Monthly Archives: July 2023

Data Privacy & Security Compliance from a Loyalty Program POV

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Loyalty programs deliver personalized brand experiences to customers using the data they willingly share. This makes loyalty programs perhaps the most genuine customer engagement initiatives existing today. Traditionally the ability to collect customer data and access to it has been limited. Now, however, data handling has undergone a massive change, with digital ecosystems, data migration to the cloud and digital transformation initiatives.

 

With sensitive data readily available and easier to access, the threat of data breaches is severe and growing. We are in the first half of 2023 and major brands like Reddit, T-Mobile, MailChimp, PayPal, Twitter, Yum brands, and ChatGPT have already disclosed data breaches of sensitive user information.

 

With rising cyber attacks, consumers are wanting to keep their personal information to themselves. And for this reason, loyalty programs that respond with true privacy compliance are the ones that will win and keep customers.

 

Data Privacy Laws over the decades – How are they evolving?

 

 

The most widely recognised data privacy laws are Europe’s General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA). The standards set by these two laws provide best practices for brands to follow as part of their digital marketing strategies.

The US laws have so far taken the ‘harms-prevention-based’ approach to privacy protection, looking to prevent harm in specific sectors. In contrast, the GDPR has adopted the broader ‘rights-based’ approach, where individuals effectively own their personal information, implying their legal right to control it, and decide who can use it.

 

In October 2022, CCPA was modified and updated with CPRA . CPRA adds ‘Sensitive Personal Information’ (SPI) as a new data category. And asks businesses to provide data security appropriate to the data type – which means offering greater protection to SPI. The law also adds four new consumer rights – the right to correction, the right to limit Sensitive Personal Information, the right to access and opt-out, and the right to data portability.

 

With this, the US laws too have moved closer to taking a ‘rights-based’ approach, and become more comprehensive in action. The new CCPA has come into effect since January 1, 2023. 

 

Another aspect that invites regulations is the data ‘point-of-origin’. According to GDPR, consumer data for customers in the EU must be hosted on servers within the borders of the EU. Regulators are emphasizing data sovereignty and localization to ensure that user data stays close to home for its protection.

 

With most privacy laws, it’s not so much where your business is located as it is where your customers are located. When brands operate in multiple regions with different privacy laws, developing a cohesive loyalty program across all channels becomes increasingly challenging. In this instance, loyalty programs need to be ever mindful of where their members are, as this will determine the laws and regulations at play. 

 

How Apple & Google are enabling ‘Personal Data Control’

 

With the regulatory framework supporting more individual control, more consent and greater transparency, Apple and Google are updating their policies to enable the same.

 

  • In Dec 2022, Apple introduced security features focused on protecting against threats to user data in the cloud. The ‘Advanced Data Protection’ feature increases the types of data that will be end-to-end encrypted by Apple. This means that the data stored on iCloud cannot be accessed in case of a data breach, or by Apple itself, when requested by a government or even the user.

 

  • Apple iPhone privacy protection features now provide users with the ability to shut down data app tracking. Apple’s App Tracking Transparency Policy also forced apps to ask for permission, before tracking user behavior and serving personalized ads. Most users ‘opted-out’, leaving advertisers unsure about how to target them. For the big social media platforms that rely on this data, this initial change cost them more than $10 billion in 2021.

 

  • Google is making it easier for users to delete their accounts and data from apps.  The user data policy was updated in April 2023 and will come into effect from December this year. The policy clearly states – 
    1. If your app allows users to create an account from within your app, then it must also allow users to request for their account to be deleted. Users must have a readily discoverable option to initiate app account deletion from within and outside of your app.
    2. When you delete an app account based on a user’s request, you must also delete the user data associated with that app account. If you need to retain certain data for legitimate reasons, such as security, fraud prevention, or regulatory compliance, you must clearly inform users about your data retention practices.

 

As individuals control more of their own data and decide if and how they want to monetize it, loyalty models will need to adapt to accommodate these new rules.

 

 

Best Practices To Ensure Data Remains An Asset

 

With loyalty members sharing personal information, preferences, making payments online, and engaging with brands phygitally – a loyalty program can have hundreds of data points on each member. This makes it crucial to ensure that data is maintained in a manner that minimizes unwanted intrusion.

 

A good rule of thumb is to treat customer data like inventory. This helps to immediately arrive at the necessary practices for data management –  how to gather it, data stocking, establishing data shelf-life and correcting pilferage.

