Spaycial Guide: how to set up a loyalty program?

The loyalty program is a major asset in many sectors, and even more so in retail and for shopping centers. And we can tell you about it: it is one of the pillars of our expertise. What are the main steps to take into account in order to build, launch and succeed a loyalty program? We offer you this tutorial in a few key steps to get there, with Camila Florez, our Account Executive EMEA.

Step 1. Integration or white label: define the operating mode

The first step in launching your loyalty program is to assess your current capabilities: do you already have a Landing Page with some promos from your retailers? Maybe a loyalty program that could use a revamp? Or an app with the potential to increase adoption?
At Spaycial, you will have the choice to launch your loyalty program either in White Label or Integration Mode.

White label

The principle of white label is simple. If you don't have a loyalty program in place yet, we install the elements you need, from A to Z and in an agile way:

• a dedicated landing page;
• a pre-defined registration form;
• an account and a customer area;
• technical support at your disposal.

Integration with an API

• The program will not change because our tool will adapt to it.
• Your current provider can integrate with us to allow shoppers to connect their payment method as part of a reward offer (such as cashback).
• Meetings are held between one of our Customer Success Managers (CSM) and the supplier. The goal of these meetings is to ensure that at the launch of the new loyalty program there is no difference for the shopper!

Step 2. Define and quantify your goals

• How to integrate the loyalty program in your marketing strategy?
• What budget are you willing to allocate?
• What are the KPIs to track to ensure the program's success: acquisition, return on investment of campaigns, engagement rate, better knowledge of your shoppers, etc.

"Loyalty programs are an opportunity to build better relationships between shoppers and retailers; but the most important thing - and this is Spaycial's particularity - is to make sure that this concretely translates into an increase in revenue-related KPIs, and therefore incremental sales."

Step 3. Choose the type of reward

• Cashback. Our tool allows you to automate the rules for cashback within the loyalty program. For example, when all the pre-defined conditions are met, the reward appears as cashback, automatically on the customer's account.
• Split payment or "buy now pay later" (BNPL). This is a way to allow the shopper to pay in several instalments, provided they meet certain criteria. Thus, depending on their previous purchasing behavior, shoppers may be eligible for payment in four installments.
•  Special rewards such as discounts, gift cards, free products.
• Additional services such as free parking, conciergerie, nursery, and many others.
• Prize draws with rewards.
• Other reward schemes can of course be defined and implemented on a custom basis.

Step 4. Follow up regularly

Consistency is essential when operating a loyalty program. This means regular meetings to monitor the progress of the campaign, the positive points, areas for improvement, etc. The key here is to operate with agility and flexibility. To ensure a continous improvement of the program, our Customer Success Managers (CSM) will organize meetings to train the teams, explain the insights that have been identified, and give advice on which loyalty strategies can lead to better results. The CSM will also organize meetings to explain which insights have been identified, and give advice on how to manage the campaign to get better and better results.

Then, the follow-up should be data-driven: we will collect the data and share the key figures with our client, who will gather all the information to analyze these figures and implement actions.

Step 5. Let us guide you!

We can only be sure of one thing: each program has its own specificities, hence the need to be guided by a Spaycialist and to define the loyalty program strategy in order to meet the center's specific challenges.

Every brand and every shopping center is different, so the most important thing, ultimately, is to be well supported in the operational implementation of your loyalty programs.

Camila Florez concludes:

"Working with Spaycial for your loyalty program is to benefit from a definite added value: a team of consultants entirely dedicated to the implementation and success of the program, to reach your marketing targets".