The Keurslager makes saving points attractive for all target groups
The Keurslager started with a stamp booklet in the 1960s, and the consumer could only save for a handful of products, but this changed when the Association of Keurslagers (Butchers) switched to a fully digitised loyalty system in April 2020. This system includes a gift shop with over 1,400 products. The Keurslager aims to attract a younger target group with this online focus. Sparco worked with Intersolve to set up and roll out the online gift shop. I spoke to Linda and Petra about the result: a modern form of customer loyalty that all target groups can relate to. And that prepares the Keurslager for the future.
Linda Uijtewaal, the Marketing Communication Coordinator at the Association of Keurslagers, is involved in all national communication towards consumers, including via the website, Proef magazine, the social media channels and the loyalty programme.
Petra de Ruiter, who has worked for the Association of Keurslagers for 21 years, is responsible for the executive part of the Stichting Beheer Keurslager Spaarsysteem (SBK). This is a separate branch within the association that manages the proceeds of the points purchased by the consumer.
The Keurslager brand has been around since 1946. This brand has grown into the top butcher’s formula in the Netherlands with almost 400 Keurslagers spread across the country. What the Keurslager stands for has remained unchanged: professionalism, craftsmanship and advice. Expressed in the pay-off: understanding tasty meat.
“You used to have to wait 2 weeks before you could pick up your saved products at the Keurslager. Today’s consumers no longer accept that.”
Adapted to today
Sparco developed a digital loyalty programme for the Association of Keurslagers in April last year. The limited gift range and outdated customer loyalty system were the main reasons for this. The old system was still supplied by wholesalers, which meant that consumers sometimes had to wait 2 weeks for gift items and then collect them from the store themselves. However, today’s consumers are used to the fast delivery times offered by the online giants and expect the same service from other retailers. The system had to be adapted to today’s requirements.
The result was the launch of a fully digital store front in which points can be redeemed, an enrichment of the number of premiums, faster delivery times and a well-organised back office for customer service. This has resulted in a positive change for both the saver and the internal organisation.
“By simplifying the customer journey, Sparco has significantly reduced the pressure on the help desk.”
Pressure on the help desk reduced
The Association of Keurslagers was looking for a party that could also facilitate customer service. Sparco helped the Keurslager with the provision of information for the new programme by visually mapping the step-by-step plan and simplifying the customer journey. This has considerably reduced the pressure on the help desk, which was still considerable shortly after going live. The target group 50+ now also appears to be handling the digital options well.
The loyalty programme in practice
The Keurslager offers consumers the opportunity to purchase points when shopping. Customers pay 5 euro cents per point, which is converted to a higher value in the loyalty programme. After purchase, a point is worth 32% more. The aim of this is customer retention and the stimulation of repeat purchases. And, as mentioned, to rejuvenate and expand the customer base.
To participate in the loyalty programme, the customer can request a free card from the Keurslager. You can use the saved points to buy meat products in the store or exchange the points via the digital loyalty programme for around 1,400 items, from physical products to digital gift cards.
Sparco manages the gift shop, including the gift assortment. The points administration, linked to the PIN payment terminals of the Keurslager, is processed via Intersolve’s external transaction platform. The loyalty programme has a full API integration with this platform. As soon as a customer logs into the loyalty programme, he or she will see the current balance of the card in real-time. The search for a gift, the selection, the placing of an order: these all run in sync. Thanks to the integration with Intersolve, the registration and activation of the card now also take place simultaneously. In short, Sparco has ensured that the operations surrounding the loyalty programme are centralised as much as possible.
“You can control behaviour with specific promotions. The next step is to get people to redeem more points.”
Directing behaviour with promotions
What stands out about the new gift shop and the wider range is that consumers remain loyal to household items. However, Sparco does initiate promotions with articles that are sometimes foreign to the Keurslager. If they are encouraged by Sparco, they also score well. For example, Sparco devised a scratch card promotion for the holidays, which was well received. This shows that you can control behaviour with specific promotions. The next step is to investigate how you can encourage people to participate in the loyalty programme even more or to redeem more points. In this, the Keurslager is assisted by the expertise of Sparco.
Binding a younger target group
Corona has ensured that the younger target group comes to the Keurslager of its own accord. Because the restaurants are closed, people go to speciality stores more often. Now is a good time to bind this target group. After all, the younger target group is less loyal to brands and stores. But the high return of the loyalty programme triggers participation and makes repeat purchases attractive.
One wish for the future is to be able to offer the savings card by phone. The infrastructure of the Keurslager can’t handle this yet, but to keep the younger target group coming back in the longer term, ‘saving without a card’ is essential.
Partnership with Sparco
“The fast delivery time, good prices and digitisation of the programme: the development that we have been able to realise with Sparco in the past year is a fast forward to this time. Now we are going to look at how we can take this digitisation one step further. With the cooperation and expertise of Sparco and Intersolve, we will certainly succeed. We are also very happy that we do not have to deal with technical details and processing and shipping costs. The fact that Sparco takes care of this for us gives us a lot of peace of mind.”Linda Uijtewaal