    1. Know what data you are collecting?

 

Before you turn-on the data collection initiatives, there must be a clear understanding of –

  • Why is the data required?
  • Why now?
  • How will this data be collected and stored?
  • Who all (internally & 3rd party) will have access to the data?
  • How will this customer data be used and not used?

 

2. Follow data minimization

Data minimization approach dictates that enterprises should limit the collection of personal information to what is directly relevant and necessary to accomplish a specified purpose. Look to retain data only for as long as is necessary to fulfill the purpose.

To evaluate which data is essential, conduct periodic data audits. Following minimization, enterprises can reduce their sensitive data footprint substantially.

 

3. Encrypt all sensitive member data

Consider data pseudonymization (as one of the practices recommended by GDPR). It is the processing of personal data in such a way that the data can no longer be attributed to an individual without using additional information.

Say, for example, removing a customer’s first and last name, and replacing it with randomly generated strings. The information is still useful, however, it is nearly impossible to link the identity of a user to this information. This greatly reduces the risk of identifiable information theft in the incident of data breaches and/or loss.

 

4. Create and publish a transparent data usage and privacy policy

Define and implement a clear data privacy policy and communicate it to all stakeholders. The policy should specify who is allowed to access the data and how. It should also clearly state how the data should and shouldn’t be used.

 

Publish a privacy policy using clear and simple language for customers to read through. The policy should specify how your company collects, stores, uses, and protects customer data. Keep customers informed on any changes that are made to the policy.

 

Approaching Privacy as a Competitive Advantage

While businesses may look at privacy compliance as an added expense, brands can definitely consider it as an investment towards creating a significant competitive advantage. According to a 2020 Cisco report, for every dollar that companies invest in privacy, they see a $2.70 return. Investing in data privacy and security can earn you more than just a compliance certificate. Here’s how –

  • Increasing conversions by adding privacy – Consumers are increasingly expressing dislike for tracking and targeting methods of engagement, and asking brands to reach out to them more honestly. Loyalty programs that integrate this stance on privacy into processes and communication can develop an immediate competitive advantage and long-term trust.
    • Loyalty and retention through transparency – According to Salesforce, 84% of consumers have reported increased loyalty to companies that have security protocols in place to protect their data. Privacy-conscious companies enjoy deeper consumer loyalty, improved ROI and are less reliant on third-party data to make crucial business decisions.

 

Businesses that factor privacy into their engagement initiatives will  ‘hear back from their customers’ and build long-term trust.

 

Why Loyalty Programs are the Future of Customer Engagement

Consumers are demanding a greater personalization of brand experience while also being increasingly protective of their personal information. This is where loyalty programs can offer a credible mid-path – for brands to start engaging with consumers more personally and offer true benefits based on consent.

Loyalty programs invite customer participation through opt-in and permission-based processes. Proper disclosures make it clear to members what data is being collected and how it will be managed. A loyalty program not only addresses breaches of privacy concerns, but it also helps build transparent relationships with customers and communicate with them on a personal and individual level.

 

Privacy, Trust, and Loyalty – Partnering with Capillary

 

The surest way to run a successful and fully-compliant loyalty program is to partner with an experienced loyalty provider like Capillary.  Our privacy-first initiatives span the life cycle of enterprise data, and include steps in operations, infrastructure, and customer-facing practices.

 

“Capillary Tech reaches over a billion customers and clocks 5 billion + transactions annually. In our experience, customers respond to companies that treat their personal data as carefully as they do themselves.” 

 

Having worked with 250+ international brands across 30 countries, the Capillary team is hands-on with the evolving regulatory landscape. We can work with your team to set up comprehensive data-privacy initiatives including Data discovery and Classification, Identity and Access Management, User Rights Management, Data Masking and Encryption, Data Loss Prevention (DLP), Database Activity Monitoring, Alert Prioritization and more.

 

If the ever-increasing demand for data privacy is making it harder for you to engage with customers, get in touch with us. Our team of experts can help build 1:1 engagement solutions that wholly meet regulations and ensure your customers continue trusting you with their valuable information.

Profitable Loyalty: The Proof is in the Profits

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Have you noticed your customers are harder to retain or that their frequent visits and purchases are challenging to influence? Marketers today have a new and urgent requirement to ramp up the level of effort to respond to the evolving demand of customers. At the same time, engagement and loyalty are overused and widely under-delivered. Organizations seek initiatives that can deliver, but deliver what? Engagement? Love? Passion? Advocacy? Are those the end game? 

