Overview
This frozen yogurt shop located in Bowling Green, KY offers self-serve frozen yogurt, promoting good-tasting wellness with specially blended smooth & creamy yogurt.
They wanted a simple way to retain customers that stopped visiting or weren’t visiting very often. They also wanted a digital loyalty program with no apps or punchcards. Lastly, they wanted an effective method to promote deals, special offers & new flavors. This study reflects how this company used this customer loyalty program to keep and boost revenue.
80% of Frozen Yogurt shop revenues come from 20% of the customers.
Acquiring a new customer costs 5 – 16 times more than retaining an existing customer. It is also much easier to sell to an existing customer than new ones.
Loyal customers can also be brand advocates. These are the people who are passionate enough to tell others about the shop. This helps grow the business in the best possible way, positive word of mouth.
Challenges
To retain customers and get them returning more often, this merchant needed to build a database of customers that could record when and how often they visited. Next, they needed a means in which to text them directly at random times and automatically when the customer had not visited in certain, measurable amounts of time.
Solution
The Kiosk provides an easy, fast method to sign up new customers to their text club. The Loyalty Program requires those customers to check-in every visit using their mobile phone number. That data provides activity data that can be used in Automated Text campaigns to bring lapsed customers back.
Kiosk
The kiosk’s fast & easy sign-up method makes it the best tool to use to get more sign-ups.
Loyalty Program
Check-in via the Kiosk or Mobile Web App each time they visit the location by entering their mobile phone number.
Automated Texts
Custom texts can be scheduled to be sent automatically at predetermined intervals, based on customers’ visit habits.
Advantages
- 1 hour after sign-up – $2 off $10
- On Subscriber’s birthday – $2 off $10
- 25 days with no check-in – 10% off purchase
- 45 days with no check-in – 15% off purchase
60 days with no check-in – 20% off purchase
The Kiosk placed at the point-of-sale location increases sign-ups as much as 10 times. The Loyalty Program gives the ability to track customers’ habits and engage them based on specific critera.
They use five specific Automated Texts to engage their subscribers. By using this strategy, they see upwards of 25% of their lapsed customers coming back each month.
Results
Here is a breakdown of this location’s Automated Text results over a two and a half year time period.
