Customer Data Case Study

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O2 one of the leading mobile phone providers in the UK launched O2 Priority Moments as a way to drive engagement with their customer base. The loyalty programme is based on geo-location and includes exclusive and unique experiences and targeted offers from well known brands all with the objective to drive customer loyalty.


By using consumer insights, O2 were able to identify points at which customers were likely to be at risk of churn.

They created a tiered reward structure:

  • Extraordinary Moments – unique experiences that couldn’t be found anywhere else
  • Extraordinary Offers exclusive offers delivering perceived value
  • Thank You – targeted rewards based on segment spend, a thank you to O2 customers for their loyalty
  • Extraordinary Partners – Top UK brands that O2 customers love


O2 Priority Moments is now the U.K.’s fastest growing loyalty programme.

  • 6 million registrations in the first year, with 50,000 more each week since launch
  • Over 1 billion offers viewed, averaging 75 offers per second
  • More than 4.5 million rewards and offers have been accepted
  • 62,000 social network shares since launch
  • Customer Service Index scores are 16 percent higher, and churn has also been reduced for Priority Moments active users
  • Customers are saving up to £840 per year (68 percent higher than VoucherCloud)
  • Conversion rates as high as 95 percent
  • Increase in average basket spends up to 40 percent

Key lessons

  • Using customer data to understand changes in customer behaviour is key to a successful loyalty programme as you can identify points at which your customers are at risk of churning
  • Relevant, timely offers communicated on a regular basis keep your loyalty programme front of mind
  • Providing unique and engaging content drives customer engagement