Using granular weekly data, Insomnia has deployed a full-scale SMS, email and Push Message Marketing Platform.
Not only is customer spend up due to the mobile payment app, but Insomnia has reduced their cash in store.
The process was so simple and intuitive at the point of transaction that no real counter staff training was required.

The Background

Insomnia Coffee Company wanted a secure loyalty & payment solution that would integrate into their existing infrastructure and could give them a detailed view of their individual business units and customers. Insomnia Coffee Company is Ireland’s largest coffee chain with over 120 branches in Ireland and an expanding network in the UK. With the fact that registered loyalty users transact significantly more times a year verses non-registers users, Insomnia Coffee sought to replace their existing loyalty program. They were looking for a system that was easier to monitor, easier to control and one that provided an in-depth analysis of consumer trends. Insomnia also wanted to introduce a digital, prepay option to increase customers spend in store by pre-loading their Insomnia accounts.

The Challenges

Insomnia Coffee ran their old loyalty scheme for 10 years. While this system was effective in rewarding loyal customers, a number of problems existed inclusive of customers losing cards or not having them in-store. However, the most notable downfalls of the card system were 1) the fact that it was extremely difficult to keep track of the rewards being given out and 2) branches in Ireland and an expanding network in the UK. With the fact that registered loyalty users transact significantly more times a year versus non-registers users, Insomnia Coffee sought to replace their existing loyalty program.

They were looking for a system that was easier to monitor, easier to control and one that provided an in-depth analysis of consumer trends. Insomnia also wanted to introduce a digital, prepay option to increase customers spend in store by pre-loading their Insomnia accounts.it failed to capture valuable customer information. The combination of these shortfalls drove Insomnia Coffee to seek an alternative solution that would address these issues in a low cost and effective way.

The Solution

Insomnia Coffee launched a new online loyalty and payment system by integrating their Retail Solutions POS software with Escher’s Customer Engagement Platform. With this new solution, they were able to digitally design, execute and monitor all customer transactions as well as track loyalty usage for individual stores. This addressed the fundamental issues associated with the old program; convenience, security, measurability, accuracy and lack of customer information.

Escher’s consumer engagement platform has greatly improved the relationships we enjoy with our customers in our day-to-day operations. We are able to send targeted offers to our customers on a seasonal basis and with the addition of prepaid, we can offer a seamless shopping experience.
Harry O’Kelly, CEO, Insomnia

For the digital payment functionality, Escher partnered with Judo Payments and together designed a program to enable an omni-channel experience where users can have the option to top-off in the store, online or on a mobile device. Each store was supplied with a quantity of new cards in the form of standard credit card size or key fobs. Customers have a choice of these loyalty cards or to go 100% electronic by downloading a mobile app/wallet. To earn loyalty points, customers simply scan their card or mobile device at the point of sale (POS) before they pay for their items. This means with a single scan, customers can earn or redeem loyalty points, apply any relevant coupons, and pay with their pre-paid account. This seamless checkout not only benefits the time-crunched customer but also assists Insomnia with their customer and transaction tracking.

The Benefits

This mobile loyalty and payment solution is more convenient for customers, provides increased control and flexibility, gives the ability for targeted customer engagement campaigns, delivers advanced reporting and adds an innovative way for customers to pay.

The powerful reporting capabilities of the technology have provided extensive high-level data that gives Insomnia a greater insight into reward activity such as branch statistics, monthly figures, and user trends. Insomnia is also able to view more granular weekly data, for instance how many free drinks were given out. Using this information, Escher Group has offered a full-scale SMS, email and Push Message Marketing Platform through which Insomnia Coffee can contact their customers to notify them of promotions and offers, targeting offers to specific customers based on their user category or location. This has helped Insomnia tailor their product offering resulting in a large increase in spend among loyalty users compared to regular customers.

An unforeseen advantage was the usability of the system. The process was so simple and intuitive at the point of transaction that no real counter-staff training was required. Staff involvement was key in the on-going success of the loyalty program. Employees educating consumers by promoting the account to each customer on a daily basis proved essential to ensure the momentum of the loyalty program was upheld. For payment, not only is customer spend up due to the mobile app, but Insomnia has reduced their cash in store. With the app, Insomnia receives funds directly into their accounts, improving security, visibility and in-store experience. The rollout of the loyalty program and payment solution to the entire Insomnia Coffee chain has proven extremely effective in boosting sales and highly successful with customer retention. In 2015, Insomnia reached a significant milestone of 1 million loyalty transactions in a single year! Next year, Insomnia plans to continue to grow the program with increased targeted customer engagement campaigns using the capabilities Escher has put in place.

Escher

Founded in 1989, Escher Group is a world-leading provider of point-of-service software. With offices in five countries across the globe, we work with customers in over 35 countries. Our core software, Riposte®, together with its wider Transaction Management Platform, can be used in the postal, retail, and logistics industries to enable enterprises to expand their offerings and provide new services. The Riposte® platform can also operate at significant scale and solve the complex problems for enterprises and central and local governments as they eliminate paper and transition to fully digital processes in their commercial interactions. As a digital transaction management platform, it ensures the same transaction experience on a desktop, enterprise mobile device, consumer mobile device, the web, through a third-party agent, or as a cloud-based managed service deployment. Escher Group is part of Escher Group Holdings plc which trades on the London Stock Exchange.

Judo

Judo provides secure in-app payments to leading companies globally. Their payments experts help guide businesses and their development partners on how to create best in class apps to make paying faster, easier and more secure. They also do all the usual stuff – web payments, virtual terminals and IVR solutions. From launch partner of Apple Pay to developing the first mobile specific fraud prevention service in 2013, they’re pioneers in mobile payments.

Insomina

Insomnia is Ireland’s leading independent coffee shop chain and the 16th largest coffee chain in Europe. It has grown from a single location in a Galway bookstore in 1997 to over 120 stores, both on the high street and in partnership with retailers such as SPAR, EUROSPAR, Eason, Fresh, An Post, Meadows & Byrne, Heatons, Debenhams, Maxol, Compass Catering and Primark. Most recently, Insomnia opened its first UK outlets in Rugby, Bradford, Calver and Market Harbouragh The company also has 255 self-service machines in operation in Ireland and the UK. Insomnia was recently awarded “Best Indigenous Irish Franchise” at the Irish Franchise Awards. Insomnia currently employs 350 people throughout Ireland directly in its company-owned stores, along with a further 250 people through its concessions and franchised stores. As an indigenous, 100% Irish owned company, Insomnia is committed to supporting local businesses by working with Irish suppliers, including Galway-based Solaris Herbal Tea, Sweet Things bakery in Dublin, Keogh’s Crisps and Broderick’s Bars. Insomnia has been Fairtrade certified since 2006 and sells more than 18 million Fairtrade cups of coffee each year. The Insomnia Blend is a unique recipe, roasted weekly using speciality grade beans sourced from Colombia, Tanzania, Peru and Sumatra.

&nbps;