 

Today, brands need to take the initiative to think beyond loyalty and stop being tactically short-sighted. Loyalty programs might not be at the core of your customer relationships – but understanding where you sit on the spectrum and what outcomes you’re trying to achieve matters. Whether your brand is trying to capture a percentage of customer spending or retain them year after year, loyalty plays a crucial role in enabling those outcomes. Conversely, your business model may use loyalty to drive acquisitions. Whatever the outcome, identifying them, as opposed to the execution mechanism, is critical. If you get that right, you can map out the best way to maximize your loyalty investment; as opposed to, say, building a far too complicated or far too simple proposition that lacks synergy and your ability to drive the customer outcome your brand is looking for.

 

Loyalty itself isn’t an outcome. Loyalty is an enabler for a million things – and brands must ensure what they do is profitable and focus on the outcome versus the enablement to help win against their competitors. This is where profitable loyalty comes in to deliver. 

 

Most loyalty initiatives and brand advisors fail to provide clear ROI and profitability guidance while also falling short of optimizing program performance. At Capillary, we have the capabilities AND the proof to deliver the outcomes that maximize a clear ROI. Capillary makes it faster and easier for brands to achieve this and iterate. And, we’re not shy about sharing the proof that we’re the best. 

 

We measure everything. We focus on: 

    • metrics that matter
    • maximizing the loyalty outcomes
    • delivering value back to customers
    • delivering value to your brand
    • generating revenue 

 

So talk to us. It’s time to make your loyalty efforts profitable, but also make it a customer experience optimized to its full potential for your customers. 

 

At Capillary, the proof is in the profits.

Restaurant QSR Industry Customer Loyalty

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The ever-evolving world of dining – a market estimated at $500B+, is looking to technology to deliver an innovative customer experience ecosystem that is digital-first and drives repeat purchases with the ability to alter customer behaviors. Beyond driving repeat purchases through incentivized freebies, discounts, and perks, the industry is looking to the loyalty & mobile experience to provide a seamless, digital transformation for customers. 

Dining Loyalty Trends For 2023 and Beyond

 

1. Hyper personalization

Customization of offers, rewards, and customer experience is enabled by a sophisticated process of rich customer data collection, mainly through loyalty programs. Consumer demand for this type of personalization is high and almost table stakes at this point for brands. 

Brands will continue to evolve and experiment with personalized menu items via digital menu boards, apps, dynamic pricing, and unique offers based on the 360-view of individual customers. The digital transformation of this industry will continue to push brands in this personalized-focused way of interacting with consumers. 

2. One-Size Fits All, Does Not Fit All 

In a sea of cookie-cutter loyalty programs in the restaurant industry, one size does not fit all. To have a successful loyalty program that drives repeat business, helps increase engagement, and steals market share from your competitors, it must be unique and intentional to your business. Using a loyalty vendor that simply streamlines and replaces stock images and colors to create your program from their standard shell will not drive ROI in today’s competitive landscape. 

Loyalty programs should be a reflection of your brand – differentiated and custom-built with your customers in mind. 

3. Gamification 

More and more industries are incorporating gamification strategies into their loyalty programs, and the F&B industry is no exception. Gamification is more than just a buzzword; the right strategy can unlock specific behaviors, drive restaurant traffic, motivate engagement, and more. Gamification helps move your loyalty program away from being largely transactional with more stickiness and increases customer engagement. Clearly defining the goals behind your gamification strategy is crucial in turning these interactions into deliberate opportunities for your brand. 

4. Digital is the Future, but Don’t Restrict Customers 

There’s no doubt that digital is the future of loyalty for the restaurant industry, but forcing customers to 100% go digitally might turn away some customers from your loyalty program. Communicating and engaging with your customer in their preferred channel has always been critical in effective loyalty marketing. Blocking a loyalty member from the program’s benefits because they do not have a smartphone or prefer to order without a phone will not keep that customer loyal or happy. Adding avenues to participate in how they want to engage with the program is critical for success. 

 

Restaurants Changing the Game in Loyalty 

 

Now that we have looked at some of the top trends dominating F&B loyalty, let’s also look at the leading examples of brands that are taking a bite out of their competitor’s share and winning over customers.

MyMcDonald’s Rewards 

The iconic golden arches took the industry by storm when they launched a true loyalty program in the summer of 2021. The program added 26M+ members in its first year (now at 50M+ members in their top six markets) with a high engagement rate that drives their digital sales with significant increases each quarter. 

