Dan Murphy’s is an Australian liquor retailer owned by Endeavour Group, with 250 stores across the nation. Their loyalty program 'My Dan’s’ (originally named ‘My Dan Murphy’s) launched in 2014.
Challenge
My Dan’s acquired 2.2m members in its first year, however at the end of that year the business identified declining participation.
The value that members were receiving was low, with the program offering a small range of discount offers, periodic tasting events and monthly competitions (with automatic entry for scanning).
Solution
Loyalty & Reward Co were engaged to turn the program around.
Initial market research identified that the declining participation was caused by a lack of perceived value.
Members reported that they weren't scanning their card because the product they were purchasing did not include a member discount and they felt they were unlikely to win the competition.
The redesign project culminated in significantly expanding the volume of member exclusive offers, trialling a bigger prize pool for monthly competitions and developing a new segmentation model to support better personalisation of communications.
Impact
The program changes quickly turned the engagement rates around. My Dan’s now has over 6.2 million members and is one of the most frequented loyalty programs in Australia.
