Loyalty Rewards Program Success Story
About LAFCO
Founded in 1992 by Jon Bresler in New York, LAFCO combines traditional craftsmanship and the purest ingredients to create transporting home fragrances and personal care products. LAFCO’s luxurious collection of soaps, lotion, diffusers and candles are made from rigorously sourced essential oils. The products are hand produced using both time-honored botanical production practices and cutting-edge technology. The fragrances are designed to evoke an emotional, sensory response: soothing, invigorating, meditative, inspiring.
Objectives and Challenges
- Improve Customer Retention
- Increase repeat purchase revenues
The Solution: A Rewards Program
With the objective to establish a stronger connection with customers & maximizing revenue by improving customer retention, LAFCO implemented an attractive rewards program using Zinrelo’s modern-day loyalty platform.
About LAFCO
Founded in 1992 by Jon Bresler in New York, LAFCO combines traditional craftsmanship and the purest ingredients to create transporting home fragrances and personal care products. LAFCO’s luxurious collection of soaps, lotion, diffusers and candles are made from rigorously sourced essential oils. The products are hand produced using both time-honored botanical production practices and cutting-edge technology. The fragrances are designed to evoke an emotional, sensory response: soothing, invigorating, meditative, inspiring.
Objectives and Challenges
- Improve Customer Retention
- Increase repeat purchase revenues
The Solution: A Rewards Program
With the objective to establish a stronger connection with customers & maximizing revenue by improving customer retention, LAFCO implemented an attractive rewards program using Zinrelo’s modern-day loyalty platform.
Zinrelo’s data sciences team helped me to optimize the structure of our program. Within just three months after the launch, we witnessed an impressive 23.39% increase in repeat purchase revenue.
Brittany Boykow
Director of E-Commerce at LAFCO
LAFCO Rewards Program Overview
With the LAFCO Rewards Program, LAFCO migrated to points-based promotions instead of cash discounts.
360 Degree Engagement with Loyalty Rewards
LAFCO used Zinrelo to improve Customer Engagement. LAFCO offered multiple point earning opportunities such as purchases made on website, referrals, birthday bonus, welcome bonus and sharing on social media (Facebook, Twitter and Pinterest). This created 360 degree engagement. The points could be redeemed for discount coupons, free products or attractive rewards such as free shipping or product samples.
A tier-based rewards program to accelerate the points earning capability and gifts on birthday to create an emotional connect made a huge difference! A mix of discounts and freebies ensured that customers were motivated to take actions to earn points.
Tier-Based Rewards Program to Engage Customers
Reward tiers based on various customer segments helped drive higher participation in the rewards program. After reaching a certain number of points, a customer is upgraded to the next tier and receives exclusive benefits from that tier. The three tiers were Silver, Gold and Platinum. They were designed to offer users a reason to move to higher tiers.
Silver
Minimum 0 pts
1x points per $ spent
Gold
Minimum 2500 pts
1.25x points per $ spent
Platinum
Minimum 5000 pts
1.5x points per $ spent
Data analytics from Zinrelo helped provide deeper cohort-based insights for members in various rewards program tiers.
Creating Stronger Email Engagement with Rewards
The targeted loyalty email campaigns witnessed an open rate of 3.08X higher than the industry average. Additionally, the click rate was 7.37X higher than industry average. This indicated a high level of interest and engagement among customers for their rewards program.
Zinrelo Rewards Platform Architecture
Here are some of the key architectural components that helped LAFCO build an extremely successful and robust rewards program.
Data Sciences Approach
Deep data sciences for running targeted promotional campaigns using rewards point.
Robust scalable platform
Manage high traffic volumes with ease. AWS capabilities ensure high availability and uptime.
User Friendly
Intuitive end-user dashboard to maximize points redemption.
Fully Managed Services
Completely handle the rewards program.
Excellent Support
Prompt and friendly
support staff.
Security
A highly secure platform.
Rewards Program Results
Increase in customer retention
Increase in repeat purchase revenue
