To launch new loyalty programs and offer personalized experiences to customers using first-party data, Super Retail Group invested $10 million.
The company, which owns brands like BCF, Macpac, Rebel and Supercheap Auto, reported that its group and unallocated costs amounted to a total of $19 million. This is $9 million more than the previous comparative period. They can be attributed to an additional $10 million in operating expenses.
Continue to invest in customer loyalty and data analytics
In addition, the company’s total online sales accounted for $236 million, which is 12% of the group’s sales.For the first half, the company achieved total group sales of $1.96 billion, a 15% increase from the previous comparative period.
According to Group Managing Director and CEO Anthony Heraghty, the company achieved “record sales” of $1.96 billion. The sales largely driven by a robust Black Friday and Christmas trading period.
Moreover, Heraghty mentioned that the group has 9.7 million active customers, which amounts to 72% of total sales. He emphasized that these customers are valuable assets to the company.
He adds, “We think this customer stickiness bodes well for the earnings resilience of the group throughout the economic cycle.That’s why we continue to invest in our capability, customer loyalty, and data analytics”.
Mechanisms to support personalization and customer loyalty capabilities
Heraghty said Super Retail Group is looking to improve “our understanding of key value items, traffic drivers, cross sellers [and] profit generators” and to reflect that in its “pricing architecture”.
According to Heraghty, the corporate strategy of SRG remains “unchanged” since its introduction in November 2019. The company’s core focus is on four brands, leveraging their proximity to customers. Connecting their omni retail supply chain, simplifying business, and excelling in retail.
SRG has reported that their strategy is still on track to create the necessary mechanisms. It will support personalization and customer loyalty capabilities. Heraghty also confirmed that a personalization trial is underway at BCF. Currently, it has reached about 50% of club members.