Situation
A growing quick-service restaurant hypothesized there was an opportunity to improve and enrich its brand and customer base within the market by implementing digital capabilities such as a digital loyalty program. The brand was facing challenges in managing, stitching and pulling insights from its data resources.
The client first needed to understand core customer behaviors, and which segments to target to inform the digital loyalty program design and GTM plan.
Approach
- Performed customer segmentation analysis to understand customer behaviors and create growth-driving tactics.
- Conducted loyalty surveys to outline and validate key program concepts and features.
- Benchmarked loyalty programs of direct and adjacent players to inform program design ideas and concepts.
- Built value case and GTM plan for the final loyalty program concept.
Impact
- $130M in untapped additional revenue identified by targeting specific customer segments to visit one to two times more per year.
- Designed and market tested the final loyalty program to be piloted by the client across franchisees.
- $144M in incremental revenue potential identified, through scenario modeling, for first year of loyalty program.
Originally published on the 20th of February, 2024
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