The loyalty-based app is a spend-and-earn program allowing members to gain points based on spend to redeem free food and beverage items. Their program is simple, without member tiers or engagement incentives but offers a plethora of channels on how to use the app – order ahead, in-store, or drive-thru with a unique code. Another great feature of the program is how quick and easy it is to reward yourself with free food – new members receive a large order of fries for simply downloading the app. Members can redeem their first free item after only spending $15 with the chain. The loyalty app also features unique deals for members and has recently rolled out bonus point opportunities for dayparting. 

Chick-fil-A One Rewards 

You can’t mention F&B loyalty programs without highlighting the Chick-fil-A One Rewards program. This program has a long history as the industry standard in sophisticated loyalty programs for QSRs. Functioning as a typical spend-and-get program, Chick-Fil-A takes its program one step further by adding tiers where loyal members receive better exchange rates on earnings and additional perks and benefits. 

Higher-status members receive many benefits for being loyal, with many ‘surprise and delight’ freebies from your favorite location, exclusive experiential experiences such as the Chick-fil-A home office tour, birthday benefits, and more. 

Chick-fil-A has recently launched a gamification initiative to drive engagement through weekly missions and rewards. ‘Code Moo’ features the lovable Chick-fil-A cows as they try to sabotage their burger-flipping nemesis, Circus Burger, with 2.5 million food rewards available each week. This gamification-based campaign provides an interactive experience for members and allows them to win rewards and prizes.

 

Domino’s Pizza Piece of the Pie Rewards

Domino’s is one of the world’s largest pizza brands, with a presence in over 90+ countries. Their Piece of the Pie Rewards program is an extremely popular program where members can earn 10 points every time they place an order of $10 or more. Members can redeem a free pizza once they reach 60 points or save for multiple free pizzas later. Domino’s makes it easy to earn more pieces of the pie with points being earned any way you order – by phone, in-person, online, or in the app. 

Capillary’s client, Domino’s Pizza Indonesia, adopted a customer-centric strategy by utilizing the Capillary platform to engage with customers by creating personalized customer journeys in various social channels. Capillary segmented the customer data into 170+ digital touchpoints across 40 campaigns that achieved results of an increase in 10% active customer base, 85% high incremental sales, and a 21% increase in overall sales. 

Carrabba’s Dine Rewards

As we step across the ocean for some classic Italian dining, customers can get above and beyond in the Dine Rewards Carrabba’s loyalty program. Their spend-and-earn program allows customers to accrue rewards for dining in exchange for perks, free dinners, and other incentives received through email.

To receive your rewards after your visit, or take-out experience, Carrabba’s has decided to forgo any digital experience during the buying process and requires only a simple phone number from the rewards account written on the receipt at the end for the waitress to implement. Simple as that.

When you join the Dine Rewards program, you’ll earn a complimentary Calamari instantly. You can also be the first to find out about new menu items, upcoming events, and exclusive news when you sign up to receive emails from them. It is a well-oiled loyalty program that continues to bring back customers through its doors daily.

Restaurant loyalty programs will continue to play a critical role as the secret ingredient in driving growth in the F&B industry. Restaurants that are the most successful will leverage their loyalty programs to achieve and utilize zero and first-party data, unlocking the power to create personalized, differentiated loyalty programs and experiences for unique customers. All this will drive customer loyalty, increasing repeat business and profitability. Connect with one of Capillary’s F&B loyalty experts to learn how we can help your business today. 

Deloitte India and Capillary join hands to enhance customer experience and accelerate sales for Indian businesses

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  • Enabling targeted digital initiatives through comprehensive customer engagement, experience-based loyalty and API-first architecture, leveraging cloud, and AI-powered programmes
  • Retail, FMCG, Industrial and Agri-tech to be the priority sectors under this alliance
  • Focus on transitioning from traditional paradigms to drive sustainable growth and transform customer loyalty strategies for brands

 
Bengaluru, July 12, 2023: Deloitte Touche Tohmatsu India LLP and Capillary Technologies today announced a strategic alliance to help companies increase customer loyalty, retention and engagement in India. The strategic alliance leverages Deloitte’s industry expertise and global networks along with Capillary’s AI-powered SaaS platform. Together, they aim to drive digital transformation and data-driven strategies, enabling companies to scale through hyper-personalised programs and interest-based communities.

