Case Study: Cloud 57 Vape Store
Transforming Customer Loyalty with LoyaltyDog
Background
Cloud 57 is an active vaping business with seven retail locations based in and around Nottingham. The company has three distinct brands: Joe’s Juice, specializing in e-liquids; Hemp HQ, a sister brand; and Cloud 57, which integrates a variety of vaping products and accessories. The business serves a very wide range of customers from young adults to older customers. Cloud 57 thrives as a community-focused enterprise, with each store fostering a loyal local customer base.
Challenge
Cloud 57 had previously implemented a manual loyalty scheme using paper cards, which posed several challenges:
- Fraud Risk: Customers could potentially self-sign cards.
- Lost Cards: Frequent loss of cards meant customers couldn’t redeem their earned points.
- Operational Complexity: Staff were tasked with storing and tracking cards, leading to inefficiencies and time wasting for staff and extra time spent in the que for customers. These challenges created a disjointed customer experience and hindered the company’s ability to fully leverage the loyalty program for retention.
- Lack of Data: There was no data collected that could be easily accessed and acted upon.
Solution
Cloud 57 turned to LoyaltyDog to modernize its loyalty program. The company sought a solution that was:
- Digital and user-friendly for both customers and staff.
- Seamlessly integrated with their existing point-of-sale (POS) system.
- Customizable, offering flexible rewards and promotions tailored to business needs.
Why LoyaltyDog?
Cloud 57’s team chose LoyaltyDog for its simplicity, robust features, and intuitive interface. The platform’s ease of use allowed Cloud 57 to effortlessly onboard customers and manage loyalty rewards. The adaptability of the system meant they could fine-tune promotions and points structures to suit their diverse customer base.
Results
- Increased Revenue per Customer: Members of the Loyalty Program spend on average 18% more than customers who are not members of the Loyalty Program.
- Streamlined Customer Experience: Customers now see their loyalty points in real time on the Loyalty Pass stored in a digital wallet on their smartphones, eliminating the need for physical cards.
- Increased Customer Engagement: The new system has seen strong uptake, with customers appreciating the ease of enrollment and redemption.
- Operational Efficiency: Staff can quickly resolve customer queries, such as retrieving loyalty data or adjusting points, through the LoyaltyDog Management Portal.
- Informed Decisions: Cloud 57 has used LoyaltyDog’s reporting features to analyze customer behavior, track promotion performance, and optimize their offerings.
Notable Highlights
- A customer-facing incident demonstrated the system’s reliability: when a customer’s phone malfunctioned, staff quickly adjusted points via the LoyaltyDog Management Portal, ensuring the customer didn’t miss out on rewards.
- Regularly reviewing loyalty program data has enabled Cloud 57 to confirm the relevance and success of its promotions.
Conclusion
Switching to LoyaltyDog has significantly elevated Cloud 57’s loyalty program, transforming it from a manual process into a digital powerhouse. By addressing previous challenges and enhancing the customer experience, Cloud 57 has solidified its reputation as a customer-focused vape retailer.
