loyalty technologies loyalty technologies
home
about us
capabilities
clients
case studies
careers
careers
contact us

case studies

Loyalty Technologies develops highly effective retention program to combat customer turnover from Line Number Portability rule

Challenge

Loyalty Technologies' client – a leading national mobile service provider – needed an effective, fast-acting loyalty program to help prevent potential customer turnover brought on by the new Line Number Portability (LNP) rule, which allows customers to switch service providers while retaining their current mobile number.

Project Goal

Keep customers from switching their wireless phone service to another provider.

Objectives

  • Further vest customers in existing customer loyalty program for longer periods of time to build retention.
  • Increase customer satisfaction.
  • Generate a higher level of customer loyalty.


Loyalty Technologies Solution

Loyalty Technologies had already established a successful customer loyalty program for its client. However, to combat the potential increase in customer turnover due to the impending LNP rule, it was important to build additional incentives into the existing program in an effort to retain the client's most valuable customers.

To strengthen the existing program, Loyalty Technologies added an incremental vesting feature that would quickly engage its client’s best customers, while supplying an avenue for one-to-one marketing as the new LNP rule approached and took effect.

With the new program, participants were now rewarded for the length of time they had vested in the loyalty program. Each month of participation would bring more valuable customer rewards, monthly sweepstakes prizes and an increased opportunity to win a grand prize sweepstakes held at the end of the loyalty program promotion period.

By rewarding the length of participation, customers are now more likely to stick with the loyalty program and less likely to switch mobile carriers.

Results Realized

Program Registration
  • Percent Registered of Solicited subscribers
    • More than 6% registered by Week 12
Program Participation
  • Percent Participating of Solicited subscribers
    • More than 4% participating by Week 17
  • Percent Participating of Registered subscribers
    • More than 60% participating by Week 6
Customer Turnover Reduction
  • Percent Reduction in Customer Turnover within three months - Treatment Cells vs. Control Cells
    • Registered-only subscribers: More than 50%
    • Participating subscribers: More than 70%
    • Registered-only & Participating: More than 60%