How Personalised Co generated 25% of its revenue from its loyal customers

It is no surprise that the global vitamin and supplements industry has reached 17.5 billion dollars in 2019 as consumers continue to embrace more sustainable and natural lifestyles. This new mindset has led to an 8% growth this year alone. But, with hundreds of new health and wellness products and services launching daily, it’s becoming more challenging for brands to attract and retain customers. Meanwhile, 77% of online vitamin and supplement sales are still made through Amazon.

So how can you increase customer retention and keep up with the competition?

In this blog, we’ll show how Personalised Co, a D2C supplement brand, increased its repeat purchase rates by 34% and began to generate 25% of its total revenue from its retained loyal customers.

👉 Who are Personalised Co?

Consumer demand already exists in the vitamin and supplements industry. However, core users are looking for more comprehensive and personalized product options. Recent research also proved that 61% of online customers are willing to become loyal customers if they receive a personalized experience. As a sustainable vitamin and protein brand that provides tailored supplements based on their customers’ lifestyle and habits, Personalised Co wanted to deliver a unique personalized experience to reflect their brand ethos and increase retention.

With this in mind, Velstar, a Shopify Plus agency, added a product suggestion integration with a pop-out to build longer-term, more valuable relationships by showing that Personalised Co understands its customers. Velstar also included a quiz landing page that uses a questionnaire algorithm to determine which personalized product is right for the customer.

👉 Delivering a personalized experience

To enhance this personalized experience further, working with Velstar, Personalised Co’s team created a loyalty program named Personalised Points that would deliver tailored rewards and benefits to secure customer loyalty.

Thanks to Personalised Points, customers get closer to unlocking exclusive rewards and monetary discounts with every purchase. For instance, customers who collected 150 points receive 5% off on their order. To delight their members further, Personalised Co also gifts customers 500 points on their birthdays.

“Personalised Co is a customer-first brand and we’re always looking for ways to engage our community and reward their loyalty. Our loyalty program encapsulates this commitment and allows us to show our members just how much we value them.”

Will Angel, Co-Founder of Personalised Co

👉 Strengthening shopper relationships

60% of a brand’s social-network-affiliated customers are emotionally connected to the brand. Personalised Co’s team recognized that they need to actively engage with shoppers on social media to keep the relationship alive after a conversion. To achieve this, Personalised Co offers 20 points to their members if they follow them on Facebook and Instagram.

👉 Building trust

Personalised Co’s team knew that trust is the key element of a strong relationship: 90% of online shoppers check out reviews before making a purchase. The more a customer trusts you, the more shoppers you’ll retain long-term. Therefore, Personalised Co encourages its members to leave a review by offering them 200 points in return. 

In just two months Personalised Co gained 60+ new reviews.

Read more about how to increase engagement via customer reviews.

👉  Turning members into loyal advocates

The rising competition in ecommerce can cause unstable customer relationships and increased acquisition costs. Fortunately, a recent study showed that a referred customer is 18% more loyal than a customer acquired by other means. Ultimately, the lifetime value of referred customers will be far higher over time. Personalised Co used their loyalty program as a vehicle to acquire new customers more cost-effectively, implementing a referral strategy that functions as a two-sided incentive.

To encourage their members to make a referral, Personalised Co offers 1,000 points. And, to convert the referred customer into a new member, Personalised Co also offers them a £10 discount on their first purchase and 100 points if they become a member.

Thanks to their referral strategy, Personalised Co has received more than 540 visits from their referrals and generated additional revenue.

Read more about referral marketing and how to make it a key part of your marketing strategy.

🚀 The results

Since the launch, Personalised Co has gone from strength to strength and consistently outperformed Shopify Plus’ averages. Working together with LoyaltyLion and Velstar, Personalised Co’s team achieved: 

  • 36% increase in member spend compared to non-redeeming members
  • 34% increase in repeat purchases made by loyal customers compared to non-redeeming members
  • 25% of its total revenue being generated by its loyal customers

If you would like to find out more about Personalised Co’s success, read our full case study.

About the author

Ipek

Ipek is a Product Marketing Consultant at LoyaltyLion. Before doing her Marketing masters at the Queen Mary University of London, she worked in top global advertising and marketing agencies providing creative strategies for both B2B and B2C clients. At LoyaltyLion, Ipek makes sure our readers get the best content about LoyaltyLion's features and how it can help to power your ecommerce businesses.

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