Challenge
How might we boost Tesco’s stagnating loyalty scheme to be more relevant to their customers?
The solution
We started with a deep dive into the attitudes and motivations of customers towards Tesco’s current loyalty scheme. What was wrong with the current system? What was great? Where were the opportunity areas that could rejuvenate the scheme?
A carefully selected range of customers were tasked with keeping diaries for us, recording how they shop and what they feel when shopping with Tesco. We interviewed them in their homes, taking the senior stakeholders with us so they could hear what customers thought directly ‘from the horse’s mouth’ — quite a revelation for some.
From the insights emerged 22 ideas, turned into 13 service concepts. The four most promising ones were built as prototypes – from physical items in store to digital solutions and tested for two days in-store with real customers, iterating what didn’t work over night.
The results
Increase in NPS and usage
We found a way to re-energise the Tesco’s loyalty scheme leading to an indicative 300% t increase in the usage rate for the 3 prototypes.
Increase in usage
230% increase of customer satisfaction for 3 of the prototypes.
Pilot on a regional scale
Tesco is now piloting a new iteration on a regional scale.