Leveraging Deep Human Understanding to Reinvigorate Customer Loyalty

Dr Pepper Perks

Leveraging Deep Human Understanding to Reinvigorate Customer Loyalty

Challenge

Dr Pepper Perks is a rewards program that delighted the company’s passionate fan base when it launched in 2021, but a year later consumer engagement had declined. When Dr Pepper needed to re-evaluate the value of the program – which encourages customers to scan and upload receipts to accumulate points to redeem for product, gift cards, sweepstakes and merch – they approached Material to dig deep into customer motivations and develop a roadmap to shape the customer experience and rekindle enthusiasm for the program.

Approach

Launched a conjoint study to vet different program configurations and rate the likely behavioral impact on consumer participation
Audited technology and data flows to identify opportunities to deliver against business goals through deeper personalization and automation
Developed a financial plan, measurement framework and three-year innovation roadmap to optimize program economics, report on what matters for impactful business decisions and chart a path for program feature innovation
Activated the re-invigorated loyalty plan with fun new ways to earn Perks and digital-first rewards, including member-only access to new flavors and the Dr Pepper Tuition Giveaway

Outcomes

Our conjoint analysis highlighted customer drivers that informed the activation of the revamped loyalty program. With a deeper understanding of what motivated Dr Pepper’s loyal fans, we were able to increase ROI for the brand while improving the customer experience and personalization for end users. The results were dramatic: the Pepper Perks program saw a 56 percent increase in acquisition and a 57 percent increase in receipt validations year-over-year. No further proof is needed that Pepper Perks is enticing fans to earn the rewards they deserve!

Dr Pepper Perks