centralized database, and their marketing was pretty dull and repetitive. They were just relying solely on emails and SMS for automation, which made everything feel impersonal.

The impact of this was clearly visible in their high customer churn rate, low engagement times, and a ton of people unsubscribing from their email lists.

What We Did For ChowSangSang

ChowSangSang needed a major tech upgrade, so here’s what we did:

Omnichannel Loyalty Program: We integrated their loyalty program with popular messaging apps like WeChat and WhatsApp. This allowed customers to interact with customer service, claim rewards, and more, all through these platforms.
Chatbot Implementation: We set up a chatbot to handle common inquiries. This was crucial due to the increased customer interactions from their new marketing strategies. The chatbot also helped collect data and build customer profiles in the CRM, enabling effective tagging, segmentation, and retargeting.
Membership & Tiered Rewards Program: We developed a tiered rewards system where members could earn higher tiers based on their lifetime value. Benefits increased with each tier, providing greater incentives.
Smart Gamification: We added engaging gamification elements, including daily missions, store visits, and luck-based games. This kept customers engaged and motivated them to spend more time with the brand.
Advanced Data Collection and AI Segmentation: We implemented robust data collection tools to track engagement, customer service interactions, and survey responses. Using AI, we segmented customers and identified similar audiences for targeted marketing, improving personalization and ROI.

Results

We’re super excited to share that our hard work really paid off! Check out these amazing highlights:

More than 8 million members joined ChowSangSang’s loyalty program across mainland China, Hong Kong, and Taiwan.
They saw a 40% boost in revenue in just one quarter after everything was rolled out.
KlikNGo snagged another award at the 2023 Marketing Interactive Digiz Awards, along with the Omusubi project we talked about earlier!

Pacific Coffee - Subscription Loyalty Program

Pacific Coffee is a Hong Kong-based coffee chain that needed help in unifying their loyalty and CRM data. The loyalty program that they had before simply didn’t cut it, especially towards the younger generation. As they didn’t seem to be engaged with their old loyalty strategies.

Challenges Faced by Pacific Coffee

Besides addressing the engagement challenges with the younger crowd, they also needed to move their data from the old loyalty program to the new one we created.

We assisted them in transferring everything, like current points, wallet balances, and rewards. Plus, we had to design a fresh loyalty program from scratch since they had particular needs based on the data they already had.

What We Did For Pacific Coffee

We provided many other services other than just making a loyalty program for them, which encompasses:

Data Migration: We integrated complex data from various sources (like POS systems, ERP, and Microsoft 365) into a single, unified loyalty platform.
e-Gift Card Platform: Customers can now purchase and share gift cards with friends and family.
eWallet Integration: We introduced an eWallet feature that lets customers add funds to their accounts for payments. When customers top up their accounts, Pacific Coffee rewards them with points that can be redeemed for perks. This is a game-changer for Pacific Coffee, as it improves cash flow by allowing the company to use the funds for other operations, while only having to provide coffee and goods in return.
Omnichannel Integration: Customers can use the app to order online and pick up their orders at the nearest branches.
Personalized Preference List: The loyalty app features a Personalized Preference List, allowing customers to quickly reorder their favorite items with a single tap. This feature streamlines the ordering process and boosts order frequency.
Subscription-Based Loyalty Program: Pacific Coffee introduced a subscription-based loyalty program to retain customers and reduce brand switching. Subscriptions range from HKD 800 to HKD 1200 per month and include 30 large drinks along with other perks like earning points.
Omnichannel Gamification: We added gamification elements to enhance customer engagement, such as locating and scanning QR codes in physical stores and completing challenges (like walking over 10,000 steps) to earn rewards.

Results

Pacific Coffee saw great results with a significant increase in membership sign-ups and paid subscriptions.

While we can’t disclose all the details, the combination of the subscription program, eWallet, and gift card promotions led to a notable boost in revenue.

Additionally, Pacific Coffee gained valuable insights into its customers, which helped it enhance its operational management.

What is the Most Popular Type of Loyalty Program?

The most popular type of loyalty program is the point-based system, which is the primary choice for 60% of our clients. Attendance-based programs, featuring stamp-based elements, are the second most common, used by 2 out of 5 of our clients.

It’s important to note that many programs combine these types, such as a point-based system with an attendance stamp feature – so it’s not really black and white.

Nevertheless, the key to a successful loyalty program is definitely creative gamification, which showed tangible ROI by 80% of our clients.

Replicate their Loyalty Program Success With KlikNGo

Want to boost your loyalty program and see real success? Check out our loyalty program service page to learn how we can help you achieve the same great results as our clients, regardless of your industry or location!