Introduction
Under Armour is an American Sports attire line that has gained insane popularity over the past few years. Loyalty programs are essential marketing strategies adopted by the company that is aimed to attract and retain potential customers. Loyalty programs provide consumers with additional benefits and incentives, which in turn increases the return rate. Such loyalty programs vary from company to company and from brand to brand.
Royalty Program
Under Armour executes such loyalty programs for its target audience. The consumers are divided into four separate levels. They are as follows : The bigger the purchase, the higher the rewards would accumulate. Signifying that for all completed transactions the higher the customer’s level was, the more funds and rewards were reverted to them in the form of bonus points. However, a client at the Participant level cannot save or spend their accumulated points unless ten thousand points have been gathered. Each level also consists of different requirements. Bronze participants acquire 3%, Silver acquires 5% and Gold gets 7%. Only consumers at these three stages can spend or utilise their points. Additionally, all points have an expiration or relevancy period of a year before the points become null and void. Furthermore, these points have the ability to cover up to 30% of all purchases, except at outlets. We will dive further into more detail about the rewards program below.
Backstory
Under Armour first entered the athleticwear market in the mid nineteenth century. The field being one of peak competition and the population was already predominant with tried and trusted brands. However, Under Armours excellent quick drying and moisture absorbing material along with crowd capturing marketing techniques pushed the brand to expand globally. Previously, Under Armour functioned with their royalty program being processed by another system. Therefore, VostokInvest, their exclusive franchising partner decided that it was time for a transfer. According to Anna Bulavina, VostokInvest Marketing Director (Under Armour Brand), “The royalty programs volumed to up to 50% of the business amount, therefore appointing an appropriate CRM interface was extremely crucial in their strategy.”
Pre-Transition Period
The preexisting loyalty program ran on another external server. All bonus points were excluded and accumulated by a third party system. This was carried out with authorization via SMS. The hardest part would be the transfer the system for the following reasons:
There are already established loyalty program rules The ongoing loyalty program is currently under use. Transfer happens when offline stores are closedMake transfers with reference to histories and appropriate loyalty levels.
The reason why the transfer of an existing loyalty program can be cumbersome is because client expectations are built. While launching a new one leaves the client to work with the new rules without having any particular expectations regarding the same.
The Transition Period
VostokInvest planned and launched a multifaceted and multi-leveled loyalty program for Under Armour. The launch took place in 15 stores with 4 promotions, ten automated campaigns, with additional support on phones all while authorizations took place at payment via SMS.
For the Launch:
New program rules Incorporation of cash register software with the loyalty program.Introduce and set up communication software with the registered consumersEstablishing the conditions and requirements for transfer and loyalty levels for the consumers.
The loyalty program rules were also drafted prior to the transfer to Mindbox. Combining all, there exists four levels of promotions with relevant points, reductions and accruals for each level of loyalty. Additionally, Kirill Bogomolov, VostokInvest Marketer (Under Armour Brand) states how preparing an action plan and determining deadlines through the various stages were crucial for the efficient implementation of the system. This was essential for the transfer to happen uninterfered and unnoticed by clients within a span of few hours.
How the Loyalty Program works ?
The new campaigns that needed to be launched were all carried out through SMS chains. There were three things that happened in order. They are as follows: Therefore, the interested client joins the Loyalty program by signing up their phone number. Then a confirmation code is forwarded to the registered number along with a link with the relevant terms and conditions as well as rules. Upon initiating a call to the given code, the customer now is a reward member of Under Armours Loyalty Program. They start as Participants in the Loyalty Program.
