Health and wellness have become foundational to the modern lifestyle, with consumers redefining what fitness looks like shifting from traditional gym routines to more holistic and mobile-friendly approaches. Walking, hiking, cycling, and fitness-tracking apps are now integral parts of personal health journeys. This evolution has created new opportunities for customer-centric innovation, and few brands are leaning into this shift as effectively as Fleet Feet.
Founded in 1976 by two women in Sacramento, California, Fleet Feet has grown from a single boutique running store into the country’s largest franchisor of locally owned and operated specialty running retailers. Today, it operates more than 280 stores across 40 states, offering expert outfitting, training programs, and a strong sense of community. At the heart of Fleet Feet’s loyalty strategy is its recently relaunched Fleet Feet Milestones program—an initiative that reflects both its legacy and its forward-thinking ethos.
Joining us for this edition of Leaders in Customer Loyalty: Brand Stories is Abbey Gurley, Senior Manager of Customer Loyalty at Fleet Feet, who shares how the brand is building emotional loyalty, supporting franchisees, and using customer data with care.
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Episode Transcript
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Speaker 1 (00:03):
Health and wellness have become cornerstones of the
modern American lifestyle, andthe industry is in the midst of
a rapid, continuoustransformation.
The definition fitness hasevolved dramatically.
No longer is limited to signingup for a gym membership,
lifting weights or logging tonsof miles on that local treadmill
(00:24):
.
Today, people are walking,hiking, biking and using apps to
track everything from caloriesto steps to personal performance
, all in the pursuit of becomingthe best version of themselves.
The shift has created newopportunities for innovation,
and one brand is leading the wayFleet Feet, a boutique running
(00:48):
store founded in 1976 inSacramento, california, has
grown into one of the mostprogressive fitness retailers in
the country.
Routed in community, fleet Feetalso operates one of the most
successful and innovativecustomer loyalty programs in the
retail space.
Today, we're excited to diveinto the industry, dive into the
story and explore the impactand evolution of the Milestone
Loyalty Program.
(01:09):
Joining us today is Abby Gurley, senior Manager of Customer
Loyalty at Fleet Feet.
Abby, how are you today?
Thank you for joining us.
Speaker 2 (01:17):
Sure, I'm great.
It's a beautiful day in NorthCarolina.
Speaker 1 (01:20):
That's great.
That's good to know For thosewho may not know about Fleet
Feet.
Can you give us a shortintroduction to the company?
Speaker 2 (01:27):
Sure.
So Fleet Feet was founded in1976 by two women, friends and
school teachers, sally andElizabeth, which is pretty cool
because the running industry wasstill very much male dominated
at that time.
The first store was located inSacramento, california, in an
old Victorian house.
It served as a hub for therunning community and those
seeking footwear.
Today, fleet Feet is thelargest franchisor of locally
(01:50):
owned and operated run specialtystores.
We have more than 280 stores in40 states and we're committed
to providing runners, walkersand fitness enthusiasts with
outfitting, expertise, robusttraining programs, community to
support and, of course, afantastic loyalty program.
Fleet Feet Milestones.
Speaker 1 (02:08):
That's awesome.
Looking forward to getting intomore about Fleet Feet
Milestones in a little bit.
What's the company's backstory?
You talked about where it wasfounded by two women, which is
awesome.
It was a local hub.
What was the opportunity thatthe founder saw?
Was it just more providing thatopportunity for the local
community to engage or, you know, was there a larger vision?
Speaker 2 (02:28):
I think it was a mix of both product and serving as a
hub in the community whererunners could get together and
find support.
Speaker 1 (02:37):
Excellent.
Can you tell us a little bitmore about your role with the
company?
You know?
How did you get into customerloyalty and were there positions
that kind of led you up to thisrole and said I really want to
be in customer loyalty, customerexperience?
Speaker 2 (02:50):
Sure, so I started with Fleet Feet in 2015,
actually at one of our franchiselocations Fleet Feet Pittsburgh
and I led the local marketingefforts there.
In 2018, I joined the storesupport team at Fleet Feet's
headquarters in Carrboro, northCarolina, and I've worn a lot of
different hats on the marketingteam, from focusing on
(03:11):
grassroots strategy to ournational activations, but most
recently I joined the CRM teamand I turned my efforts toward
revamping Fleet Feet's loyaltyprogram and we launched
Excellent.
