♪
A loyalty program is a club
where an individual
and an organization
have a bit of a covenant
where the individual
will give more
of his or her business
to the organization
and in return
they accrue some benefits.
We tend to think about it
more liberally than that.
We tend to think
of a loyalty program
as being more
of a conversation
between the customer
and the organization,
a dialogue
that you can open up
and effectively
get better service
in exchange for ceding
a little more about yourself
and how you'd prefer
to be treated.
So if you think
about the privacy laws
that are coming onboard
all around the world,
it becomes
absolutely imperative
to do that in
a controlled environment.
And a loyalty program is a way
that a customer can do that
and get rewarded for it.
The landscape
in loyalty right now
is a noisy, noisy space.
If you think about all
the different retail programs
that are out there
and then you add to that
airlines, hotels,
financial services companies,
maybe your cable provider,
it adds up to literally
billions of memberships.
And the only way you get that
is your typical consumer
walking around has got about
a dozen cards in their wallet
all competing
for their attention.
More affluent people
could have double that.
Not all of those
are active,
but it shows
just how hard it is
to differentiate
in that space
and to get
a customer's attention
even if you engineer
something that you think
is effectively very clever
and very valuable to them.
The stakes in loyalty
right now are extremely high.
Every board,
every executive team
is pushing companies
to get closer
to personalization.
They want
their management teams
to get closer
to the customer,
and loyalty is the avenue
to do that.
So it's absolutely essential
that a company have a bead
on how it's approaching that
and make sure that it's doing it
in a structured way
such that it's going to get
a return on its investment.
If you don't have
a rich dialogue
open with your customers,
you're never going to be able
to design products correctly
if you're
a consumer-facing company.
You're not going to be able
to bridge outreach
in a way that's going to
resonate with your customers.
Your promotional mechanisms
are not going to be able
to cut through the clutter
which exists out there.
So, building
a loyalty program
that is highly in tune
with your customers
becomes an essential way
for you to go to market.
The unique aspects of L.E.K
is that we don't
come to the table
with a pre-conceived notion.
We don't try and force
an individual template on you
when it comes to loyalty.
We recognize that
it's a multi-varied problem
and it's a holistic approach
that is going to work best.
So what we do is we tailor our
strategy to your specific needs
once we've worked through
the objectives with you.
♪
