Foot Locker Revamps Loyalty Program with Digital-First Perks

The new program, FLX, is designed to streamline the customer experience and offer customers unique online-only rewards.

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Need to Know

  • Foot Locker will revamp its loyalty program to include its entire brand family.
  • The digital-first new program is free to join and features three tiers of membership, all accessed online or through the respective brand’s app.
  • Perks include free shipping and early access to sneaker launches.
  • The revamp is an effort to streamline the customer experience and reward Foot Locker’s most loyal customers. 

Analysis

Foot Locker is revamping its loyalty program to include all of its banner brands and feature more digital-first perks.

The athletic retailer’s new program, called FLX, will encourage shopping and provide perks across all Foot Locker brands, including Foot Locker, Lady Foot Locker, Kids Foot Locker, Footaction, Eastbay and Champs Sports. 

The program is free to join and features three tiers of membership based on a customer’s yearly spending. All members will receive free shipping with no minimums, early access to sneaker launches, and bonus points for digital “tasks” such as completing a survey or linking to a social media account. Higher tier members will also enjoy access to exclusive events. 

FLX was designed to “provide a more seamless and customer-friendly experience — while also rewarding Foot Locker, Inc.’s most loyal customers.”

According to Foot Locker CEO Dick Johnson, “[Our consumer is] more about access and benefits, whether that be the ability to get a head start on a launch or to attend a pre-concert party at [event space] NYC33… FLX is about what we can provide our consumer that they feel especially good about and could share. We want to create shareable moments for our consumer.” 

Johnson’s strategy in targeting consumer experiences is strong. Nearly three-quarters of today’s consumers say a good experience is key in influencing their brand loyalties. And loyal customers are five times more likely to purchase again—and four times more likely to refer a friend. 

Senior sports industry advisor Matt Powell agrees: “Retailers are figuring out that your most loyal customers are clearly your best [shoppers] by a lot—they spend more money, they buy more frequently—and nurturing that consumer pays off.” 

A digital-first experience-based program is a modern way to target a younger audience. 

“Our previous program was very coupon dependent,” explains chief marketing officer Jed Berger. “We’re not that company with that consumer… This one creates much more of an emotional benefit, much more of a sneaker currency benefit. It will connect much better.”

Foot Locker’s loyalty program overhaul comes in the wake of recently refreshed programs from competitors such as Nike, Reebok, and Nordstrom.

An official launch date has not yet been announced, but the program is expected to roll out early this year. 

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