In this case study, we compare the success of two retailers using Thirdshelf since 2015; we’ll call them Retailer A and Retailer B.

Both retailers have storefronts in prime locations and benefit from strong, well recognized brands in their local market. They both operate successful loyalty programs, but Retailer A is more actively and consistently promoting their loyalty program to new customers. They’ve enrolled about 11,000 loyalty program members; just over twice as many as Retailer B.

Retailer A sees a consistent increase in the average sale per visit between the first sale at $150, to $170 for the second sale and an average of $220 for each subsequent sale. Their loyal customers spend more per visit and also coming back more frequently which accounts for the outsized (12X) sales contribution this group of customers makes.

Retailer A’s loyal customers account for 80% of their total revenue. If they do not bring those customers back, they are leaving money on the table.

Let’s dive into some numbers to see how both retailers are able to achieve such a big impact on their business through their loyalty program, and why Retailer A sees even bigger results.

Here are some key takeaways:

• By enrolling more customers into their loyalty program, Retailer A is able to capture more contact information (name, email, phone) and can actively re-market to a larger percentage of their customer base which increases the frequency of customer visits.

• By associating almost every transaction (99%) with a specific customer, Retailer A gets a clear view into their customer preferences. This allows them to personalize marketing and promotions in ways that increase customer response rates and spend per visit.

YOU CAN'T BRING THEM BACK IF YOU Don'T KNOW WHO THEY ARE.

In our next posts, we’ll show you how to design an effective loyalty program and provide tips on how to enroll more members into your loyalty program.

Until then, feel free to reach out to support@thirdshelf.com for personalized assistance with your program.