The value of a LIKE: How Social Media Can Drive Sales

Emmie Fukuchi

AVP, Digital, AIR MILES Reward Program

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

What is AIR MILES?

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Canada’s premier coalition loyalty program since 1992

More than 10 million active AIR MILES Collector accounts

There are 1,000 swipes card a minute, every minute of every day, seven days a week

We have over 200 Retail and Online partners and 20,000 locations

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

Social is an Evolution of Our Strategy

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• Direct Mail• Email• Web

Targeted relevancy

• 1:1 mailings• Digital

integration

Personalization• Mobile

applications• In-store• Peer to peer

Accessibility

• Influence• Channel+

content relevancy

Social Media

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

AIR MILES Social Media Purpose

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A venue for advocates to share their

passion and provide input

Leverage advocates to

influence other consumers

Drive behavioral change and incremental

sales

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

2009

FB Fan ExclusivesPinterest Launch

20122011

Facebook Applications

Strong focus on Fan Growth

Facebook and Twitter Launch

2010

AIR MILESCommunity

2009

Our Social Media Roadmap

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

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Does Social Media impact sales?

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

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Social drives a 15-30% lift in sales

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

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Largest lift from medium/low segments

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

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What we learned …

• Social media can drive incremental and sustainable sales lift (when properly set up)

• Keep in mind the true meaning of social

• Integrate social with loyalty … tap into advocates to influence others

• Identify and prioritize high potential consumers

• Measure the impact so you can optimize

• Consider this a test and R&D lab

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

AIR MILES & Facebook

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• Key social media platform for AIR MILES

• 745,000 Fans (top 5 brands in Canada) • over 500,000 fans acquired in 2011

• AIR MILES Collectors:• 86% use social media• 95% of them are on Facebook

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

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Facebook Questions

FB Status Updates

How we use Facebook

Facebook Ads

Customer Service

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

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Social Media drives engagement

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Impact of Facebook Engagement on Transactions

FB Users Baseline

Month

Tran

sacti

onal

Val

ue (A

M/C

oll)

Post FB Join

Avid Moderate Passive

1%

6%5%

Transactional Lift by Program Engage-ment – After 3 months FB Engagement

Avid Moderate Passive

3%

10%

13%

Transactional Lift by Program Engage-ment – Within 3 months FB Engagement

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

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How do we optimize Facebook posts?

• Be short and to the point

• Include a call to action early

• Be timely and relevant

• Use photos and videos

• Think like a friend, but …

• Be brand appropriate

• (Ads do boost results)

Better – 10X Virality

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

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Where do we go next?

Research + Analysis

Evaluate New Capabilities

Optimize Page + Campaigns

• Data analytics• Key insights

• Applications• Mobile• 1:1 Personal

• Engagement• Content• Ad strategy

AMRP | April 7, 2023

All information contained herein is confidential and/or proprietary information of LoyaltyOne, Inc. and any unauthorized use and/or any disclosure is strictly prohibited.

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© 2010 LoyaltyOne, Inc. ®™ Trademarks of AIR MILES International Trading B.V. Used under license by LoyaltyOne, Inc. LoyaltyOne, Inc is an Alliance Data Systems Company.All rights reserved. No part of this material may be produced in any form without the written permission of the owner. No representation or warranty of any kind is made with respect to the content hereof and no liability is assumed for errors contained herein or for incidental or consequential damages in connection with the furnishing, performance or use of this publication or its contents.