How activity data is helping Chemmart secure customer loyalty

Pharmacy retailer strives to reposition its customer loyalty program away from transactional purchases to everyday behaviour to drive health and wellbeing of consumers


The next steps

Chemmart is looking to do follow-up activities, and one of the ways Gunton hoped to evolve the program is by identifying members that need to up their step count and incentivise them in different ways.

“For example, if you walk 10,000 steps today, we could give you a discount,” he said. “There are lots of ways to harness this to help them be healthier and do something for them.”

Thanks to Responsys, Chemmart has powerful analytics tools for predictive modelling, and can see campaigns results and usage within the platform. “By importing the ZIVA data, which is live, we can then look at relationships between what they are buying, such as if they’re buying weight loss products and the amount of steps they’re doing,” Gunton said. “Or we could see healthy activity versus other things they’re doing, and suggest products or information to help them on their way.

“It’s early days in getting the data here and seeing the relationships and correlation, but as an agile team, we can respond to this and build a journey based on these insights, as we’re flexible enough to do that.”

Chemmart already had some level of customer segmentation analysis in place, using recency, frequency and monetary value, but it’s looking through data to find other segments and propensities that exist that the brand didn’t realise existed, such as cross-product relationship.

“It has meant we have been more fluid and a lot more work has been doing in analysis driven and creating new segments to be able to talk to,” Gunton said.

“Our next step with ZIVA is to look at campaign gains, ask our customers for their response to see where we can improve for another trial, and make it a more instant reward, rather than just winning a trip. There are ways of integrating so we can do rewards based on products they want to purchase or points as an ongoing integration. Then we’ll look at other ways we can reward their health and incentivise for health benefits.”

The big goal is to increase active membership. “If we can have those members being more active and using us, then everything else will flow – customers will come in, we’ll get more yield and frequency of visit,” Gunton said.

“The one thing that’s hard to measure but which we’d love to is the improved health of Australians.”

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