How we built the Volkswagen Group Loyalty Program

The automotive industry is gradually losing its customer interface. More and more people want to use mobility services but no longer own their own car. In order to respond to this customer behaviour, car manufacturers need digital services - and a way to bring these services to their customers.

Loyalty programmes are a suitable way to do this, not least because they can bind existing customers even more strongly.

 

A loyalty programme needs frequency

Building a loyalty programme for the automotive industry is challenging. This is due to the fact that customers interact with the car brands not very often.

Many people buy a new car every 3-4 years and visit the official dealerships 1-2 times a year. This is a rough basis for a loyalty programme that users should interact with multiple times a week. Therefore, we had to implement engagement mechanics that specifically motivate people to check back to the loyalty app often.

 

How Octalysis designed an engaging motivational strategy

The Volkswagen Group's Loyalty Programme is an innovative app that is e linked directly to the user's car. Drivers are rewarded for every trip they make, which means that after every drive, there is an incentive to open up the loyalty app.

All rewards of the programme are distributed via so-called lootboxes. These are virtual gift boxes that can contain points, instant prizes and even digital items.

 

Avatars & community as intrinsic motivation

Points and status - the two typical mechanisms of most loyalty programs - are extrinsic motivations. These are well suited for initially attracting people, but quickly lose their appeal. Therefore, many users forget the programme before the loyalty effect kicks in.

Therefore, we designed additional features that provide a sustainable engagement and create intrinsic motivation: Every user has its onw digital avatars in the app that can be equipped with virtual objects. Users can see and interact with other members on a virtual map - for example, to overcome challenges together, or to occupy virtual sectors.

BONEO Case Study

The automotive industry's first fully digital, engagement-based loyalty programme

BONEO is an innovative project with great ambitions. The app motivates people to interact with the programme at least twice a week. In addition to points, there are virtual avatars, items, social interaction, instant wins, awards, challenges and a seamless connection to the local retailer's checkout system. BONEO creates a habit to use the app, strengthens the connection between car brands and users and acts as a customer interface to distribute additional services and offerings to customers easily, cost-effectively and purposefully.

Want to know more about the project? Feel free to get in touch with us!