Conclusion:
Many communications channels were set up with Mindbox. Such as Welcome chains, messages informing the clients of the transition to the new loyalty program, birthday gifts and bonuses, information on the various levels of the program, etc. All of which was carried out with the help of the mail chain. A Loyalty Program has proven to have increased revenue, profits and sales that helps the company keep up with current demands as well as grow sustainably. A well-devised Loyalty program with well-planned marketing strategies can help improve consumer satisfaction, attract new consumers, narrow turnover as well as improved profits. Consumer relations is one among the most important factors when it comes to the success of a business.
title: “Under Armour Loyalty Program Bob Cut Magazine” ShowToc: true date: “2022-10-26” author: “Kristi Hopson”
Brands like Under Armour link their loyal customers with workout activities for continued loyalty. According to the CEO, Kevin Plank, the loyalty program seems to be working for the good of Under Armour. Once you enroll in the Under Armour loyalty program, you get into the Armour Card program.
The Armour Card
The Armour Card is the loyalty program at Under Armour. This project allows participating members to earn rewards for their purchases. Whether you buy their clothes or footwear online or in their factory house stores, you earn points. The loyalty program also works for purchases made in the Under Armour Brand.
How does Armour Card work?
Like any other loyalty program, customers earn points when they make direct purchases from the Under Armour brand. These points may come as discounts or promotion codes that subsidize the total amount you pay for your gear.
When shopping online at UA.com
As an Under Armour loyalty program member, you earn $20 for orders above $100. The promo code works on the untaxed amount. Shoppers receive the promo code via email. Once you make the order (a qualified purchase), you receive the promotional code in 24 hours. These promotional codes also work when shopping at the factory house stores or in the brand house.
When shopping in the brand house stores
When shopping online, the customers in the Under Armour loyalty program earn a $20 promo code for purchases above $100. These customers can also get a physical card at the store where they purchase. The cards and promo codes have an expiration date. So, you better hassle up and use them before they are no longer viable. You can redeem the cards you receive for your purchase at any Under Armour brand house store, online, or at their factory house stores.
When shopping at the factory house stores
Factory house purchases are different from those at the brand house or online. Here, customers earn $10 promo codes for $50 (untaxed) or more worth of goods. Customers also get physical cards when they buy theirs Under Armour gear. You can redeem your card or promotional code in any shopping location. However, you have to do so before the cards, and promo codes hit their expiration date.
Levels of loyalty at Under Armour
Under Armour has four levels of loyalty to clients. These include bronze, silver, and gold. The bigger the customers’ purchases, the higher their status in the program. Also, the gold members enjoy more returns as bonus points for their completed purchases, compared to bronze or silver. Participants cannot save their points. They have to wait until they have at least 10,000 rubles. Bronze members accrue 3% of their purchase, silver 5%, and gold members collect 7%. Customers can then use their points to cover up to 30% of their total price. However, this must be within the year they started accumulating their points.
Why the Under Armour loyalty program works
Loyalty programs are a common marketing approach for brands to build a solid customer base. At Under Armour, the program works by giving discounts or rewarding them with points. As a marketing tool, it has seen the under armor sales improve constantly for over nine years, since 2014. Also, the program has seen the reputation of Under Armour improve among sportspeople who love casual wear.
ePoints
Earning points in a loyalty program is pretty standard. Customers shop for their favorite workout clothes and get their reward in the form of points. Under Armour gives its customers quality casual and sportswear apparel. When shopping at any of their authorized outlets, you can earn points for your card. Usually, customers can then redeem these points and use them to buy anything from Under Armour. Also, the point system can be helpful when competing to win a prize. However, before you can enjoy earning some Under Armour points, you have to register with epoints. Also, you can earn points from your purchase when you buy directly from Under Armour through their online outlets. Can you use your promo codes on one order? According to Under Armour, it is only possible to use one promo code on one order. So, if you have different cards you want to cash in, you may have to break up your big order into smaller orders. Where do Under Armour points work? Once you have accumulated your Under Armour points, you can cash them in at their brand house store, factory house store or online. However, you cannot use the promo codes and cards when shopping for their apparel at outlets. How do you check your point balance? You can do it by visiting any Under Armour store near you. There, a cashier can check your balance. Alternatively, you can check your balance online by visiting www.underarmour.com