 

In today’s world, loyalty is seen as a long-term relationship with customers, not just a program. Companies are upgrading to meet the changing needs of consumers and build trust in their brand. They are deploying modern, customized solutions to create an omnichannel presence, multiple touchpoints and seamless brand experiences. This will help companies grow sustainably and transform customer engagement strategies.

 

Deloitte and Capillary Press Release

 

“With technology and innovation driving India’s growth trajectory, it is imperative for Indian companies to take steps to build technical capabilities and enable long-term relationships with consumers,” said Anand Ramanathan, Partner, Deloitte India. He added, “We are delighted to announce our alliance with Capillary Technologies and are confident that it will deliver maximum results for our clients, especially in the retail, FMCG, industrial and agri-tech sectors. Through an agile approach, timely execution and delivery of best-in-class next-generation integrated technologies, we aim to revolutionise the customer experience and redesign organizational operations to drive customer engagement. In both India and the APAC region, consumer interest in customer loyalty programs is high. This partnership not only offers exciting prospects for tech transformation, but also paves the way for expanding our potential to other Asian and European markets. We look forward to working together to unlock new opportunities and drive transformation across various industries.”

 

Expressing his enthusiasm about the alliance, Sameer Garde, CEO of Capillary Technologies stated, “We have been a partner-first organization and are delighted to join forces with Deloitte India to deliver highly advanced loyalty and customer engagement solutions to the market. Together, we aim to leverage our respective strengths and expertise to create a powerful combination of strategy and technology. Our goal is to help businesses unlock the potential of customer loyalty and provide creative value pools that will propel businesses to new heights.”

 

Vinay Prabhakar, National Sales and Alliance Leader, Deloitte India, commented, “The continuous change in consumer preferences and digital upheavals are revolutionising businesses across the globe, especially in the marketing, retail and consumer tech sectors. Clearly, tech and digital disruption holds tremendous potential for companies looking to optimize their brand experience by fine-tuning their strategies and integrating omni-channel play. By putting the customer at the center, they can also quickly address their needs, provide efficient solutions, and expand their offerings. Our alliance with Capillary Technologies aims not only to lead businesses into a resilient future, but also to develop new approaches that drive sustainable growth.”

 

Pooja Sabarwal, Head of Partnerships at Capillary said, “We are very excited to announce our strategic partnership with Deloitte India, a true powerhouse in the consulting and advisory space. With a particular focus on the Retail, FMCG, Industrial, and Agri-tech sectors, this alliance will help form connections and drive exponential growth to match our unique ambitions in today’s dynamic world. We will together help organisations solve complex business challenges around customer acquisition and retention through future proof and disruptive loyalty strategies.”

 

About Capillary:

Founded in 2012, Capillary Technologies has a presence across the United States, India, the Middle East, and Asia, in particular, Southeast Asia. Capillary is an end-to-end customer loyalty platform that offers a comprehensive view of consumers, and unified, cross-channel strategies that deliver a real-time omnichannel, personalized, and consistent experience for customers. Powering 100+ loyalty programs, across 30+ countries, Capillary works with 250+ brands including the likes of Tata, PUMA, Shell, Al-Futtaim, Petron, Domino’s, Kanmo Group, and Marks & Spencer. With a massive reach of 1Bn+ consumers and processing 5Bn+ annual transactions, the company has the backing of Warburg Pincus, Sequoia Capital, Avataar Ventures, and Filter Capital. For more information, visit www.capillarytech.com.

 

Capillary was recently named a Leader on the Forrester Wave for Loyalty Technology Solutions and Capillary also acquired US-based Brierley+Partners which increased its global footprint. Capillary’s loyalty platform was rated the highest in the ‘current offering’ category which makes it a great technology fit for Deloitte’s international professional services network.

 

About Deloitte India:

Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee (“DTTL”), its network of member firms, and their related entities. DTTL and each of its member firms are legally separate and independent entities. DTTL (also referred to as “Deloitte Global”) does not provide services to clients. Please see www.deloitte.com/about for a more detailed description of DTTL and its member firms.

Top Best Loyalty Programs in Indonesia

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The brand loyalty landscape in Indonesia has constantly been evolving. Though the pandemic led to a slowdown, retailers developed a unique ecosystem to serve demand-supply requirements in the market. First was the pandemic, and now due to the economic downturn, brands have difficulty keeping momentum. When retaining existing customers is turning tricky, brands are embracing innovative strategies to gain more brand fans.