Speaker 1 (03:24):
So when you look at your role, customer loyalty is
kind of a unique opportunity.
We were talking to some todayabout it kind of who moved over
from advertising.
They thought, oh, customerloyalty is going to be very easy
being in advertising.
They're like it's significantlymore difficult.
Right Analytics, marketingtechnology, the numbers really
have to match.
We're in advertising.
There's a lot of fluff, butwhen you look at your role, what
(03:49):
are some of the biggestchallenges or opportunities that
you face in your position?
Speaker 2 (03:53):
Sure.
So I think the most challengingbut also the most rewarding
part of my role is navigatingall of our stakeholders to
create the best possible program, campaigns and experiences
really for everybody involved.
So this includes our localowners and operators Are we
being mindful of their needs?
And the customers Are wecreating a premium rewards
(04:15):
program and offerings thatreally enhance their overall
experience with Fleet Feet andbring them a little extra joy?
But also our brand andcommunity partners.
So finding that perfect mix ofnew and exciting campaigns that
serve our local teams, ourcustomers and our partners is
definitely it keeps me diligent,but again, it's also so
(04:35):
incredibly rewarding when we'reable to accomplish this.
Speaker 1 (04:39):
OK, you look at the fitness industry, it's seen a
lot of a significant amount ofdisruption uh, more digital apps
, digital engagement.
Uh, you know people having homehome gyms and then people that
are running or doing more youknow, uh, different types of
outdoor activities.
You know how has the fitnessindustry maybe changed over the
last few years?
(04:59):
And you know the fitnessupstarts that are, you know,
doing some new things todifferent shoe entities.
Uh, you're kind of taking onthe legacy riders of Nike and
Adidas.
You know how do you see thefitness industry, the apparel
industry, fitness apparelindustry changing?
Speaker 2 (05:16):
So I think, when it comes to our customers and the
types of activities that they'reself-reporting, we do see a
real mix.
I think that one might assumethat Fleet Feet serves only
runners or people aspiring to berunners, and while we take a
lot of pride in being a one-stopshop for all things running, we
(05:37):
also see active people who aremore generally focused on their
health and running might be onepart of their overall fitness.
We also see people who are morefocused on walking, or people
who are aiming to just feel andmove more comfortably.
So, ultimately, because weserve such a range of customers,
(05:57):
as fitness trends come and go,flee Fee really remains
consistent and relevant, aresource for everyone and anyone
who needs a comfortable pair ofshoes or gear or community
support to support their uniquegoals.
Speaker 1 (06:11):
Okay, and when you look at some of the
macroeconomic issues that areimpacting a number of brands
right now, you know how are themacroeconomic issues impacting,
you know the industry and howare you preparing for them at
Fleet Feet.
Speaker 2 (06:26):
So Fleet Feet certainly doesn't operate in a
vacuum, and we've had a lot oflearnings in the almost 50 years
since we opened that firststore in 1976.
Over the decades, we found thatrunning and walking remains a
consistent part of people'sfitness routines, even during
times of economic uncertainty,probably because it's almost
always more affordable to buy anew pair of shoes versus joining
(06:48):
a gym or buying home equipment,for example.
So we don't take that forgranted, though, and we are
committed to continuing to showup for customers in new and
convenient ways again, with gearand personalized
recommendations, training andsupport.
Speaker 1 (07:04):
One of the big areas of interest in our community
right is customer loyalty.
Very impactful, very important.
What it means to differentorganizations vary.
Do you have organizationalsupport?
Are you buying into the programitself?
Is it a cost versus investment?
And when you look at customerloyalty, what does it mean to
Fleet Feet?
Speaker 2 (07:22):
So when I think about customer loyalty, there are a
few things that come to mind.
I think of the person who'sfound a community at Fleet Feet
through our training programs,and I think of the trust in
Fleet Feet that our local teammembers work hard to earn every
day by helping customers findthe best solutions for their
needs, whether that's aperformance product for their
(07:43):
next race or footwear to helpthem comfortably stand at work
all day or just take a walkaround their neighborhood.
I think people who bring theirfriends and family members back
to Fleet Feet.
They come to mind so that theycan share their amazing in-store
experience with others.
