Customer loyalty case study: AUT
The Auckland University of Technology (AUT) owns and operates four cafes on campus, across their city and southern locations. Each new intake of students poses new challenges for the cafés, which face high competition from surrounding businesses.
Ensuring customers are provided with everything they need on a day-to-day basis is a big challenge for Yoyo Fu, AUT Café Coordinator. A key part of running a successful café operation, she says, boils down to, “providing good customer service, good food, and a great promotion”.
But, with students constantly leaving campus each semester, Yoyo knows customer loyalty is the key to ensuring her students keep coming back.
AUT had previously been using paper loyalty cards, but heard about Goody through its supplier Cerebos Coffee.
“We had been using the typical buy 6, get the 7th coffee free. Customers would collect them, only to throw them away”.
Yoyo and her team knew there was a smarter way to keep customers coming back and cut down on paper waste.
Monitoring on-campus behaviors, Yoyo picked up, customers had their smart-phones on them.
A double-shot into the 21st century
With Goody, AUT set up offers specifically for its coffee promotions. Each café has a Goody tablet which enables students to sign up directly to the AUT loyalty programme. The floor staff operate and monitor the system, in real-time.
Customers can choose to either pick up a Goody Card, or use the smartphone app, which loads rewards and coupons directly to their phones.
That’s great for Yoyo, because “9/10 of my customers have a smartphone. It just made sense to have an app they could replace their coupon cards with”.
Goody enables Yoyo to identify her new versus returning customers, how many rewards customers have claimed, and whether their promotions are driving results. “It’s helped me understand exactly how many customers are actually coming back – we couldn’t do that without them having a Goody Card”.
The secret to their success – “it’s all about convenience”
To date, AUT cafés have already had 7000 visits attributed to Goody, and more than 1,500 students sign up.
“I think we have so many sign-ups because the system is really simple to use and students, just get it”, says Yoyo.
To her surprise, Yoyo found the level of engagement was increasing rapidly throughout her social media channels. “Our Facebook pages have grown by at least 15% across sites”.
Yoyo believes, a big part of the sign-up growth is because Goody provides the convenience students demand. “With Goody, having an app means our loyalty programme is always with them. Convenience is a big part of our business”.