 

The loyalty programs market in Indonesia will increase from US$775.5 million in 2021 to US$1470.9 million by 2026, per Research & Market’s report. During 2022-2026, the Indonesian loyalty market is expected to record a CAGR of 13.6%.

 

The consumer approach towards loyalty programs in Indonesia is not the same anymore (Read more about customer loyalty programs in Indonesia). Indonesians are now keener on instant gratification than collecting reward points over tenure. They are looking for seamless options to redeem their loyalty points.

 

To have a competitive edge, brands incorporate relevant strategies and identify trends to meet customer needs. Capillary has been helping brands address such concerns with its robust modularized product suite. Our data-driven, AI-powered, intelligent tech solutions assist brands across all segments to gain marketing intelligence to create ‘Wow’ customer experiences.

 

In this blog, you will learn about 7 renowned loyalty programs led by brands in Indonesia to earn more loyal shoppers.

 

1. Starbucks- QSRs partnership with SuperApps

 

Indonesia Loyalty program- Starbucks

 

Starbucks, is known for its offerings, rewards, and habit of creating customer delight. The brand has been expanding its roots in different countries by implementing different strategies. In the Southeast Asian market, the brand has partnered with SuperApp Grab to enhance customers’ dine-in and delivery experiences across 1,882 countries across the region. Now, Starbucks shoppers can place orders via the Grab app, make payments for dine-in orders via GrabPay e-wallets, and earn easy rewards.

 

The alliance unlocks double chances for customers to earn rewards with Starbucks and Grab SuperApp. Here, Starbucks wins the chance to personalize relationships with GrabPay, GrabRewards, GrabFood, GrabGifts, and GrabExpress. To strengthen customer relationships with the brand, it has enabled customers to redeem rewards in exchange for complimentary beverages and birthday treats.

 

2. Shopee – E-commerce giant’s approach to streamlining customer engagement & retention

 

Shopee- Indonesia Loyaly Program

 

Post-pandemic, several retailers are adding a digital dimension to their business to widen their reach, which was the same for Indonesians. When not every retailer plans to get a website, marketplaces got the hang of the situation. In July 2021, Shopee rolled out Shopee Mall Brand Membership to help brands retain their shoppers. That’s a loyalty program platform that sellers on Shopee can leverage to give rewards to their shoppers and offer exclusive experiences based on membership tiers.

 

Shopee executed this approach for its sellers to power brands with tools to understand their shoppers better, improve their experiences, and boost their profits. This strategy is exactly what all eCommerce owners can directly implement in their businesses to improve their customers’ phygital experiences.

 

3. Erajaya’s Eraclub – Club-based Multi-brand loyalty program

 

Erajaya Loyalty Program

 

Indonesia’s leading conglomerate PT Erajaya Swasembada Tbk. (Erajaya) operates with its 87 distribution centers across 1100+ outlets in the country. As it expanded its range of products from mobile telecom devices to lifestyle, the brand launched an umbrella loyalty program – Eraclub. Its members could earn & redeem rewards with ease across all the brands under the Erajaya group.

 

With Capillary’s AI-powered customer engagement platform, Erajaya served customers with membership models, personalized campaigns, and earned high-valued customers offering real-time rewards. The brand gathered 1.3 million new customers even during the global crisis in 2021. You can learn more about Eraclub’s success story here.

 

4. Wardah Beauty – Cause-driven B2B loyalty program

 

Wardah, Cause driven loyalty program

 

Wardah Beauty is Indonesia’s biggest halal beauty brand which serves its customers with a wide range of sustainable cosmetic products. On the D2C front, they run a typical loyalty program where customers can earn loyalty points on their transactions and can redeem them when they shop next.

 

However, on the B2B front, Wardah Beauty led a cause-driven loyalty program. It encourages its customers to become beauty ambassadors and entrepreneurs/influencers. Joining Wardah Womenprenuer Community, they can sell products at attractive discounts and earn reward points as well. The brand has a range of products shopping for which they can redeem their points; you can check more on this here.

 

5. The Mulia – Creating unforgettable customer experiences with tiered membership program

Mulia Tiered Membership Programs

 

Mulia Privilege – The Mulia’s loyalty program designed is an invite-only loyalty programs focused on providing unique experiences to its loyal customers. The hotel brand offers a tiered membership program for all their guests at Hotel Mulia Senayan, Jakarta, and The Mulia, Mulia Resort & Villas – Nusa Dua, Bali. It’s an invite-only program where guests can be eligible to sign up after their first stay. Mulia Privilege has three tiers – Silver, Gold, and Diamond.

