Why Nectar paid attention to online enhancement

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By: Wise Marketer Staff |

Posted on November 11, 2004

Why Nectar paid attention to online enhancement

When LMUK recognised the need to improve communications with the Nectar programme's members and thus increase collector transactions, the company overhauled its website with help from Conchango.

With an increasing number of sponsor partners and rewards options, the operators of the UK loyalty programme, Nectar, needed to find a way to clearly and effectively communicate the benefits of the programme to its collectors. It also needed to simplify the process of redeeming points for rewards and offer improved self-service options.  Following a competitive three-way pitch, Conchango was chosen to overhaul Nectar's website and to devise and implement an on-going on-line marketing strategy.

New activities The new Nectar website enables collectors to carry out several new activities. They can now:

  • Redeem points online for a wide range of rewards including days out with the family, cinema tickets and a range of products delivered direct to their door.
  • Search for the reward of choice by category, points range or keyword.
  • Get an instant view of the rewards they can currently afford through the "What can I get?" feature.
  • Check their points balance and detailed transactions, showing how many points have been earned and redeemed.
  • Find out where points can be earned and redeemed with a store locator map showing the closest stores based on their postcode.
  • Have all queries answered efficiently with the enhanced help system.
  • Find out how to collect points with the latest information on all Nectar sponsors.

Since the launch of the new website in March 2004, the number of calls to the Nectar call centre and the number of email queries via the on-line FAQ system have reduced significantly, as collectors have been able to find the information they need on the website. Website page impressions have increased by 41%. Over half of "Nectar to Your Door" rewards are now being redeemed online.

Three key stages The redesign of the website was carried out in three key stages:

  1. An in-depth envisioning process: Conchango worked closely with LMUK to consider the different features and functions that could potentially be implemented into the new website. Conchango analysed collector behaviour in order gain an accurate understanding of some of Nectar's typical customers. A number of "user personas" and scenarios were then created, enabling Conchango to map the collector's interaction with Nectar both on and off-line. Conchango was then able to prioritise and scope the first release of the website within a realistic budget.  
  2. Detailed planning and specification: A number of proof of concepts were carried out before Conchango built an extensive prototype for the website. Nectar collectors were asked to test the site usability while customer focus groups reviewed alternative designs.  
  3. Website development: Finally, as the website development was going to be undertaken by an LMUK partner, the prototype ensured that LMUK had a clear picture of what the final site should look like and how it should function. Meanwhile the development partner had production quality presentation layer code and design to work with from day one. LMUK was therefore able to guarantee there was no confusion regarding the expectations and requirements of the project between the various partners.

Continually assessed After launching the revised web site, Conchango was retained as Nectar's on-line marketing agency, with a remit to continually assess the website content and functionality and to devise on-line strategies to attract collectors to visit the site.

Since its launch by Loyalty Management UK Ltd (LMUK) in September 2002, Nectar has attracted over 50% of UK households as collectors. The presence of heavyweight founding sponsors Sainsbury's, Barclaycard, Debenhams and BP, coupled with a high-profile advertising campaign, helped the scheme to quickly gain momentum.

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