Halfords' Motoring Club loyalty program review
Halfords Group PLC is the UK’s largest retailer of motoring and cycling products and services.
The company takes its name from Halford Street in Leicester, where Rushbrooke opened a store in 1902 and started selling cycling goods. Halfords opened its 200th store in 1931, and purchased the Birmingham Bicycle Company in 1945. It opened its 300th store in 1968.
As of June 2021, Halfords has:
- 404 stores,
- 3 Performance Cycling stores (trading as Tredz and Giant),
- 374 garages (trading as Halfords Autocentres, McConechys and Universal Tyres and Autocentres)
- 143 mobile service vans (trading as Halfords Mobile Expert and Tyres on the Drive)
- and 192 commercial vans
At a Capital Markets Day in September 2018, Halfords announced a new strategy, entitled “To Inspire and Support a Lifetime of Motoring and Cycling”. It has 3 priorities:
- Inspire customers with a differentiated and specialist offer
- Support customers through an integrated and more convenient service
- Enable a lifetime of motoring and cycling
At Halfords, we see it as our duty to help drivers motor for less, and that’s why we’ve worked so hard to reduce prices across thousands of motoring essentials, strengthen our Price Match guarantee and made a new pledge that our Autocentres will always be up to 25% cheaper than car dealerships.
Karen Bellairs, chief customer officer at Halfords
Loyalty Program Summary
Halfords, a renowned retailer for automotive, cycling, and leisure products, offers a Rewards Program to provide enthusiasts with a tailored shopping experience and exclusive benefits.
Catering to car owners, cyclists, and outdoor adventurers, Halfords aims to foster customer loyalty and become a preferred destination for quality products and services through its loyalty program, Halfords Motoring Club.
There are 2 membership levels to choose from.
Free membership
With a Free membership, customers receive instant benefits worth £35 including:
- 1 x £5 welcome voucher
- 1 x £10 off MOT
- 1 x free 10-point car check (worth £15)
- Exclusive offers and member benefits
Premium membership
As a Premium member, Halfords customers enjoy exclusive benefits worth over £100, for just £4.99 per month (or a one-off payment of £49).
- 5% off member pricing (an always-on, unlimited discount on all motoring products and services online and across our stores, garages and Halfords Mobile Expert)
- 1 x free MOT at local Halfords garage (worth up to £54)
- 1 x £10 welcome voucher
- 2 x free 10-point car checks (worth £30)
- 1 x free fitting for a pair of wiper blades or a pair of bulbs or a battery in stores
- Unlimited free next day delivery on all online orders
- Exclusive offers and member benefits
The program seamlessly integrates across various shopping channels, ensuring a consistent experience across different touch points.
Halfords provides members with personalized product recommendations based on their automotive needs or cycling preferences, helping them discover new items that align with their interests. Members may have access to expert advice from Halfords’ staff, ensuring that they receive guidance and information to make informed decisions about their automotive or cycling purchases.
The minimum subscription length is 12 months. Members have access to your benefits from day 1.
New members can join in-store or online, visiting www.halfords.com/motoring-club, choosing membership level and entering registration details, which only takes a couple of minutes.
Loyalty program objectives:
The primary objectives of Halfords’ Rewards Program are to cultivate customer loyalty, drive repeat purchases, and offer valuable benefits. By providing a range of rewards, personalized offers, and convenient services, Halfords aims to build strong connections with its customers while delivering exceptional value for their automotive and cycling needs.
Through Halfords’ Rewards Program, the company collects valuable customer data, including purchase history, preferred vehicle or cycling type, and maintenance needs. This data enables Halfords to provide personalized email communications, targeted offers, and helpful maintenance reminders, ensuring members receive relevant information about new products, promotions, and service updates.
Halfords communicates with members through personalized email newsletters, mobile app notifications, and in-store signage, ensuring they are informed about program benefits, upcoming products, and promotions.
Possible growth opportunities
Leveraging advanced Loyalty Analytics
Tracking the number of active Halfords Rewards Program members and their level of engagement, such as purchase frequency, AOV, etc can measure the program’s success in capturing and retaining customer interest.
Analyzing the purchasing behavior of members compared to non-members can measure the program’s impact on driving sales and customer retention.
Gamification, exclusive experiences and other experiential rewards
While the program provides value through rewards, some members may desire additional benefits such as specialized workshops, VIP product launches, or extended warranties.
Halfords could also introduce gamification elements into the loyalty program. Create automotive-themed challenges or quizzes that members can participate in to earn bonus points or exclusive badges. Gamification can boost engagement and make the program more fun.
Introducing personalized challenges within the program could provide members with a more gamified experience, driving engagement and loyalty. Organizing member-exclusive workshops or events, such as advanced bike maintenance sessions or automotive DIY clinics, would foster engagement and offer members practical skills related to their interests.
Family and Friends referral program:
Launch a referral program where current Motoring Club members can refer friends and family to join the program. Offer rewards, such as bonus points, free vehicle checks, or exclusive discounts, to both the referrer and the new member. This would leverage the existing member base to recruit new members.
Enhanced personalization:
Halfords could further leverage customer data to provide highly personalized product recommendations, tailored promotions, and curated advice based on individual automotive or cycling needs, ensuring a more individualized and relevant experience for each member.
Implement a feature that allows members to set personalized service reminders based on their vehicle’s make and model. Send automated reminders for oil changes, tire rotations, or other routine maintenance tasks. This feature enhances the member experience and keeps them engaged with the program.
Member anniversary rewards:
Celebrate members’ anniversaries with the Motoring Club by offering special rewards or bonus points as a token of appreciation. This can strengthen member loyalty and encourage long-term engagement.
Conclusion
Halfords’ Motoring Club effectively engages automotive and cycling enthusiasts by offering immediate savings. Halfords establishes itself as a trusted partner for enthusiasts’ needs, fostering customer loyalty and driving repeat purchases. By implementing recommendations for enhanced personalizatio and advanced retail analytics to better understand and serve their loyal customers, Halfords can further elevate the program’s effectiveness and solidify its position.
f you’re a retailer and you’d like to talk about loyalty management technology in more detail, then get in touch our team – we’ll be happy to show you examples or talk through your brand’s unique challenges.
