Background: Myer was founded way back in 1900 and has since become one of Australia’s top department stores, selling everything from beauty and apparel to tech, toys, and homeware. Its Myer One loyalty program already boasts over 4.7 million active members.

What happened: Myer is launching a revamped Myer One loyalty program, now featuring tiered memberships with lower minimum spend requirements. Plus, it’s introducing the MY Edition Beauty Box, a beauty reward box designed to win over younger shoppers.

What else: This is a bid to turn things around because it’s been a rough year for Myer. After announcing a major fall in profit last financial year, Myer's share price plunged by 30%. To make matters worse, its acquisition of Apparel Brands hasn’t exactly gone smoothly either.

What's the key learning?

💡Loyalty programs drive higher shopping frequency and more spending from customers. Myer’s existing Myer One members spend 2.8x more than non-members, so this revamp is clearly a move to keep customers engaged and coming back for more.

💡Myer is focusing on younger shoppers under 40, especially in the beauty category, where engagement is already strong. However, the beauty loyalty concept isn't new... Mecca’s highly successful ‘Beauty Loop’ program offers free samples and experience-based perks based on member tiers.

💡 Recently, Mecca reported that their 'Beauty Loop' program generates an extra 1.6 million in store and online visits a year, so it’s no surprise that Myer wants a slice of those sales!