Loyalty programs play a significant role in retailers’ efforts to bring consumers into the store and keep them coming back. Today, traditional retailers are taking steps outside of their core industry to boost loyalty among consumers. One successful entry into this growing retail segment is the Fuel Rewards Program. Shell is the network’s redemption partner, with more than 12,000 U.S. gas stations participating in the program. Retail partners linked with the Fuel Rewards program have included J.C.Penney, Kmart, Macy’s and The Home Depot.
Launched in 2012, Fuel Rewards has acquired more than 5.5 million members in three years. Across all categories, 78% of Fuel Rewards members redeem their rewards within 20 days of earning them when shopping or dining.
The grocery segment is one of the fastest-growing Fuel Rewards partner groups. “Because of the everyday nature or the very frequent purchasing behaviors of consumers going into grocery stores, we have a variety of different grocer partners as part of the program,” said Megan Flynn, EVP of Business Development for the Fuel Rewards program. “Consumers can go ahead and earn on their cumulative spend towards savings at the gas pump.”
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Grocery partners include BI-LO, Save Mart Supermarkets and Winn-Dixie. Darden Restaurants also serves as a key partner in the program, providing members dining at the Olive Garden with an opportunity to redeem their cards.
Partners Create Custom Fuel Rewards Offers
Retailers taking part in the coalition can create customized feature offers that are compatible with the rewards program. That way, each company can cater to their specific consumer base appropriately by offering the most relevant rewards.
“From a retailer’s perspective, [Fuel Rewards] does not discount the brand,” Flynn said in an interview with Retail TouchPoints. “It’s not teaching consumers to wait for different discounts to occur. Because of the way that it is structured, we have multichannel touch points throughout the communication strategy with our members. We have email addresses, we have a mobile app where we can send in-app messages, and we can send SMS messages. Whether we’re promoting an individual retailer or we’re promoting the program overall, everybody benefits from the awareness.”
Upon signing up for the program either online or at a Shell convenience store, consumers can pick up a Fuel Rewards card and link it to their existing credit, debit and participating loyalty cards from merchant partners. Users looking to “go cardless” can create a mobile profile on the Fuel Rewards mobile app when they go to procure a member ID. More than half of the program’s online business takes place on a mobile device, according to Flynn.
“More than 60% of our emails are opened on smartphones,” Flynn said. “We try to keep our pulse on what consumers are doing through our own research in monitoring and making sure that we are keeping with industry trends. We spend a lot of time making sure that the presentation of the offer and the specific messaging and content is captivating, enticing and something that’s going to make them want to open it on their phone. Those who haven’t downloaded the app yet are also viewing a responsively designed web site online for ease of view.”
Fuel Rewards includes an automatic $.03 savings minimum every time a member pumps gas at a Shell station.
“Once you become a member, you will never have to pay full price for gas again, even if you haven’t shopped, dined, visited or traveled at any other participating categories,” Flynn asserted. “Of course we want you to patronize those locations and those categories, but we make sure that there’s always an everyday savings opportunity for our members.”
