Customer Loyalty Programme Approach Design Rositsa Mineva email: rm01248@surrey.ac.uk Contents PROJECT SUMMARY MARKET SUMMARY SOLUTION OVERVIEW IMPLEMENTATION PLAN SUMMARY REFERENCES Project Summary • The objective is creating a customer loyalty programme for a leading UK Chocolate Brand. • The task is to design an approach, which will be presented to the client • Core deliverables Clear project summary Market summary Solution Overview Implementation Plan Objective and task formation Understanding the market and its structure Proposal and justification Project Plan Consulting Delivery Team set-up Finding its size, competition, Expected outcome challenges Change management • Consulting Delivery Team and their responsibilities Analysts Consultants Manager Executive Director PMO – budget, resources, scope Coordination of schedule Day-to-day management of projects, workshops Overall oversight BA – requirements, solution design, process and system mapping Production of project deliverables Managing and delegating consultants and analysts Responsible for relationships with clients and finding opportunities Market summary • Market Size is £4 bn (January 2020). This is 0.055% of the UK GDP • Companies holding the largest market share: o Mars Wrigley Confectionery UK Ltd, o Nestle UK Ltd, o Barry Callebaut Manufacturing (UK) Ltd o Mondelez Europe GmbH. • Challenges o Increasing health consciousness o Volatile input prices o Increasing competition from imported products o Packaging materials o Traceability Solution Overview SOLUTION: CUSTOMER LOYALTY PROGRAMME WITH THE SLOGAN SWEETER LIFE THE PROGRAMME WILL BE POINTS-BASED, SO IT WILL ALLOW CUSTOMERS TO COLLECT POINTS FOR DIFFERENT PRODUCTS THEY PURCHASE. PRODUCTS THAT ARE HIGH-QUALITY OR INCLUDE NATURAL INGREDIENTS WILL EARN MORE POINTS. THEREFORE, CUSTOMER`S LOYALTY WILL BE REWARDED NOT ONLY WITH POINTS BUT ALSO WITH IMPROVED HEALTH. CUSTOMERS CAN REDEEM THEIR REWARDS FOR THE GOODS` PACKAGING. POINTS WILL BE COUNTED THIS WAY. FURTHERMORE, THE CHOCOLATE COMPANY WILL PROMISE TO RECYCLE THE PACKAGING, SHOWING ITS DEVOTION TO ENVIRONMENTAL SUSTAINABILITY. REWARD CAN BE EITHER DISCOUNTS OR MYSTERY PACKAGE OF CHOCOLATE GOODS. AS A RESULT, THE BRAND CAN BUILD AN EMOTIONAL CONNECTION THROUGH SURPRISE. PEOPLE`S CURIOUS NATURE GETS THEM EXCITED WHEN RECEIVING REWARDS. THAT LEADS TO THE DESIRE TO EXPERIENCE THAT FEELING AGAIN. THIS CUSTOMER LOYALTY PROGRAMME OFFERS SOMETHING FOR EVERYONE. IT COMBINES GREAT CAUSES SUCH AS CARE FOR THE ENVIRONMENT AND IMPROVED DIET. THE IMPLEMENTATION PROCESS IS QUICK AND EASY. ALL KINDS OF PURCHASES ARE REWARDED, SO CUSTOMERS SEE THE REWARDS AS GREAT DEALS, BELIEVING THEY HAVE A HIGHER VALUE THAN THE ACTUAL COST. THE OUTCOMES WILL BE INCREASED IN EXISTING CUSTOMER PURCHASES AND THE ATTRACTION OF NEW. THE REVENUE WILL RAISE MORE THAN COSTS BECAUSE THE POINTS PROGRAMME WILL BE CAREFULLY DESIGNED. CUSTOMERS WILL BECOME MORE FAITHFUL TO THE BRAND AND WILL PURCHASE MORE FREQUENTLY. Implementation Plan Change Management • Create a vision and strategy and communicate them clearly to the stakeholders. • Spreading awareness using media • Remove lack of understanding and engagement • Survey feedback 27July 3Aug 10Aug 17Aug 24Aug 31Aug Summary • Our goal is to design an approach to a customer loyalty programme for a leading UK Chocolate Brand. • We will implement this by researching the market in-depth and setting a Consulting Delivery Team. • Proposed solution includes a points-based programme, which is easy to implement and understand. The customer collects points and can choose between a mysterious gift or their favourite product with discount. • Personal benefit combined with social (environmental and health-related) • Implementation plan divided into timed tasks • Change management aspects will help alleviate the transition process References • https://www.ibisworld.com/united-kingdom/market-researchreports/chocolate-confectionery-production-industry/ • https://www.foodware365.com/en/industry-challenges/sweets-andconfectionery-challenges/ • https://www2.deloitte.com/ie/en/pages/strategy-operations/topics/customerand-marketing.html?icid=nav2_customer-and-marketing • https://medium.com/@bblfoods23/latest-trends-and-challenges-faced-by-theconfectionery-industry-cb105b011855 • https://antavo.com/blog/customer-loyalty-programs