UK retail giant Tesco is to start using its Clubcard data to broadcast personalised emails. For many years they have been sending Clubcard members personalised coupons by direct mail but this is the first time they have sent personalised emails.

The coupons by post are sent out quarterly as part of a massive logistical operation. By using email, they have the potential to send coupons more frequently. The huge savings in paper, distribution and postage will also be appreciated by Tesco.

Tesco’s loyalty card scheme has consistently provided an excellent marketing return on investment and importantly provides Tesco with great insight to improve its customer offer on a store by store basis.

It is perfectly possible and affordable for a small or mid sized company to replicate a simplified version of the Tesco Clubcard loyalty scheme to grow customer lifetime value.

Important lessons for companies big or small

  • are you collecting customer data?
  • how could you use this data to improve your understanding of their requirements?
  • could you develop personalised offers relevant for each individual?
  • do you have an advanced email system to broadcast personalised and dynamic emails?
  • are you monitoring web metrics to highlight what’s working and what isn’t?