 

The guest’s profile will be on the Silver tier as they first enroll and will be upgraded to Gold as the member did a minimum spend of US$10,000 up to US$19,999 or stayed 30 qualifying nights (on direct bookings only) within qualifying rates and a period of any rolling year. Further, guests’ member profiles will be upgraded to Mulia Privilege diamond members. Mulia Privilege members can earn and redeem points with dine-in at Mulia’s Food and Beverage outlets, luxury experiences, signing up for leisure activities, and unlock extra privileges as they move up the ladder to higher tiers.

 

6. Mapclub – Fashion & Lifestyle brand offers phygital rewards program

 

Mapclub- Phygital Rewards Program

MAPCLUB is Indonesia’s retail brand that deals in fashion & lifestyle products. The brand has partnered with several other renowned brands across verticals and delivers seamless omnichannel experiences. MAPCLUB stands out for its online-to-offline (O2O) approach. Customers can shop online or opt for the ‘Pay & Pick’ service after ordering online. The MAPCLUB rewards program is designed to offer variable reward points for customers shopping via variable touchpoints. Like a customer may earn 10 points for every 10 Rupiah spent at Supermarket & Digimap, while they can earn 50 points for shopping at a departmental store.

 

The approach of configuring variable reward points helps the brand get shoppers across multiple touchpoints. MAPCLUB members can redeem points both in-store and while shopping online. Moreover, they can use these points to unlock various promotions, get vouchers, contribute to charity, and earn experiential rewards. Per the member profile and latest additions, redemption options do vary and keep upgrading (In-Store is Back in Vogue: Get your Phygital Customer Experience Right).

 

7. Many more- Garuda Miles, BCA Rewards, Hypermart’s Poin Xtra

 

The best loyalty program in Indonesia can be yours with Capillary’s loyalty technology product suite and global consultancy services of Brierley.

 

Contact a Loyalty Expert

 

GarudaMiles: Garuda Indonesia’s frequent flyer program, GarudaMiles, allows members to earn and redeem miles when flying with Garuda Indonesia or its partner airlines. Members can enjoy benefits such as priority check-in, extra baggage allowance, lounge access, and exclusive promotions.

BCA Rewards: BCA (Bank Central Asia) Rewards is a loyalty program associated with BCA Bank. BCA credit cardholders can earn points for their transactions and redeem them for a wide range of rewards, including travel vouchers, shopping vouchers, and electronic gadgets.

Hypermart’s Poin Xtra: Hypermart, a popular hypermarket chain in Indonesia, operates the Poin Xtra loyalty program. Members can earn points by shopping at Hypermart stores and redeem them for discounts, vouchers, and special promotions.

Are you an Indonesian brand marketer thinking of tweaking your rewards program? Read our detailed marketers’ guide to enhance rewards program experience. To consult loyalty experts on designing a personalized loyalty program for your brand, contact our experienced team of loyalty marketers.

 

What are the leading loyalty programs in Indonesia?

 
Leading loyalty programs in Indonesia include Indomaret Poinku, Alfamart Ponta, GarudaMiles, Telkomsel Poin, and Matahari Rewards. These programs offer various benefits such as points accumulation, discounts, and exclusive member offers.

 

How do loyalty programs benefit Indonesian customers?

 
Loyalty programs in Indonesia give customers rewards like points on purchases, special discounts, and exclusive promotions. These benefits enhance the shopping experience and encourage repeat purchases.

 

Why is the Indomaret Poinku program popular in Indonesia?

 
Indomaret Poinku is popular due to its extensive network of convenience stores. Members earn points on every purchase, which can be redeemed for discounts or free products, making it a valuable program for frequent shoppers.

 

How do Indonesian businesses benefit from loyalty programs?

 
Indonesian businesses benefit from loyalty programs by increasing customer retention, boosting sales, and gaining insights into consumer behavior. These programs also help in personalizing marketing efforts and improving customer satisfaction.

 

Can Capillary Technologies support loyalty programs in Indonesia?

 
Yes, Capillary Technologies provides comprehensive solutions to support loyalty programs in Indonesia. Their platform offers personalized marketing, data analytics, and seamless integration, helping businesses enhance customer engagement and retention.

Capillary at NASCAR CRM Conference Chicago 2023

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Another successful Customer Relationship Management Conference (CRMC) is in the books! It was an eventful three days in Chicago, full of in-depth brand presentations and great networking opportunities with retail’s best and brightest at the beautiful and historic Hilton Chicago. 

