Bill Hanifin
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In this second installment of “Why Loyalty”, we share our impressions of the new loyalty offering from footwear retailer, Skechers.
Skechers has made admirable progress in evolving the meaning of its brand and in the process is broadening the size of its potential markets. Not so long ago, the brand seemed linked to a quirky type of “fitness” shoe that appealed to people spending lots of time on their feet or those experiencing back problems and the like. If you’re familiar with the uniquely shaped shoe that made Sketchers a familiar name, you know what I mean.
The product line has expanded in several directions and has grown to include sporty shoes for casual wear to urban styled shoes that have become the choice of not just individuals, but schools as part of their mandated uniforms. To our surprise, they are also making a serious run at establishing the Skechers brand as a serious running shoe. Pick up a current copy of Competitor Magazine in your local running store and you’ll see Meb Keflezighi advertising the new brand of Skechers running shoes intended to encourage mid-foot striking.
Visiting one of their flagship stores in Los Angeles area, I noticed placement of enrollment packages for Skechers Elite throughout the store. To their credit, Skechers seeded the invitation to join its loyalty program throughout the store, not just at cash register. Who knows, maybe the urge to find out “what’s in it for me” might even tip an undecided patron towards purchase of a new pair of shoes.
When I opened the brochure, the offer was clear as a bell, mostly due to the fact that it was the “me too” offer that is the mainstay of retail mall loyalty programs. Earn a 20% discount on next purchase for enrollment (mailed to the member after registration is complete) and otherwise earn points for dollars spent, equating to a 10% deferred discount.
The only thing missing from the package was an offer for a private label credit card. Also known as the “store charge card”. Don’t worry however, as we encountered that loyalty standard at Banana Republic, the subject of our next installment in “Why Loyalty”.
For Skechers, the offer was just too predictable. For a brand with the personality of Skechers, some other options were available. I wonder if they could have used a white label version of Belly or some other point-of-sale driven rewards model to offer patrons highly experiential in-store rewards instead of the tired “% off” model?
Loyalty Truth: Consumers in the digital economy are well informed, skeptical of marketing offers, and have shortened attention spans. Instead of launching the tried and true, why not rip up the script and create a value proposition that centers on the store visit and drives repeat traffic?