Ultimately, loyalty stems fromso many incredible areas that
(08:04):
make up Fleet Feet, and my goalwith Fleet Feet Milestones is
that it's really the cherry ontop of all those great
experiences and a friendlyreminder to come back and see us
again soon.
Speaker 1 (08:15):
Excellent when you look at the Fleet Feet Milestone
program award-winning greatprogram.
The Fleet Feet MilestoneProgram award-winning, great
program, very focused on thecustomer.
You know how does the visionyou have for the Fleet Feet
Milestone Program fit into youroverall vision for customer
loyalty?
Speaker 2 (08:32):
So, again, I think that it really complements what
we do in store every day.
I think it adds moments ofstated benefits that people can
really look forward to, but thenit also adds these surprise and
delight moments through, likeour sweepstakes or early access
opportunities.
It's really meant to just serveas another kind of perk and
(08:56):
reminder of why people choose.
Speaker 1 (08:59):
Fleet Feet.
That makes perfect sense.
And how long has the programbeen in existence?
Speaker 2 (09:04):
So we rolled it out just this past summer, in July
of 2024.
Speaker 1 (09:08):
Okay, excellent.
So when you look at the currentversion of the program, it's
been in existence since lastsummer.
How did it evolve from theprevious program?
Speaker 2 (09:19):
Sure.
So again, we rolled out FleetFeet Milestones in July 2024,
and the current program includestwo membership levels
Pacesetters and Frontrunners,plus annual birthday offers for
all members.
And then Frontrunners alsoenjoy accelerated earning,
higher valued birthday offersand access to sweepstakes and
special opportunities.
Prior to Fleet Feet Milestones,we rolled out our first ever
(09:43):
national program in 2019.
And over time, we monitoredcustomer behaviors and gathered
insights to guide our loyaltyprogram evolution.
Some of those included customerpurchase and engagement metrics
.
So we analyzed a year's worth ofcustomer behavior and, while
our program met industrystandards in a lot of areas,
there were two critical metricsbased fund rate and earning rate
(10:05):
that were significantly higherthan average.
So to ensure long-termsustainability and create room
for innovation, we did need toadjust those factors.
We also leaned into customersurveys and we heard from more
than 5,000 customers who sharedtheir preference and ultimately
helped us prioritizeenhancements like the birthday
offers and those early accessopportunities and sweepstakes as
(10:28):
well.
So ultimately, by blending thecustomer insights, our local
store feedback and data drivenenhancements, Fleet Feet
Milestones delivers a loyaltyexperience that deepens customer
engagement while remainingmanageable and sustainable for
our local franchise andcompany-owned stores.
Speaker 1 (10:45):
You talked about it a little bit.
Customer feedback looked at theredemption rate, the earning
rate as you evolved the program.
How important was the feedbackfrom customers as you look to
evolve and roll out the newprogram?
Speaker 2 (10:57):
last year, it was incredibly important, so it
really helped us to shape thedifferent benefits that we would
provide through the program.
I think we were not reallysurprised, but it was validating
to see how special birthdaysare for people and how they want
to be recognized during thattime of year with some kind of
special offer.
(11:18):
And then the sweepstakes reallybubbled up as well as something
that folks look forward to.
Speaker 1 (11:24):
Excellent.
When you look at the vision forthe program, it seems to be
very integrated within theorganization.
Has strong exec level support.
When you look at the vision forthe program, where do you want
to take the program in thefuture?
Speaker 2 (11:37):
So we really continue to closely monitor customer
sentiment and feedback as welook to further enhance and
evolve and so that we continueto deliver on things that
customers are asking for.
One quick example is morereminders via text message so
that customers are even moreaware of the offers and the
points that they have and theirexpiration date, so that they
(12:00):
never miss an opportunity toredeem their benefits.
Other than that, we're lookingfor more ways to surprise and
delight our members with moreunique offers or special access
opportunities, for example.
Ultimately, we want the programto continue to serve as just
one more reason and reminderaround why customers choose
Fleet Feed.
Speaker 1 (12:20):
Okay, one of the challenges we see in our
audience is the engaging ofyounger consumers.
Right, making sure the productis simple, easy to understand,
provides value, doesn't havesome of the complexities that
some loyalty programs have.
When you look at Fleet Feet,who prides itself on blending
performance gear withcommunity-driven experiences,
and how is the opportunity orthe challenges you see of
(12:44):
getting kind of a youngergeneration involved with the
brand and with the customerloyalty program?
