arvato delivers integrated loyalty solution for Shell across multiple markets

“By leveraging its loyalty competence, arvato is a valuable and professional partner for Shell’s CLUBSMART programme throughout Europe.”

Iris Lacorn

Partners since 2006

challenge: to centralise European loyalty programme

In 2005, Shell made the strategic decision to centralise delivery of its loyalty programme called Drivers Club in the UK and CLUBSMART throughout the rest of Europe. The brief was to simplify processes and create cost savings while improving customer service, satisfaction and retention – ultimately driving loyalty.

solution: to upgrade service and streamline processes

arvato was selected initially to provide centralised rewards sourcing and logistics services for nine European markets. In 2006, service delivery was expanded to cover 13 European markets. arvato has since worked in partnership with Shell to develop the centralisation strategy.

arvato adopted a two-pronged business strategy:

• arvato reduced the number of rewards suppliers from 1,000 to 50 and implemented effective forecast monitoring that reduced overstocking and optimised product availability. Quick access to accurate performance data was provided to the local markets through standardised and simplified planning tools.
• To enhance loyalty, arvato enhanced the rewards portfolio to increase redemption levels and developed customised tools such as real time communication tools between service centre and logistics services or a customer information system to improve the customer experience.

Due to the success of the project, arvato introduced a centralised customer service centre in Turkey to cover the UK, Germany, Austria, Switzerland, Italy, Greece, Bulgaria and Turkey. Services for Hungary, the Czech Republic, Slovakia and Poland are handled by arvato in the Czech Republic. Furthermore in 2011 arvato started the service centre operations for Shell Singapore and Hong Kong from its site in Shanghai.

successes: happier drivers, simpler programme, satisfied client

• Higher levels of engagement from members including increased redemption rates
• Achieved major cost savings by standardising processes, exploiting arvato buying power and driving operational economies of scale.
• Reduced programme complexity by consolidating 13 European markets (including
• Shell licensees in Greece and Spain) and multiple services, delivering significant commercial benefits to Shell.
• Shipped more than 800,000 rewards for members in 2010.
• Handled over 2.0 million customer contacts in 2010.

services: providing a single, integrated solution

• Contact centre services
• Gift scouting & sourcing
• Warehousing
• Fulfilment