Loyalty360 Reads: April 2nd, 2018

The latest news in the world of customer experience and customer loyalty.
 
Nike Targets Loyalty Customers in Effort to Boost Direct-to-Customer Sales
With tonight’s NCAA Men’s Basketball Championship game pitting Villanova against Michigan, there will certainly be one big winner: Nike. Both schools wear the shoe brand, and according to an article in Quartz Media, the hope is the exposure brings additional sales for the company—with a twist. Nike is shifting its sales focus a little and looking to become the next great direct-to-customer brand. It purchased consumer data and analytics company Zodiac, and created a Nike SNKRS app as a way to bypass the middleman. Its first focus is on its Nike+ loyalty program members, who spend nearly three times as much as general shoppers on Nike.com. It’s also utilizing beacon technology to extend benefits to app holders as soon as they walk into one of the company’s retail stores. The app also lets users pay without having to wait in line.
 
Is Subway’s New Loyalty Program Working?
Subway’s new loyalty program, Subway MyWay Rewards, launched in February after company official began developing it about two years ago. So how has the program impacted customers in its first month? According to an article in QSR Magazine, the jury is still out. The article says that consumer research firm YouGov BrandIndex believes that the program has been beneficial to new customers, but not so much to loyal customers. In the article, YouGov CEO Ted Marzilli notes that “the sharper consideration increase among the general population suggests that the refresh might convince people who have left Subway to give it another try. That could be good news for the brand if it can delight those consumers and turn them into regular customers.” But, Subway’s current customer base’s consideration fell during the same period, from about 75 percent in late February to a current level of 70 percent. We wrote an article last month about Subway’s new loyalty program where Carissa Ganelli, Subway’s Chief Digital Officer, told Loyalty360 that the MyWay Rewards program “is just one part our larger transformation, changing every element of our business—from new menu items to the look of our restaurants to the entire customer experience—so we can best serve the more than seven million people who visit a Subway each day around the world.”
 
Children’s Loyalty Program in The Works at Qatar Airways
It’s never too early to start the customer loyalty process. At least, that’s what officials at Qatar Airways believe. According to an article in The Blue Swan Daily, the airline plans to launch the Oryx Kids Loyalty Program in the coming months for children between the ages of 2 and 11. According to the article, the children’s loyalty program works very much like a standard airline loyalty program, offering them the opportunity to enjoy value-added benefits while traveling with Qatar Airways as well as the ability to earn Qmiles, which can be redeemed for attractive awards. What’s more, they can earn Qpoints, which moves them to a higher tier, offering exclusive benefits. The loyalty program is part of the launch of the Oryx Kids Club, the article says, which is an exciting new flying club for the airline’s youngest passengers.

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