B2C Customer Loyalty & Buying Behavior Study – How Nextyn’s Surveys Helped a Retail Chain Increase Customer Retention

How Nextyn Delivered Consumer Insights to Optimize Loyalty Programs & Increase Repeat Purchases

Executive Summary

A leading retail chain was experiencing a decline in repeat purchases and low engagement in its customer loyalty program. The company needed to:

Understand why customers were lapsing and switching to competitors.
Evaluate the effectiveness of its current loyalty program.
Identify incentives that would increase repeat purchases and brand loyalty.

To address these challenges, the retailer partnered with Nextyn’s Research & Consulting team. Over a three-month engagement, Nextyn executed:

B2C surveys targeting existing, lapsed, and competitor customers.
Data-driven segmentation to assess different buyer personas.
Analysis of loyalty program engagement & effectiveness.
Strategic recommendations to optimize rewards, personalization, and customer experience.

Outcome: The retailer increased customer retention by 40% and boosted average order value (AOV) by 22%.

Client Profile & Challenges

Client Profile:

Industry: Retail & E-Commerce
Project Focus: Customer Loyalty & Repeat Purchase Behavior
Target Audience: Existing customers, lapsed buyers, competitor shoppers

Challenges Faced by the Retail Chain:

Declining Customer Retention & Repeat Purchases: Shoppers were switching to competitors with more attractive loyalty benefits.
Low Engagement in the Loyalty Program: Customers did not find the current rewards compelling.
Lack of Personalization in Marketing & Promotions: The retailer’s discounts & offers were too generic.
Limited Insights on Why Customers Churned: No structured mechanism to gather feedback from lapsed customers.

Without data-driven consumer insights, the retailer risked losing market share, failing to retain high-value customers, and running ineffective loyalty programs.

Nextyn’s Solution

B2C Customer Behavior & Loyalty Program Survey Execution

Nextyn designed and executed a multi-segmented consumer survey targeting:

Active loyalty members to understand satisfaction levels & program usage.
Lapsed customers to identify pain points and reasons for churn.
Competitor shoppers to benchmark what attracted them to alternative brands.

Survey topics included:

Purchase frequency & factors influencing brand loyalty.
Preferred rewards & incentive structures.
Satisfaction with personalization in marketing & promotions.
Factors influencing store vs. online shopping preferences.

Customer Segmentation & Buying Behavior Analysis

Segmented customers into high-value buyers, occasional shoppers, and lapsed customers.
Analyzed generational & regional differences in loyalty engagement.
Mapped spending habits to identify cross-selling opportunities.

Loyalty Program Optimization Strategy

Assessed competitors’ loyalty structures (cashback vs. points vs. exclusive perks).
Developed a tiered loyalty system rewarding high-value customers more effectively.
Recommended gamification features to improve customer engagement.

Personalization & Customer Engagement Enhancements

Developed AI-driven personalized promotions based on past purchase behavior.
Suggested targeted email & SMS campaigns to re-engage lapsed customers.
Introduced experiential rewards (exclusive events, VIP access) to increase emotional connection to the brand.

Impact & Results

40% Increase in Customer Retention: Data-driven loyalty improvements kept more customers engaged.
22% Growth in Average Order Value (AOV): Personalized incentives led to higher spending per transaction.
3x Increase in Loyalty Program Engagement: New reward structures motivated customers to earn & redeem points.
Higher ROI on Marketing Spend: Targeted outreach to lapsed customers reduced churn and increased return visits.

By leveraging Nextyn’s B2C survey expertise & consumer behavior analysis, the retail chain successfully optimized its loyalty program and increased repeat purchases.