Speaker 2 (12:50):
Sure.
So while we are focused on morecustomer segmentation to ensure
that we're catering todifferent preferences and needs,
our younger customers aretypically within that 30 to 45
range, and when we focus ongroups younger than that, that's
most often reflected in theways that we show up to support
the next generation of runners.
(13:10):
So, for example, we're so proudof our partnership with Girls
on the Run and the work they do,and Fleet Feet currently serves
as their national 5k sponsor.
Additionally, many of ourowners and operators foster
partnerships with their localtrack and cross country coaches
and teams, and they supportthose young athletes with
outfitting events and the gearthat they need for a success.
(13:33):
It's really a mix of the kindof perks that we bring to
consumers via Fleet FeetMilestones, but also there's a
lot of partnerships and localoutreach as well.
Speaker 1 (13:44):
That's awesome.
When you look at emotionalloyalty, that's another facet of
customer experience CRM,customer loyalty that's very
important because brands know ifthey have an emotive brand, if
they have an emotionalconnection with their customers,
that it can be simplyadvantageous from a financial
performance perspective.
So when you look at emotionalloyalty, what does it mean to
(14:04):
Fleet Feet and what are some ofthe challenges you have with
regard to potentially measuringcustomer loyalty?
Emotional loyalty that is Sorry.
Speaker 2 (14:12):
Sure, I think that emotional loyalty shows up for
us in both quantifiable andqualitative ways.
Emotional loyalty shows up forus in both quantifiable and
qualitative ways.
So we see our Fleet FeetMilestones.
Member revenue is up 9% yearover year and this is the
timeframe that encompasses thefirst six months after we made
significant changes to theloyalty program and rolled out
Fleet Feet Milestones.
(14:32):
I think these numbers aretelling us that we put in the
work to listen to what thecustomer wants in a loyalty
program and the impact and howthey're responding shows in
those numbers.
Additionally, our customersentiment around the loyalty
program has improved 3% yearover year, which is measured
from feedback directly from thecustomer after they visit Fleet
(14:53):
Feet.
So again, these hard numbersare telling us that we're headed
in the right direction.
But on top of that, thequalitative feedback customers
provide us really helps to giveus an even greater sense of
their emotional loyalty and whythey choose Fleet Feet.
We had one customer who gave usgreat feedback after a purchase
and they shared quote.
(15:16):
The rewards program is great.
You have great deals onproducts I trust and use and I
do get the sense that it'sgenuinely important to the
company to help people runhealthy.
So ultimately, I feel thatemotional loyalty is the trust
and fleet fee that we earn andwork hard every day to keep with
our customers excellent.
Speaker 1 (15:35):
You have a great deal of data on your customers
transactional data, behavioraldata, biometric data from feet
scanners, fitness app tracking.
How do you use the data in astewardly manner to drive the
personalization that you spokeof early?
And obviously there's thischallenge of staying compliant,
making sure you're only trackingessential cookies or essential
(15:57):
data points.
How do you balance all of thatwithin TP?
Speaker 2 (16:01):
Sure, I think transparency is really key here.
So, as policies evolve, we makesure that we and our local teams
are communicating the what, whyand how to customers via email
or in our stores, so thatthey're not caught by surprise.
We also work hard to ensure thatthe customer is the one making
the decision every step of theway when it comes to their data,
(16:23):
loyalty program membership andhow they engage with it.
So they, the customer, providetheir email address if they'd
like their scan data kept onfile.
They take action to join FleetFeet Milestones in store.
They tell us if they want tocontinue to hear from us via
email.
They take action to join FleetFeet Milestones in store.
They tell us if they want tocontinue to hear from us via
email.
They give us their birthday ifthey want a birthday offer, and
(16:44):
we continue to see great resultswhen we leave that element of
choice to the customer.
So, for example, we see around90% of our new customers opting
in to join our loyalty program,and while 100% is even better,
it's more important to us thatthe customer enrolling in the
program is doing sointentionally and that they're
excited by what Fleet FeeMilestones has to offer.
Speaker 1 (17:06):
You talked about personalization a little bit
earlier.
It's a major focus for manybrands these days, right To make
sure they have the relevantmessage, the right channel, the
right time.
When you look at fitness andwellness space, it's diverse, as
you mentioned.
