Monday, Dec 03 2012
A depressed economic climate and the slowing down of traditional spending has resulted in increased competition between brands, and brand owners scrambling to keep or gain market share whilst still trying to keep brand equity intact.
In response to this Legacy Lifestyle has strategically aligned various luxury brands to create a “Luxury Lifestyle Coalition”, where all Legacy Lifestyle members are able to earn and redeem rewards whenever they transact at over 150 of its Lifestyle Brand Partners. In addition, Legacy Lifestyle members have significant access to preferred rates at all Legacy Lifestyle Hotels, and enjoy a number of membership privileges offered through the Legacy Lifestyle programme.
“There is a shift in customers’ needs as they become ever more empowered and savvy through the wealth of information available to them. Brand owners therefore need to ask themselves if being given the 10th book free because you’ve already bought nine has any real customer value. We have opted to rather give the customer equivalent currency to either buy the 10th book or to redeem the equivalent value at any Lifestyle Brand Partner. That’s real value and real reward, and in turn, the customer is more loyal because of the value achieved from their custom,” says Legacy Lifestyle’s Mike Rowley.
One of the ways that Legacy gets this message across to consumers is via a Z-CARD®. Its latest cards are being inserted into the September issue of GQ Style magazine, alongside the Legacy Lifestyle double page spread, targeting readers, shopaholics and fashionistas.
“Our new Z-CARD® has been specifically produced for GQ Style readers, as there is particular relevance and traction between the GQ Style reader and our Lifestyle Brand Partners. This, together with the co-branded Pringle front cover, serves to provide favourable traction with readers,” says Rowley.
“We also decided to insert a membership card into the pouch on the Z-CARD®, as we believe that this can generate extra awareness for the promotion, as well as capture some wallet space from readers,” he adds.
The Legacy Lifestyle programme was developed after four years of research and then some three years of systems development. “It has been actively running for six months and we have seen an incredible uptake both of individuals becoming members and brands becoming partners,” Rowley confirms.
“Founded on simplicity, the programme ensures that rewards are earned as cash back, with a real cash value, where one Legacy Rand is equal to one Rand. We want it to be as easy to understand as it is for the consumer to use,” he adds.
The Lifestyle Programme aims to provide links between its Partners, as although the member LSM is very similar, a Pringle customer may never have visited the Boschendal Wine Estate before. “Legacy Lifestyle creates the connection. There is a golden thread throughout the offering, that of combining luxury and service together with strong brand integrity and equity to ensure a winning combination for customers,” says Rowley.
Positive feedback from customers has mostly been based on the simplicity of the rewards programme, as it’s free to register and has immediate benefits. “Our biggest challenge is that it is seen to be too good to be true, which is where we believe the Z-CARD®s in every store will help to educate and create awareness,” Rowley explains.
He describes Legacy as a lifestyle brand. “We have a strong luxury hotel presence and network but these too are founded on the ideology of iconic buildings in the most desirable lifestyle locations.”
He cites the example that as the only hotel group with hotels on Nelson Mandela Square, the company doesn’t sell a night in Sandton, it sells a night on the square and luxury lifestyle experiences. “The Lifestyle Programme seeks to foster and enhance the lifestyle which Legacy is able to offer its guests and members. Legacy is in turn the concierge to Lifestyle living.”
As there’s so much cynicism regarding loyalty and rewards programmes, Legacy has founded its programme on the basic principles of honesty, simplicity, integrity, transparency and immediate real reward.
“Our members have reacted incredibly well to the Z-CARD®s that we have had produced so far and, with a new cover on every revised card, we have found some members are collecting each edition to keep a set. This is quite remarkable” says Rowley.
Other aspects of Lifestyle’s rewards campaign include advertising in estate magazines, billboards in and around the Sandton and Rivonia areas, and both corporate and brand marketing collateral to increase Lifestyle’s presence in and amongst its brand partners and the general public.
For more information about Legacy’s Lifestyle Rewards Programme, visit www.legacylifestyle.co.za.
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