Nigerian bank starts 'total relationship' loyalty scheme
The Nigerian bank, United Bank for Africa (UBA), has launched a ground-breaking customer loyalty programme called 'Lion's Pride Reward Program' for its retail banking customers.
The Lion's Pride Reward Program was designed by Nigerian customer loyalty agency Loyalty Solutions to reward the bank's customers for the totality of their relationship with UBA. The programme rewards customers with a promotional currency called PridePoints, based on their transactional behaviour with both UBA and other programme partners.
Earning points PridePoints are awarded for three broad types of customer activity:
- The uptake of a product or service (e.g. card activation, or opening an account);
- Increased deposits and investments (e.g. committed regular monthly savings);
- Transactions on debit and credit cards, as well as through electronic channels.
Customers earn 500 bonus PridePoints for opening a current/cheque account and activating an ATM or debit card. They can also earn 100 bonus points for opening a savings account. ATM and debit card transactions linked to current accounts earn 2 PridePoints for every N2,000.00 (approx. US$15) spent. Members earn 4 PridePoints for every N2,000.00 in credit card spending. PridePoints can also be earned at a rate of up to 1% of savings account balance growth each year.
Burning points PridePoint redemption is available to customers via the programme's online rewards catalogue, called the UMart. The UMart provides access to a variety of benefits and goods, both from UBA itself and from other redemption partners. The rewards are split into three categories:
- Merchandise rewards - such as physical goods and UBA branded items;
- In-house rewards - such as benefits and services available from companies under the UBA Group banner (e.g. UBA Unit Trusts, or Savings Account Booster packages where the customer can purchase interest rate increases for their savings account);
- Third-party rewards - such as money-off vouchers, and gift certificates from various programme partners.
For example, according to Mr Funwa Akinmade, head of the loyalty project for UBA, customers can redeem PridePoints for rewards such as telephone airtime, household items, electronic appliances, travel tickets (both land and air), free insurance cover, and mutual fund investments, among others.
Programme partners The programme has signed up a number of national and regional partners in the food, automobile, travel, entertainment, apparel and hospitality sectors. These provide a mixture of discounts, special privileges, and VIP status benefits. Programme partners currently include MTN, Starcomms Telecommunications, ABC Transport, Virgin Nigeria, Garment Care Drycleaners, Laterna Cash & Carry, Laterna Bookshop, Bakers World, Proflex Gyms, Bevista, and Buckles, among others.
According to Mr Kolapo Ademola, CEO for Loyalty Solutions, "UBA's loyalty programme is the outcome of UBA's commitment to give back to its customers for their long standing patronage." Loyalty Solutions (LSL) is a specialist loyalty marketing consultancy with over 20 years of experience, proven strategic processes, and methodologies for the design, implementation and execution of loyalty solutions and best practices. The company's clients include First Bank of Nigeria, Ruff 'n' Tumble Stores, Silverbird Galleria, Speakeezee Cellular, Hygeia HMO, DHL, and Cadbury Nigeria.