The Independent Yogurt Shop
A Sundrop Mobile client, a self-serve frozen yogurt shop located in South Carolina, offers nearly endless combinations of varying frozen yogurt and toppings. A customer serves themselves frozen yogurt and can then add toppings before weighing and paying a set price per ounce. Opened in July 2010, this client was looking for a way to differentiate themselves from other frozen yogurt / ice cream shops, increase awareness and grow a loyal customer base.
Need
An Immediate Registration Process to communicate specials and rewards to customers.
As a new store, this client recognized the need to gather customer information to communicate special offers and rewards for returning customers.
Solution
By implementing loyalTXT, the “card-less” mobile loyalty solution by Sundrop Mobile, integrated with their National Computer Corporation (NCC) Point of Sale System, this frozen yogurt shop was able to seamlessly integrate mobile loyalty into their daily operations.
The frozen yogurt shop employees ask customers at the time of purchase to join their loyalTXT mobile loyalty program, which simply requires the customer to provide their 10-digit mobile number while paying for their purchase. The customer’s mobile number is entered into the POS system and the customer immediately receives an SMS text message welcoming them to the frozen yogurt shop rewards program, and begins the process of collecting the remainder of the consumer’s contact information.
Results:
- By the end of the third week of business the frozen yogurt shop had more than 820 registered members in their mobile loyalty program.
- In an effort to drive revenue and remind past customers that this frozen yogurt shop is an excellent weekend evening destination, the client scheduled an SMS text blast for deployment at 11:00 AM Friday morning. The text message advertised yogurt at a discounted price per ounce for mobile loyalty members, available only between 9:00pm and 11:00pm that Friday night and the following night. Non-members were required to pay the regular per ounce price.
- This client experienced a 27% redemption rate for the four hours of the promotion with a corresponding increase in revenue during the promotion period of approximately 1,000% compared to the same time period during the previous three weeks.
Epilogue, The Success Continues…
- At the end of the fourth week in business the yogurt shop had 1,367 registered members in their loyalty rewards program. A 66% growth from the previous week.
- By the sixth week, the shop had over 3,000 registered loyalTXT customers (120% gain in two weeks) and was experiencing new customers asking to join the program before the staff even promoted it to them.
- This yogurt shop received feedback from loyalty rewards program members who were unable to redeem the first text offer because of its narrow time restrictions (9-11pm Friday and Saturday night). For example, parents of small children were unable to redeem the offer because the time was past their children’s bedtime.
- Based on this particular feedback, the yogurt shop scheduled a new SMS text blast on Saturday afternoon for redemption the next day between 1:00 PM and 5:00 PM.
- The client saw an increase in revenue of more than 300% compared to the same time period during the previous two weeks.
Conclusion
Their Director of Operations, said, “I sent a text blast and 12% of my loyalty base took advantage of my offer, creating a great ROI. I’m impressed with the simplicity and the immediacy of loyalTXT™.”
By taking advantage of loyalTXT™ from the very beginning and implementing a plan to capture mobile numbers for all of their customers, This yogurt shop has generated enough incremental revenue in one month from loyalTXT promotions to pay for the program for the entire year.