38 | Orgill Case Study Customer Loyalty The transition team approached the Germantown Hardware event the same way they begin planning for any grand opening: with marketing. They first worked to develop a brand definition—an overview of what defines the brand and the key elements they need to use as a measuring stick when making marketing and strategic planning decisions. According to Wells, the focus with Germantown Hardware was on serving homeowners and DIY customers and offering convenience. This included services such as eCommerce, the small engine repair shop and rental area—and a loyalty program. “Loyalty was a big element. We needed to create an infrastructure for a loyalty program to help maintain that aspect of community engagement,” she says. “Then we translated that into a marketing plan to talk about how we would communicate that message.” Germantown Hardware did not previously offer a store customer loyalty program. Because the transition team recognized the potential and return on investment a program like this presented, work began on building a rewards program first, even before the store had an eCommerce platform. “From a marketing perspective, loyalty marketing is some of the most effective marketing that drives a lower cost,” says Tony Foy, director of Tyndale Advisors marketing. “The average ticket of a loyalty customer is so much higher than that of a non-loyalty customer,” Wells adds. “This is something for retailers to consider when thinking about where to invest their dollars to have the biggest return on investment.” The Orgill team created a customized version of the FanBuilder® loyalty rewards platform, branded to the store and local market, to drive the new Germantown Hardware loyalty program, Germantown Hardware Rewards. More than just a loyalty program, the platform offered marketing tools to help drive customer engagement and traffic to the store’s website. A year prior to the grand opening, the transition team began the soft launch of getting customers on board with Germantown Hardware Rewards. The team felt it was important to ramp up capacity and best practices ahead of a major event, so when it came time for the grand opening, the store was prepared. April 2022, the month of the grand reopening, saw the highest rewards sign-ups. This was due in part to the emphasis placed on the program during the grand reopening campaign—customers needed to join Germantown Hardware Rewards to be eligible for the prize drawings held at the event. Customer Loyalty Social Media Examples
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