The Two Keys to Building a Successful Loyalty Program

The Two Keys to Building a Successful Loyalty Program
by Kelly Cheeseman – August 2014

Everywhere we turn these days we are constantly reminded about loyalty. Every business seems to have a rewards program or a loyalty program. Case in point, on a recent shopping trip to the mall I made transactions at four stores and bought lunch. Four out of the five stops asked me to sign up for their loyalty program including the pizza place! All of the locations were offering perks in exchange for my information. As sports teams evolve and start entering in to this very crowded “loyalty” area of the business, we must not lose sight of what makes our industry unique:  We already have loyalty with our fans.

Loyalty and pride of our teams is what our customer base is built upon. The connection with our teams and the memories that come from it is the foundation of the wheel that drives us. Our great fans are with us through thick and thin. Realizing this and leveraging this is an important step as we develop our loyalty platforms.

With the LA Kings and LA Galaxy we have started to establish new loyalty programs, and we strive to drive these programs with two key principles.

#1 Be transparent and authentic with goals and message

There is no doubt that the goal of every loyalty program is to gather more information about customers. Learning their habits and info in order to allow us to reach our business goals is an important part of how we can have success. Our mission is to make sure we are open with our fans that our goal is to gather this information to help make their experience better. If we simply just tell them that they will be rewarded if they attend games or buy tickets, we may not see the results we are looking for in this busy “Loyalty” marketplace.

#2 Return the favor to the fans

Through thick and thin our fans are with us and they expect us to be loyal to them. So asking them for their “loyalty” is a slippery slope that can be insulting if framed in the wrong light.

We need to return the favor with great service and experiences. Our goal with our loyalty program is to build upon this fandom and become fans of our customers. We can’t forget where we come from and we need to celebrate and support our fans by giving them experiences that fit their needs. To some people this may just be free items or discounts, to others this may be experiences you can’t buy. Diversity in their choices is important while recognizing them for helping us and updating them on our progress of improving their experiences. As we establish and run our programs these are the key principles we are shooting for to break through the noise of the evolving and growing loyalty marketplace.

 

 

 

How can leagues and teams build excitement? Step outside your box! Literally.

How can leagues and teams build excitement? Step outside your box! Literally.
by Kelly Cheeseman – September 2013

When the NHL announced in May that they will be expanding their highly successful outdoor game concept showcased by their New Year’s day Winter Classic, many critics asked how much is too much? I’d like to think of it as stepping outside the box, since so much of what we do is focused on what goes on inside a big box we call our arena.

With the announcement of the Stadium Series presented by Coors Light, the NHL will be adding 5 additional games to the lineup. Gary Bettman was noted as saying,

Gary Bettman“The reason we’re doing more outdoor games is really what it’s now doing locally,” Bettman said. “This is an incomparable event and what happens is fans get connected to the game in ways they never imagined, we get new fans who, for the first time, will come and be a part of this. This is a fan-oriented, fan-driven event, and that’s why we’re doing so many games so we can bring it to more fans.” (Thursday, 08.08.2013 / 4:55 PM / The Canadian Press)

Outdoor Hockey in LA

If you were in LA looking for an outdoor venue for hockey, where would you look? What about Dodger Stadium?

  • Opened April 10, 1962; the third-oldest continually used park in Major League Baseball.
  • Hosted more than 147 million fans since it opened
  • Hosted eight World Series and close to 4,000 regular-season games.
  • Zero hockey games.

With a remarkable view of Chavez Ravine overlooking downtown Los Angeles and the San Gabriel mountains, Dodger Stadium has been called one of the treasured cathedrals of baseball with one of the most unique and picturesque settings in sports. Of course, critics ask how a hockey game is possible in a “warm weather city”? Doesn’t it need to be freezing cold?

weather

The Kings actually have some history with outdoor hockey events. The NHL’s first outdoor game was an exhibition in the parking lot of Caesars Palace in Las Vegas on Sept. 27, 1991. That game took place in 85-degree weather. But, further evidence as to the possibility of this game is simple science. The average high in January in Los Angeles is 68 and the average nighttime low is 48 degrees. Translation? If we play the averages, we are slated to have one of the best settings for a hockey game imaginable. In fact, with a little luck, we’ll have temperatures more pleasurable than a full NHL venue on a game night.

With all of this in mind, when the Los Angeles Kings and Anaheim Ducks were asked to participate in an outdoor game in our market in one of the most iconic and historical venues in the history of our country, Gary Bettman’s words “incomparable”, “innovative”, “fan driven” all came to mind.

Since the arrival of the Kings in Los Angeles in 1967 many stepping stones have been passed to spur the growth of the game on the West Coast:

  • The Gretzky trade in 1988,
  • The arrival of the San Jose Sharks in 1991,
  • The Kings 1993 Stanley Cup Finals participation,
  • The arrival of the Anaheim Ducks (also 1993), and
  • The marquee moments of Stanley Cup Championships for the Ducks in 2006 and Kings in 2012.

All have lead us to this moment where the Kings and Ducks can showcase the game on one of the most unique stages during the Grammy Awards’ weekend in Los Angeles.

Measures of success

As we plan ahead for this moment in January we often ask ourselves what will be the measuring stick of success for this game? Will it be a sold out venue? Big NBC national ratings?

[dropshadowbox align=”right” effect=”lifted-both” width=”250px” height=”” background_color=”#ffffff” border_width=”1″ border_color=”#dddddd” ]

Luc Robitaille
Luc Robitaille

“This is a credit to our fans and the amazing support they have shown to us and the NHL these past few years. This will be a sporting event like no other that has ever been seen in Southern California and we are proud to be a part of it.” [/dropshadowbox]With this platform these two outcomes are almost certainties. A sell out and a big national rating are almost a given. Broadcast partners indicate an excitement for this game and ticket sales trends are ahead of all historical trends of other outdoor games.

But for us, the growth of the game on the west coast is the most important measuring stick. Big local ratings, attention to the Ducks and Kings Freeway Faceoff rivalry, and the ability for as many hockey and sports fans in Los Angeles to be touched by this game will create the sustainable impact we are looking for short and long term. Plans are still in the works to capitalize on this moment, but these are the objectives we are focused on. We welcome any constructive comments or creative ideas below!

In a game slated to be one of the most historical hockey events ever, the NHL has a chance to garner the attention of the local and national media like never before. As, the host and participating home club, we have a platform to grow the game in a way never available to a market like Southern California.


Cover photo courtesy of Marian Stanton.