Reducing Churn with Streak & Loyalty Program
Reducing Churn with Streak & Loyalty Program
Overview of the Project
TokyoTreat, Yumetwins, Sakuraco, and NoMakeNoLife are subscription-based services offering curated Japanese snack and lifestyle boxes. One of the key challenges we faced was a high churn rate of 7% for our monthly subscriptions. A significant reason for this was that customers felt they were not getting enough value for what they were paying. To address this, we introduced a gamified streak and loyalty program designed to enhance customer engagement and retention.
Overview of the Project
TokyoTreat, Yumetwins, Sakuraco, and NoMakeNoLife are subscription-based services offering curated Japanese snack and lifestyle boxes. One of the key challenges we faced was a high churn rate of 7% for our monthly subscriptions. A significant reason for this was that customers felt they were not getting enough value for what they were paying. To address this, we introduced a gamified streak and loyalty program designed to enhance customer engagement and retention.
Overview of the Project
TokyoTreat, Yumetwins, Sakuraco, and NoMakeNoLife are subscription-based services offering curated Japanese snack and lifestyle boxes. One of the key challenges we faced was a high churn rate of 7% for our monthly subscriptions. A significant reason for this was that customers felt they were not getting enough value for what they were paying. To address this, we introduced a gamified streak and loyalty program designed to enhance customer engagement and retention.
Sole Product Designer responsible for the entire loyalty program experience.
Tools used: Adobe XD, Figma, Photoshop, Illustrator.
Sole Product Designer responsible for the entire loyalty program experience.
Tools used: Adobe XD, Figma, Photoshop, Illustrator.
Key outcomes & impact
Key outcomes & impact
Churn rate reduction from 7% to 1.9%, significantly improving customer retention.
Churn rate reduction from 7% to 1.9%, significantly improving customer retention.
Churn rate reduction from 7% to 1.9%, significantly improving customer retention.
Increase in subscription upgrades, as users moved from monthly to longer-term plans due to tier-based rewards.
Increase in subscription upgrades, as users moved from monthly to longer-term plans due to tier-based rewards.
Increase in subscription upgrades, as users moved from monthly to longer-term plans due to tier-based rewards.
Enhanced brand engagement, with customers exploring and redeeming rewards across multiple brands.
Enhanced brand engagement, with customers exploring and redeeming rewards across multiple brands.
Enhanced brand engagement, with customers exploring and redeeming rewards across multiple brands.
Reduction in wasted inventory, utilizing surplus and near-expiry items as rewards to minimize waste while adding perceived value.
Reduction in wasted inventory, utilizing surplus and near-expiry items as rewards to minimize waste while adding perceived value.
Reduction in wasted inventory, utilizing surplus and near-expiry items as rewards to minimize waste while adding perceived value.
Process
Research & Insights
Conducted customer surveys post-cancellation to identify pain points.
Analyzed customer feedback and reviews to understand perceived value gaps.
Collaborated with business stakeholders, directors, and the CEO to align the loyalty program with business goals.
Process
Research & Insights
Conducted customer surveys post-cancellation to identify pain points.
Analyzed customer feedback and reviews to understand perceived value gaps.
Collaborated with business stakeholders, directors, and the CEO to align the loyalty program with business goals.
Research
& Discovery
Analysis & Solution
Development
Collaboration &
Alignment
Validation &
Feedback
Research
& Discovery
Analysis & Solution
Development
Collaboration &
Alignment
Validation &
Feedback
Strategy & Solution
Building an Ecosystem & Currency
Created a loyalty points system redeemable across all four brands.
Encouraged cross-brand engagement by allowing points to be used interchangeably.
Utilizing Excess Inventory
Integrated near-expiry and leftover inventory from previous boxes as redeemable rewards.
Minimized waste while enhancing the perceived value of the loyalty program.
Gamified Experience Design
Designed an interactive Tokyo map where users progress and unlock rewards.
Streak-based engagement encouraged consistent subscriptions and participation.
Tier-Based Incentives
Subscribers received more points based on their subscription tier (3, 6, or 12 months), incentivizing longer commitments.
Strategy & Solution
Building an Ecosystem & Currency
Created a loyalty points system redeemable across all four brands.
Encouraged cross-brand engagement by allowing points to be used interchangeably.
Utilizing Excess Inventory
Integrated near-expiry and leftover inventory from previous boxes as redeemable rewards.
Minimized waste while enhancing the perceived value of the loyalty program.
Gamified Experience Design
Designed an interactive Tokyo map where users progress and unlock rewards.
Streak-based engagement encouraged consistent subscriptions and participation.
Tier-Based Incentives
Subscribers received more points based on their subscription tier (3, 6, or 12 months), incentivizing longer commitments.
Learnings & Other Notes
Resourcefulness is key: Utilizing existing assets, such as excess inventory, can add value without increasing costs.
Balance user needs with business goals: The best solutions align customer satisfaction with revenue growth.
Gamification drives engagement: A visually interactive and rewarding system fosters long-term retention.
Cross-brand strategy enhances visibility: Encouraging users to explore other products within the brand ecosystem improves customer lifetime value.
This initiative successfully turned a challenge into an opportunity, proving that strategic, resourceful design decisions can lead to both business and customer success.
/ Kendrick Pingkian
/ Kendrick Pingkian
Learnings & Other Notes
Resourcefulness is key: Utilizing existing assets, such as excess inventory, can add value without increasing costs.
Balance user needs with business goals: The best solutions align customer satisfaction with revenue growth.
Gamification drives engagement: A visually interactive and rewarding system fosters long-term retention.
Cross-brand strategy enhances visibility: Encouraging users to explore other products within the brand ecosystem improves customer lifetime value.
This initiative successfully turned a challenge into an opportunity, proving that strategic, resourceful design decisions can lead to both business and customer success.
/ Kendrick Pingkian
/ Kendrick Pingkian