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Annex Cloud’s customer marketing platform provides hundreds of leading brands and retailers with fully integrated Customer Loyalty, Referral Marketing, and User Generated Content solutions.

Retention Marketing Campaigns: How Murad Built Customer Loyalty and Advocacy
by Grace Miller | June 4, 2018 | Customer Loyalty

While previous company growth models have focused almost exclusively on expansion, research shows that customer retention also plays a major role in company success. For instance, 65% of a given company’s business comes from returning customers and 80% comes from the top 20% of loyal customers. In light of such research, many businesses launched retention marketing campaigns to help encourage and retain loyalty.

Meanwhile, loyal customers can also be converted into company advocates by offering interaction and referral incentives. While trust in brands has fallen, consumers still hold referrals and peer reviews in high regard. For instance, 71% of consumers report that they are more likely to purchase based on social media referrals. This has led many businesses to not only implement retention marketing campaigns but to also engage customers by offering rewards for advocacy and interaction.

Here is a look at how Murad, a skin care company that has been in business for over 25 years, successfully implemented a retention marketing campaign that increased customer loyalty and advocacy with powerful customer retention software.

Loyalty rewards programs: Murad

The Story

Founded by Dr. Howard Murad in 1989, Murad was the first brand of clinical skin care products. Having already established a strong brand identity and story, Murad believes in connecting skin care to physical and mental well-being. In fact, Dr. Murad was among the first to stress that skin care should be synonymous with healthcare during a 1990 lecture. Ever committed to providing the best experience possible, Murad wanted to do more for their customers while also continuing to grow and thrive in the modern market.  

Among the challenges was unifying Murad’s ratings & reviews, questions & answers, and visual commerce solutions, which in the past had been serviced by separate vendors. The use of multiple platforms had led to numerous reports from each vendor, which not only made it difficult to gauge consumer engagement but also failed to provide customers with a seamless experience. Due to this and the increasing competition of the global online market as well as the desire to reward customers, Murad was prompted to create a customer loyalty rewards program.  

Murad needed a platform that would allow for a seamless, hybrid loyalty program that could integrate loyalty rewards, advocate marketing, and user-generated content in the form of ratings & reviews and question & answer features.

Ratings & reviews platform: Murad

A Single Solution

Annex Cloud experts were able to provide Murad with a single platform that could seamlessly integrate customer loyalty and advocate marketing solutions.  Moving to a single, omni-compatible platform helped Murad create a user-friendly, customer-centered experience.

The Beauty Rewards Program

Murad’s new program, dubbed the Beauty Rewards Program, expands beyond the traditional loyalty rewards program to incorporate advocate marketing actions and user-generated content. While Murad customers still receive rewards for purchasing, they are also rewarded for social actions such as sharing a product on social media, referring friends, asking questions, and writing reviews.

The rewards offered are also expanded to help ensure consumer satisfaction. In addition to discounts for future purchases, Murad offers gift cards and even interactive experiences like free skin consultations. The rewards are updated every two months to allow for new incentives without creating confusion. A combination of new incentives with experience-based rewards has ensured that customers continue to stay interested, which in turn creates retention and engagement.

In addition to optimizing the Beauty Rewards program, Annex Cloud also helped create interactive, individualized dashboards for Beauty Rewards participants, which provides customers with a personalized experience. Participants can use the dashboard to track their progress, view their points and choose from available rewards.  

Murad loyalty program

Optimizing Social Actions

Annex Cloud created a unified platform for Murad’s ratings & reviews and questions & answers while also adding trackable buttons and implementing social login solutions. These were also integrated into the loyalty rewards and advocacy programs to make it easy for customers to earn points by posting reviews, answering questions, and even logging in via social media to share products, check out, or access their Beauty Rewards account.

The benefit of the unified platform also allowed Murad to collect comprehensive engagement data as well as customer feedback. Moreover, by giving customers a voice and a platform where that voice can be heard, Murad increased consumer trust in their brand, which in turn has helped consumers become better advocates.

Results

The Murad Beauty Rewards launched in November 2015. Since the launch, the program has acquired over 150,000 members and has seen an 18% conversion rate with social login. The program has also successfully remained active, having rewarded over 16 million loyalty points. The engagement strategy has prompted more reviews, ratings, and participation in the question & answer section. Some of Murad’s top products have over 400 customer reviews. With the help of Annex Cloud, Murad was able to launch a comprehensive customer retention and advocacy solution with a 41% ROI.

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