People could be runners,walkers, they lift weights all
kinds of fitness opportunities.
You know how do you look atpersonalization and making sure
(17:31):
you're catering to this verydiverse audience.
Speaker 2 (17:32):
Sure, so we're really grounding our personalization
efforts in how we can be evenmore helpful for customers.
So this does involve a mix ofdata and customer feedback to
best understand how we canimprove the fleet feed,
milestones and overall customerexperience, based on the
customer's unique needs andpreferences.
So, for example, I mentionedthat we surveyed more than 5,000
(17:55):
customers to understand theirpreferences before we made any
changes to the loyalty programand ultimately, their direct
feedback is what helped us inour decision making and which
enhancements to prioritize.
Additionally, we were alsopleased to roll out several new
email automations this summer tokeep members informed around
their points and their rewardbalances, and we believe this
(18:17):
additional communication andhelpful reminders has
contributed to the growingredemption rate, which was up 2%
year over year in the first sixmonths.
But, that said, we can see inthe data and the feedback that
not every customer prefers emailcommunication.
So, as I mentioned earlier,we're looking at new
communication channels like textmessaging to help more of our
customers keep track of alltheir perks in a way that they
(18:40):
want to be updated.
Speaker 1 (18:42):
Excellent, and what are two or three things you're
most proud of for your program?
Speaker 2 (18:46):
Sure.
So, looking at our program andthe revamp that became Fleet
Feet Milestones, I'm most proudof the care that we took with
our people so that's, our localteams and our customers and I
think this is reflected in acouple ways.
So, first, our local storeowners and employees played a
critical role in shaping theprogram and by keeping them
(19:08):
informed and incorporating theirfeedback, we ensured smooth
adoption and strong localsupport.
The program name itself waschosen through a vote among our
brand advisory council members,which is a group of local owners
and operators, and store teamshave reported feeling
well-equipped and excited tointroduce the program to
customers.
In addition to customersentiment being up in a
(19:30):
measurable way, the excitementthat Fleafy Milestone members
have been expressing is so funand fulfilling to see.
Our sweepstakes and exclusiveaccess opportunities have been
particularly well received.
There was one winner whoreceived a trip to the LA
Marathon sponsored by ourpartners at ASICS, and they
shared with us.
He shared with us that he neverplanned to run a marathon but
(19:53):
after winning the prize, thatchanged for him and he accepted
the prize and finished the race,and that was really special to
hear about.
Speaker 1 (20:01):
That's awesome.
Those are great personalexperiences that show the kind
of strength of the brand, justthe relatability you have for
the brand.
So it's great to hear.
And the last question we haveyou know, what can Loyalty360 do
to help you and your team andyour customer loyalty efforts?
Speaker 2 (20:14):
Yeah.
So as customers' needs reallychange and evolve, I think that
all of us in the loyalty and CRMspace are faced with challenges
and opportunities to meet thoseneeds.
I'm really looking forward toleaning into the Loyalty360 team
, partners and attendees to hearmore about how others are
pushing programs and campaignsforward and finding new and
(20:36):
innovative ways to serve anddelight customers.
Speaker 1 (20:40):
Excellent.
And now we have our wonderfulquickfire question round, where
we like to ask a series ofquestions but keep the responses
short to one word or a shortphrase, and the first one we
have is what is your favoriteword?
Speaker 2 (20:52):
Epiphany.
Speaker 1 (20:54):
Excellent.
What's your least favorite word?
Excellent.
What's your least favorite word?
Bullish.
What excites you?
Speaker 2 (20:59):
Customer data.
Speaker 1 (21:01):
What do you find tiresome?
Speaker 2 (21:02):
Long report load times.
There you go, is there a bookthat you've read, that you're a
big fan of, that you'd like to?
Speaker 1 (21:12):
recommend to colleagues Never Split the
Difference by Chris Voss.
Okay, if there was a professionother than the one you
currently are in, is there onethat you'd like to attempt?
Speaker 2 (21:20):
Some kind of nonprofit work?
Okay, what do you enjoy doingthat?
You often don't get the time todo Chatting with other loyalty
and CRM experts.
Speaker 1 (21:31):
Okay, perfect.
Who inspired you to become theperson you are today?
Speaker 2 (21:35):
Honestly too many people to name.
Speaker 1 (21:37):
There you go.
