Furnishing Loyalty: MillerHome Furniture and Ashley of Dubois crafts a Loyalty program that is just right
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Overview
MillerHome Furniture isn’t new to loyalty programs, but they needed to engage their customers more effectively. Historically, they have created several very creative loyalty campaigns such as a “Red-Rover” campaign that rewarded customers with a $25 loyalty credit for visiting other locations, a “Don’t Use, Don’t Lose” campaign that gifted the purchase price of customers' protection packages back in the form of store credit, and a credit card surcharge that gifted the 3% CC surcharge back to the customer in the form of store credit. MillerHome Furniture recognized that surprise and delight campaigns such as these require additional action. They require seamless marketing orchestration that helps engage users with loyalty programs. They quickly moved to integrate personalized SMS campaigns with their creative loyalty incentives. From giving non-buyers a reason to return to softening the blow of credit card surcharges, MillerHome Furniture is thriving financially from their ability to surprise, delight, and keep customers coming back.
Challenge
Loyalty programs are great, but simply having one doesn’t always mean customers will engage with it. MillerHome Furniture had robust systems in place, but customers weren’t making the most of the benefits, and the company knew they were leaving potential revenue on the table. The team needed a way to nudge their loyal customers—many of whom loved their products—toward actually using the rewards they’d earned.
One example of this is their Don’t Use, Don’t Lose campaign. In an effort to create deep trust from their customer base, MillerHome Furniture started rewarding customers that didn't use their protection plan with the financial value of their protection plan when it was set to expire after the 5 year term. The goal of this credit was to bring customers back into the store when their furniture was naturally ready to be replaced. Despite the massive benefit to the customer, they found that “DUDL” redemptions, along with their other loyalty programs were lower than they could be.
MillerHome needed to find a way to activate their customer base without coming off as pushy or transactional. They wanted to create experiences that felt exciting, personal, and rewarding. That’s when they turned to SMS marketing in conjunction with their loyalty programs, knowing they could reach customers in a more direct and personalized way.
Solution:
MillerHome Furniture didn’t just want to offer rewards—they wanted to craft campaigns that felt personal, thoughtful, and valuable. Enter their "Surprise and Delight" loyalty initiatives, designed with personalized SMS campaigns to ensure customers received the right message at the right time.
- "Red Rovering": Everyone likes a second chance. If a customer visited a store but left empty-handed, MillerHome Furniture wasn’t about to let them go that easily. With their "Red Rovering" campaign, customers received a personalized invitation offering a $25 credit to use at another store location—turning browsing into buying.
- "Don’t Use, Don’t Lose": One of the most effective campaigns, "Don’t Use, Don’t Lose" targets customers whose protection packages are set to expire. Instead of letting those protection plans quietly fade away, MillerHome Furniture transforms them into an opportunity to bring customers back in. Expiring benefits are converted into store credit, with personalized SMS messages gently reminding customers of their soon-to-expire protection and encouraging them to come back before it was too late. It creates urgency, but in a helping, non-aggressive way—just what the modern customer appreciates.
- Turning a Surcharge into a Perk: It needed to happen. MillerHome Furniture was being gouged in credit card surcharges, but most would think that the 3% credit card surcharge would be a tough pill for the customer to swallow right? WRONG! MillerHome Furniture turned it into a positive. Rather than letting the fee dampen the customer experience, they decided to turn it into a surprise reward. For every customer hit with the 3% fee, MillerHome Furniture gifts that same amount back in store credit. This clever approach didn’t just neutralize a potential frustration, it actually enhanced the customer experience, making people feel like they are gaining something rather than losing out.
“We started our SMS campaigns in January with all of the programs we have in place. Every time we send a text message out, we are seeing an increase in traffic by 20% and 30-40% increase in sales for the event! It’s a no-brainer!”
Impact:
The results of these thoughtful, personalized campaigns speak for themselves:
- Red Rover brings in 120% more sales in the first month:
In the first month of running the Red Rover initiative, MillerHome Furniture saw a 120% increase in sales from this program. This was no small feat—it turned browsing into buying, particularly by encouraging customers who may have walked away empty-handed to visit another location and use their credit.
- Don’t Use, Don’t Lose promotions increase sales by 565%:
After integrating SMS promotions to encourage redemptions, the DUDL campaign drove an impressive 565% increase in that sales program. Those personalized messages gave customers a reason to come back into the store, and the numbers prove how effective that gentle push can be.
- Immediate 1% added to their bottom line in Credit Surcharges:
Whether customers chose to pay with cash, credit card, or ultimately redeemed their 3% reward credit on additional sales, MillerHome Furniture saved a whopping 1% to their bottom line in credit card surcharges. Instead of simply absorbing the fee, they turned the situation into an opportunity to delight customers while protecting their bottom line. This creative maneuver not only saved costs but also enhanced the overall customer experience, transforming a potentially negative surcharge into a win-win.
Ultimately the success of these loyalty programs integrated with personalized SMS campaigns resulted in 2 massive business impacts:
- 52% increase in loyalty reward point redemptions: Thanks to SMS nudges and smart reminders, more customers were actually redeeming their rewards. The convenience of receiving timely, personalized reminders helped customers feel valued and kept them coming back to make purchases.
- 75% revenue growth from 2023 to 2024: By implementing these personalized, SMS-driven campaigns, MillerHome Furniture didn’t just boost engagement—they saw a substantial lift in overall revenue and traffic. Customers were shopping more frequently, redeeming their credits, and returning for more.
Conclusion:
MillerHome Furniture's clever mix of personalized SMS campaigns and thoughtful loyalty strategies not only improved customer engagement but drove impressive financial results. These campaigns turned potential challenges into opportunities, proving that a little creativity (and a well-timed text message) can go a long way. The result? A delighted customer base, stronger relationships, and impressive growth.
MillerHome Furniture's journey shows that loyalty is about more than just points and rewards—it's about creating moments that surprise and delight, turning occasional shoppers into lifelong fans.
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