Guest Post: Caesars, Qantas, USAA, Tesco and Woolworths Named as Global Leaders in Enterprise Loyalty in COLLOQUY Report

In Customer Experience, Featured on App, Loyalty & CRM by Vaughn Highfield

Guest Post: Caesars, Qantas, USAA, Tesco and Woolworths Named as Global Leaders in Enterprise Loyalty in COLLOQUY Report

Caesars Entertainment, Qantas, USAA, UK grocer Tesco and South African retailer Woolworths are cited in a new report from COLLOQUY as the leading practitioners of Enterprise Loyalty, a customer-centric strategy capable of raising corporate revenues up to 20 per cent over time.

The Big Bang Theory of Customer Centricity is a collaboration between COLLOQUY Editorial Director Carlos Dunlap and me. The report defines Enterprise Loyalty as an organization-wide approach that a business undertakes to more profitably engage its best customers. This strategy puts best customers, not a product or service, at the heart of an organization's purpose.

Implementing the strategy means structuring merchandising, marketing operations, training, communications and even business locations in pursuit of a singular customer experience at every touch-point.

The report says that achieving an eight to ten per cent bump in top-line revenues is realistic in the early stages of deploying an Enterprise Loyalty strategy. When the strategy reaches maturity over three to five years, a total revenue increase of 15-20 per cent becomes attainable as new tactical levers drive results.

Caesars, Qantas, financial services provider USAA, Tesco and Woolworths are characterized in the report as being at the forefront of companies around the globe whose executives have seen the value of using customer data to inform all aspects of their operations – igniting a fresh focus on the customer.

All five companies were, in fact, finalists for the the Master of Enterprise Loyalty honors in the 2012 COLLOQUY Loyalty Awards.

Caesars knows each of the 40 million members of its Total Rewards program individually. It uses customer data to ensure that high-value guests receive individualized rewards, and management compensation is tied directly to customer satisfaction. Australia-based Qantas built a tiered frequent flyer program that capitalizes on information gleaned from social media, community feedback, on-board surveys and individual interviews. The program serves nine million members in a nation of just 21 million people.

USAA competes in the product-centric financial services industry but its federal savings bank, investment company and six insurance companies all report to a chief customer officer whose official title is Executive VP of Member Experience. At Tesco, customer data is the starting point for every aspect of grocery operations. The company's 300,000 employees, who also are customers, collaborate on new product development, service development and even supply chain development. Chief Digital Officer Matt Atkinson seeks exceptional insights from customer activity in order to "de-average the average world."

Loyalty card activity accounts for 70 per cent of overall revenue at Woolworths. Data gathering and analysis have become so precise that the retailer can pinpoint the departments or products through which people become Woolworths customers and what departments they'll cross-shop next.

Foundational to a state of the art application of Enterprise Loyalty are three broad principals cited in the report:

Enterprise Loyalty focuses on customers:

Enterprise Loyalty refocuses organizations around the customer, applying customer-specific insights to every aspect of business, from merchandising and pricing to new product or service development. Customer data informs operations, marketing and even store locations.

Enterprise Loyalty empowers data:

Enterprise Loyalty draws from transactional data, customer preferences and increasingly, social media activity—the big three of Big Data. It puts profit-based filters in place by focusing on high-value and high-potential customers.

Enterprise Loyalty sustains long-term growth:

By engaging the right customers in rewarding relationships, Enterprise Loyalty infuses the organization with a long-term growth outlook. The strategy focuses the entire business on a profitable future.

Compared to operational excellence and product innovation, Enterprise Loyalty is the one overall approach that ensures businesses of sustainable and profitable growth.

Bruce Kerr brings more than 20 years of executive-level experience to his role as President, LoyaltyOne US. He applies his expertise in customer management, analytics and loyalty marketing to building successful corporate and brand partnerships. He can be reached at


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