Tradefix Direct launches Tradefix Rewards and drives 6X ROI

Industry: Building Supplies
Platform: Custom
Favorite Feature: Widget customization options

2021

Launched Loyalty and Referral Program

~6k

Average value generated in 30 days

27%

% of new customers acquired in 30 days

"The functionalities Lootly provides out of the box are very good for the price, compared to custom development for all of it which would be very expensive"

James Kershaw

Sales Executive, Digital Marketing Manager

Company Overview

Tradefix Direct is a family run business in Manchester with over 20 years of experience in supplying the trade. Over the years, they have grown to become a leading supplier of building materials, collated nails, screws and sealants & adhesives, offering trade respected brands such as Simpson Strong-Tie, BPC, TIMco, FirmaHold, Soudal and Everbuild. Their site is open to tradesmen and DIY’ers alike and they are always happy to help with any queries you might have.


“Our sales data shows that when customers order more, they also tend to spend more and continue to place more orders. We wanted to encourage customers to order again”

Challenge

We spoke with James, who handles most aspects of the business, but mainly focuses on the digital marketing strategy and the website functionality. 


The challenge Tradefix Direct was facing when they decided to explore loyalty marketing, was increasing customer lifetime value. Their customers at the time were only placing one order and then disappearing, which was impacting their revenue growth significantly. 


From analyzing their sales data, the team at Tradefix saw a trend: customers who order more than once, tend to spend more and also do repeat purchases. 


So they decided to implement loyalty marketing to encourage customers to place more orders.


Solution

Tradefix Direct is a custom-built site, and as such they identified 2 options to solve their challenge: either build the loyalty program functionality themselves, or find an app that has an extensive API and a lot of customization options to allow them to deploy their ideal program fast. 


Building the app themselves would’ve been too costly and time consuming, impacting their revenue growth even more. So they did their research and found Lootly through one of our integration partners. 


How was Lootly the right fit for Tradefix?


For starters, our extensive API allows Tradefix to seamlessly integrate their store with the loyalty program app in just a few simple clicks.  This doesn’t require a lot of developer work to be done and can be done in a day. 


Next, the Lootly’s program widget does everything James had envisioned for their program: he wanted to offer vouchers to their customers which they’ll use to place their next order with a discount. The widget offered this in an easy, user-friendly manner. Also, the widget is completely customizable beyond its built-in customization options; the CSS editor allows for custom design changes to really blend the widget into the overall site look - which Tradefix did and created Tradefix Rewards.


They did a soft launch with points and rewards and a VIP tiered program. They ran the programs for about 2 weeks during which time they tweaked to really hit the sweet spot. Then they boosted the programs with an email marketing campaign, website banners and also a leaflet campaign. 


”I wanted to ensure that the scheme was advertised well on the website”

Results

James noticed that once the program was launched, their customers were intrigued and actually started using the program’s benefits to place their next order. So if people were only buying once and then disappearing, with Tradefix Rewards they started repurchasing - which was their ultimate goal. 


“I noticed most of our regular customers started to use the scheme straight away and that some customers started to order more frequently with us. “


Customers also started engaging with their support team and asking about the program; how it works and what they can get. James says the customers accepted the program quite well and are seeing its value, perceiving the brand as the place they can come back to get all their building supplies. 

In numbers, Tradefix Direct enjoys about 6X ROI and ~25% increase in new customers acquired in a 30 days period. 


They expect  these numbers to go up once they launch their site which will emphasize the program throughout. 


Impressions and future plans


James is happy with how Lootly is helping him and his team realize all their ideas when it comes to building customer loyalty. They’re very satisfied with the level of customer support they get from the Lootly team in all aspects, including custom design changes. 

As they evolve their site, the program will be more exposed throughout and thus more incorporated into the overall user experience. 


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