Ned Shugrue at CRMC

I was thrilled to hear from many attendees that our presentation with NASCAR was one of the best sessions of the show and included awesome swag and ticket giveaways to attendees (thanks NASCAR!). I was joined by Incendio’s Jenn McMillen and NASCAR’s Donald Baal as they provided an inside look into NASCAR Fan Rewards, a one-of-a-kind engagement program. If you missed us on stage, you can check out our presentation at https://www.thecrmc.com/agenda.  (direct link)

 

Throughout our numerous conversations with retailers, partners, vendors, and other industry leaders, common themes consistently emerged in the dynamic and ever-evolving retail landscape: 

 

Personalization: Marketers are still looking for ways to add more personalization and customization to their customer engagement and experience strategies – both in-store and online. Nothing new in the industry, and some marketers struggle to provide personalized experiences to their customers because they lack customer data (especially real-time access), a true CDP, or their data does not provide a 360-view of their customers. 

 

In a crowded market, retailers need to stand out from their competition. Personalization seamlessly integrated into a loyalty or customer engagement strategy is critical and expected in today’s marketplace. If your brand is still not getting personalization right, you are falling lightyears behind your competitors. 

 

Loyalty Program Strategy: Many marketers are looking to adjust their current loyalty program or find bite-size ways to make their program different and unique from their competitors. To truly stand out, a loyalty program must constantly evolve and add additional benefits and value to keep customers engaged and continually interacting with the program and overall brand. We tell clients that they need to keep their program fresh with new features, experiences, and more – in a regular cadence. Stale programs typically plateau 6-12 months after the initial program launch, so creating a loyalty framework that incorporates enhancements throughout the life of a program is critical. 

 

ROI of Loyalty: Marketers are starting to confront incoming pressure from leadership to validate the return on investment (ROI) of their loyalty programs. This increased pressure stems from the need to demonstrate that the program’s health is not cannibalizing regular sales but instead generating incremental value. 

 

At Capillary, we use LDS (Loyalty Delivered Sales) to determine the financial impact provided by your loyalty program. Our LDS strategy solves a long-standing question on every CMO’s mind about delivering ROI, measuring true Loyalty Delivered Sales (LDS), and showing the difference in sales between the two groups. When measured as a % of total sales (LDS%), it quantifies the financial impact of the loyalty program. Capillary has different levers we combine to achieve top-line loyalty maturity for your brand, driven by customer behavioral and transactional divergence. Companies can unlock up to 20% top-line growth using this strategy and take advantage of study-based LDS benchmarks for seven different elements of loyalty programs. If you are having difficulties measuring your ROI for your loyalty solutions, reach out to us today. 

 

If you missed us at CRMC this year (shame on you for not enjoying the tasty Rainbow Cones we distributed in our booth!) feel free to contact us now. We’re changing what it means to be a loyalty partner, truly becoming the only SaaS player with an end-to-end loyalty stack of capabilities and services. We’d love to connect you with our loyalty experts and solutions that can help propel your brand in this ever-competitive and evolving industry.

 

 

 

1.How can brands benefit from participating in events like NASCAR CRMC Chicago 2023?

Participating in events like NASCAR CRMC Chicago 2023 allows brands to showcase their products, engage with a targeted audience, and increase brand visibility, leading to potential business opportunities and partnerships.

 

2.What are the advantages of collaborating with Capillary at NASCAR CRMC Chicago?

Collaborating with Capillary at NASCAR CRMC Chicago provides businesses with access to advanced customer engagement solutions, real-time analytics, and personalized marketing strategies to enhance customer experience and drive sales.

 

3.How can Capillary’s solutions enhance marketing efforts at large-scale events?

Capillary’s solutions enable businesses to gather and analyze customer data, deliver personalized messages, and measure the effectiveness of their marketing campaigns, ensuring maximum impact and ROI at large-scale events.

 

4.What technologies does Capillary utilize to engage customers at events like NASCAR CRMC Chicago?

Capillary uses AI-driven analytics, CRM systems, and mobile engagement tools to interact with customers, personalize their experience, and drive engagement at events like NASCAR CRMC Chicago.

 

5.Why is it important for businesses to participate in industry events like NASCAR CRMC Chicago?

Participation in industry events like NASCAR CRMC Chicago helps businesses stay updated with industry trends, network with potential clients and partners, and gain insights into competitor strategies.