Lillydoo is a monthly subscription-based baby care products company. The company is headquartered in Germany, but the brand is also present in Austria, Switzerland, Italy, Spain and The Netherlands. Lillydoo operates an online eCommerce platform offering skin-friendly diapers made without lotions or perfumes, as well as a diaper subscription plan. The brand’s target audience is urban parents who wish to keep their babies safe and healthy. Lillydoo wanted a loyalty program that fit the brand’s subscription-based business model, so Lillydoo Club, a subscription-driven loyalty program, was born.
For a full rundown of the Lillydoo Club loyalty program, powered by Antavo, download our case study.
More Than Just a Diaper Subscription
Lillydoo wanted to launch a loyalty program that incentivized customers to subscribe to the brand’s products, allowed customers to make more out of diapers and provided additional opportunities for engagement.
We chose Antavo as our loyalty technology provider to be able to strengthen the emotional bond with our customers and make them active members of our loyalty program. We were looking to implement a loyalty program that created a positive relationship between LILLYDOO and our customers.
A Loyalty Program That Makes Changing Diapers Fun
Lillydoo wanted to increase its number of loyal customers and strengthen the emotional attachment with them via meaningful engagement. Their subscription-driven loyalty program, Lillydoo Club, supports their goals, as subscription-based rewards programs are great for keeping customers engaged in the long run.
In general, the company sought to achieve the following goals:
- Boost customer lifetime value
- Incentivize loyalty program engagement
- Increase the customer base
Being There for Customers
When customers subscribe to Lillydoo, they are automatically enrolled in the loyalty program. Lillydoo keeps members active by requiring them to redeem points and choose their gifts from the rewards catalog, rather than simply sending selected gifts with customers’ future orders. By having customers actively engage with the rewards selection, customers have become more aware of the benefits of the loyalty program. This has encouraged members to become more committed and interact more regularly with the brand.
A Simple, Yet Engaging Loyalty Program With Practical Rewards
Lillydoo’s loyalty program automatically gives members points with their subscriptions and allows them to redeem their points for exclusive and practical gifts. Loyalty program members earn 50 points for each euro they spend, and they can choose from more than 20 rewards, including an exclusive Lillydoo wooden box or organic almond oil to care for their baby’s skin. By offering exciting rewards such as a diaper test packet with different types of diapers, tote bags, and wet toilet tissues, Lillydoo really encourages customers to subscribe, because that’s the easiest way to earn points and save up for the more expensive gifts.
Encouraging Network Expansion With Friend Referrals
Lillydoo not only rewards its members when they order but also rewards them outside of the buying cycle. Customers who have an active subscription can invite up to 10 friends, and Lillydoo awards 15 euros per successfully referred friend. What’s more, referred customers receive a 15-euro discount on their first subscription box. By adding friend referrals, Lillydoo has been able to attract new customers and thank existing shoppers for being a key part of their success.
The results show that the Lillydoo Club loyalty program has proven to be of great value to the brand. Overall, the loyalty program has helped improve customer behavior, as well as increase purchase frequency and average order value.
- 51.47% reward redemption rate, which is above average*
- 48% growth in loyalty members’ total spend
- 33% YOY increase in average spend per member and 35% YOY increase in average purchase frequency
- 4X increase in the number of redeemers
- 2X increase in points burned
Comparing redeemers vs non-redeemers**
- 20M more revenue was generated by redeemers than non-redeemers in the last business year
- Redeemers purchased 4X times more than non-redeemers
- The average spend of a “redeemer” is 4.35 times more than the non-redeemer
- The average AOV of a redeemer is ~2 times more than the non-redeemer
* According to Antavo’s Global Customer Loyalty Report 2023, the average redemption rate is 48.6%.
** Redeemers are members of the loyalty program who have used their earned points to obtain a benefit. Non-redeemers are also members of the loyalty program but have not redeemed their points for the rewards or benefits offered by the loyalty program.
A Solution That’s as Smooth as a Baby’s…
By tying together membership and product subscriptions, Lillydoo Club members have more reasons to remain active and maintain their subscriptions. Also, although customers can earn points with single purchases, being a subscriber gives them the most value for their money, which is yet another reason to subscribe.
Barbara is a Loyalty Program Specialist at Antavo and a Certified Loyalty Marketing Professional - CLMP. She is also a writing expert with several years of experience in marketing and also in the information technology industry. In her free time she likes traveling the world, reading crime stories, and doing crossword puzzles.