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Woolworths releases membership program

Walking into Woollies the other day, I was assaulted with a sea of orange balloons, big posters and something called the "Everyday Rewards Club".

Now this isn't a promotion for Woollies, but what I liked about this membership program is the way that it has been put together.

Firstly how it works : basically instead of getting a coupon on the bottom of your receipt for 4c off your petrol - there is now a card that collects your points so that you can redeem them at selected petrol stations. The big benefits of a physical card include:

a. Its better for the end user (i.e. they don't need to keep the vouchers)

b. It helps Woolworths track user spending habits, including what type of user is using the card for redeeming points.

c. Adds value to the program

Point b brings to me to my next point : the registration process. Woolworths has opted in for two options a physical registration process and an online process. However what they have done is brilliant and it's what we tell all our clients to do - they've offered an incentive to get people to register online (they get an extra 10c off per litre on their first use). Now this may be costing Woolworths a bit, but it saves them instantly (i.e. they don't have to pay for return postage), they don't have to pay for data entry and lastly online registration will ensure users are entering details correctly.

Finally by tying the card and the registration process together, Woolworths will be able to data mine their database allowing them to track individual spending habits and be able to tailor future promotions to match in with their users (targeted advertising!!).