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How ASDA leveraged Eagle Eye's market-leading loyalty platform and expertise to launch 'ASDA Rewards', deployed just 3 months after project kick-off.

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Case Study:
Tesco Clubcard Challenges
.

Leveraging the power of mass marketing to deliver personalization at scale.

10
million

Clubcard members targeted with Clubcard Challenges

76
%

of distinct visitors to the Clubcard Challenges pages converted to players

62
%

of players converted into winners (reaching first reward)

The Challenge

Tesco's pioneering loyalty program, Tesco Clubcard, launched in 1995 as one of the first initiatives of its kind and has grown to attract over 23 million members. Never wanting to sit still, Tesco were seeking out new and innovative ways to deliver value to their loyalty base and to further increase the relevance of the Clubcard program through personalization.

Personalized Challenges

The Solution

In May 2024, Tesco launched Clubcard Challenges, powered by Eagle Eye's AI driven solution, giving customers the opportunity to collect up to £50 worth of Clubcard Points in 6 weeks by completing personalized challenges.

Eagle Eye's AI models make over 190 intelligent decisions to assign a single personalized challenge to an individual, ensuring that the targeted products/categories and the spend and reward thresholds are perfectly tailored for each participant. Each challenge is designed to reward incremental spending, ensuring benefit for the customer, retailer and participating suppliers.

In 2024, Tesco ran four separate 6 week campaigns, progressively increasing the number of customers being included in the campaign due to their great success, with the latest campaign being targeted to 10 million customers across the UK.

The Results

  • 10m Clubcard members targeted with Clubcard Challenges
  • 76% of distinct visitors to the Clubcard Challenges pages converted to players.
  • 62% of players converted into winners (reaching first reward).

A Record Breaking Christmas!

Tesco announced their "biggest ever Christmas performance" in 2024 reporting that Clubcard Challenges contributed to a record level of digital engagement.

"Our customers continue to benefit from increasing personalisation and great value with Clubcard. Customers collected over half a billion extra Clubcard points over the period through Clubcard challenges"
Ken Murphy
Tesco CEO

Why Clubcard Challenges Are So Successful

1-2-1 Marketing at Scale

1-2-1 Marketing at Scale

Tesco are able to deliver hyper-personalised experiences to 10m of their loyalty customers with one solution which is seamlessly integrated into their existing scheme.

Digital tracking

Digital Tracking

The Challenges proposition leverages the principle that individuals tend to increase their effort and motivation as they get closer to achieving their goals. It also encourages customers to engage with the Tesco app, increasing digital engagement with the overarching Clubcard program.

Delayed Gratification

Delayed Gratification

Customers receive the total sum of all their rewards earned at the end of the 6 week campaign period, allowing customers to earn up to £50 worth of Clubcard points in one go, rather than smaller increments typically offered by traditional promotions.

Supplier participation

Supplier Participation

Tesco successfully incorporated both own-label and branded challenges into their campaigns, unlocking new supplier revenue, strengthening supplier relationships, and offsetting some costs.

Profitable by Design

Profitable by Design

EagleAI’s algorithms ensure that only incremental spending is rewarded on favourites and new products/categories, resulting in a win for customers, Tesco and participating suppliers.

Marketing themes

Marketing Themes

Tesco themed each campaign around significant marketable events, such as the Olympics and Christmas, creating a compelling and timely narrative that was perfectly integrated to their wider marketing calendar which resonated with customers and encouraged their active engagement.

 

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Recognized by Industry Experts
Gartner logo

Market Guide for Loyalty Program Vendors
2023

Forrester logo

Loyalty Technology Solutions Landscape
Q4 2022

IDC logo

IDC MarketScape: Worldwide Retail Loyalty Software Providers 2024

Loyalty360 logo

Technology Today Report
2021