What do you typically thinkabout the end of the day?
Speaker 2 (21:40):
My to-do list for the next day.
Speaker 1 (21:42):
And how do you want to be remembered by your friends
and family?
Speaker 2 (21:45):
Kind and hardworking.
Speaker 1 (21:47):
All right, great Well , Abby, thank you very much for
taking the time to speak with ustoday.
It's great having you on theLeaders in Customer Loyalty
series.
Looking forward to meeting youin person and looking forward to
keeping up with Fleet Feetthroughout the rest of the year
on kind of the evolution of theprogram and hearing about its
great success.
Speaker 2 (22:03):
Thanks so much, mark, I really enjoyed this.
Speaker 1 (22:05):
Absolutely, and thank you everyone for taking the
time to join us today.
Make sure you join us backevery Thursday for a new edition
of our Leaders in CustomerLoyalty series, the Brand
Stories, and we'll talk with yousoon.
Until then, have a wonderfulday.
Health and wellness have become cornerstones of the
modern American lifestyle, andthe industry is in the midst of
a rapid, continuoustransformation.
The definition fitness hasevolved dramatically.
No longer is limited to signingup for a gym membership,
lifting weights or logging tonsof miles on that local treadmill
(00:24):
.
Today, people are walking,hiking, biking and using apps to
track everything from caloriesto steps to personal performance
, all in the pursuit of becomingthe best version of themselves.
The shift has created newopportunities for innovation,
and one brand is leading the wayFleet Feet, a boutique running
(00:48):
store founded in 1976 inSacramento, california, has
grown into one of the mostprogressive fitness retailers in
the country.
Routed in community, fleet Feetalso operates one of the most
successful and innovativecustomer loyalty programs in the
retail space.
Today, we're excited to diveinto the industry, dive into the
story and explore the impactand evolution of the Milestone
Loyalty Program.
(01:09):
Joining us today is Abby Gurley, senior Manager of Customer
Loyalty at Fleet Feet.
Abby, how are you today?
Thank you for joining us.
Speaker 2 (01:17):
Sure, I'm great.
It's a beautiful day in NorthCarolina.
Speaker 1 (01:20):
That's great.
That's good to know For thosewho may not know about Fleet
Feet.
Can you give us a shortintroduction to the company?
Speaker 2 (01:27):
Sure.
So Fleet Feet was founded in1976 by two women, friends and
school teachers, sally andElizabeth, which is pretty cool
because the running industry wasstill very much male dominated
at that time.
The first store was located inSacramento, california, in an
old Victorian house.
It served as a hub for therunning community and those
seeking footwear.
Today, fleet Feet is thelargest franchisor of locally
(01:50):
owned and operated run specialtystores.
We have more than 280 stores in40 states and we're committed
to providing runners, walkersand fitness enthusiasts with
outfitting, expertise, robusttraining programs, community to
support and, of course, afantastic loyalty program.
Fleet Feet Milestones.
Speaker 1 (02:08):
That's awesome.
Looking forward to getting intomore about Fleet Feet
Milestones in a little bit.
What's the company's backstory?
You talked about where it wasfounded by two women, which is
awesome.
It was a local hub.
What was the opportunity thatthe founder saw?
Was it just more providing thatopportunity for the local
community to engage or, you know, was there a larger vision?
Speaker 2 (02:28):
I think it was a mix of both product and serving as a
hub in the community whererunners could get together and
find support.
Speaker 1 (02:37):
Excellent.
Can you tell us a little bitmore about your role with the
company?
You know?
How did you get into customerloyalty and were there positions
that kind of led you up to thisrole and said I really want to
be in customer loyalty, customerexperience?
Speaker 2 (02:50):
Sure, so I started with Fleet Feet in 2015,
actually at one of our franchiselocations Fleet Feet Pittsburgh
and I led the local marketingefforts there.
In 2018, I joined the storesupport team at Fleet Feet's
headquarters in Carrboro, northCarolina, and I've worn a lot of
different hats on the marketingteam, from focusing on
(03:11):
grassroots strategy to ournational activations, but most
recently I joined the CRM teamand I turned my efforts toward
revamping Fleet Feet's loyaltyprogram and we launched
Excellent.
Speaker 1 (03:24):
So when you look at your role, customer loyalty is
kind of a unique opportunity.
We were talking to some todayabout it kind of who moved over
from advertising.
