Introduction
To enhance Purplle's loyalty program for increased customer retention and more frequent purchases, we need to analyze the current program, identify pain points, and develop innovative solutions. I'll approach this by examining user segments, analyzing pain points, generating solutions, and proposing metrics for success.
Step 1
Clarifying Questions (5 mins)
Why it matters: Helps identify unique selling points and areas for improvement Expected answer: Our program offers similar points-based rewards but lacks personalization Impact on approach: Would focus on personalization and unique experiences
Why it matters: Determines the current effectiveness of the loyalty program Expected answer: Loyalty members purchase 30% more frequently with 20% larger baskets Impact on approach: Would emphasize increasing purchase frequency for non-members
Why it matters: Influences the channel focus for loyalty program enhancements Expected answer: 70% of loyalty interactions occur through the mobile app Impact on approach: Would prioritize mobile-first loyalty features and experiences
Why it matters: Identifies opportunities for expanding the loyalty program's value proposition Expected answer: Limited partnerships, mainly for product discounts Impact on approach: Would explore strategic partnerships for exclusive experiences and rewards
At this point, you can ask interviewer to take a 1-minute break to organize your thoughts before diving into the next step.
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