They thought, oh, customerloyalty is going to be very easy
being in advertising.
They're like it's significantlymore difficult.
Right Analytics, marketingtechnology, the numbers really
have to match.
We're in advertising.
There's a lot of fluff, butwhen you look at your role, what
(03:49):
are some of the biggestchallenges or opportunities that
you face in your position?
Speaker 2 (03:53):
Sure.
So I think the most challengingbut also the most rewarding
part of my role is navigatingall of our stakeholders to
create the best possible program, campaigns and experiences
really for everybody involved.
So this includes our localowners and operators Are we
being mindful of their needs?
And the customers Are wecreating a premium rewards
(04:15):
program and offerings thatreally enhance their overall
experience with Fleet Feet andbring them a little extra joy?
But also our brand andcommunity partners.
So finding that perfect mix ofnew and exciting campaigns that
serve our local teams, ourcustomers and our partners is
definitely it keeps me diligent,but again, it's also so
(04:35):
incredibly rewarding when we'reable to accomplish this.
Speaker 1 (04:39):
OK, you look at the fitness industry, it's seen a
lot of a significant amount ofdisruption uh, more digital apps
, digital engagement.
Uh, you know people having homehome gyms and then people that
are running or doing more youknow, uh, different types of
outdoor activities.
You know how has the fitnessindustry maybe changed over the
last few years?
(04:59):
And you know the fitnessupstarts that are, you know,
doing some new things todifferent shoe entities.
Uh, you're kind of taking onthe legacy riders of Nike and
Adidas.
You know how do you see thefitness industry, the apparel
industry, fitness apparelindustry changing?
Speaker 2 (05:16):
So I think, when it comes to our customers and the
types of activities that they'reself-reporting, we do see a
real mix.
I think that one might assumethat Fleet Feet serves only
runners or people aspiring to berunners, and while we take a
lot of pride in being a one-stopshop for all things running, we
(05:37):
also see active people who aremore generally focused on their
health and running might be onepart of their overall fitness.
We also see people who are morefocused on walking, or people
who are aiming to just feel andmove more comfortably.
So, ultimately, because weserve such a range of customers,
(05:57):
as fitness trends come and go,flee Fee really remains
consistent and relevant, aresource for everyone and anyone
who needs a comfortable pair ofshoes or gear or community
support to support their uniquegoals.
Speaker 1 (06:11):
Okay, and when you look at some of the
macroeconomic issues that areimpacting a number of brands
right now, you know how are themacroeconomic issues impacting,
you know the industry and howare you preparing for them at
Fleet Feet.
Speaker 2 (06:26):
So Fleet Feet certainly doesn't operate in a
vacuum, and we've had a lot oflearnings in the almost 50 years
since we opened that firststore in 1976.
Over the decades, we found thatrunning and walking remains a
consistent part of people'sfitness routines, even during
times of economic uncertainty,probably because it's almost
always more affordable to buy anew pair of shoes versus joining
(06:48):
a gym or buying home equipment,for example.
So we don't take that forgranted, though, and we are
committed to continuing to showup for customers in new and
convenient ways again, with gearand personalized
recommendations, training andsupport.
Speaker 1 (07:04):
One of the big areas of interest in our community
right is customer loyalty.
Very impactful, very important.
What it means to differentorganizations vary.
Do you have organizationalsupport?
Are you buying into the programitself?
Is it a cost versus investment?
And when you look at customerloyalty, what does it mean to
Fleet Feet?
Speaker 2 (07:22):
So when I think about customer loyalty, there are a
few things that come to mind.
I think of the person who'sfound a community at Fleet Feet
through our training programs,and I think of the trust in
Fleet Feet that our local teammembers work hard to earn every
day by helping customers findthe best solutions for their
needs, whether that's aperformance product for their
(07:43):
next race or footwear to helpthem comfortably stand at work
all day or just take a walkaround their neighborhood.
I think people who bring theirfriends and family members back
to Fleet Feet.
They come to mind so that theycan share their amazing in-store
experience with others.
Ultimately, loyalty stems fromso many incredible areas that
(08:04):
make up Fleet Feet, and my goalwith Fleet Feet Milestones is
that it's really the cherry ontop of all those great
experiences and a friendlyreminder to come back and see us
again soon.
Speaker 1 (08:15):
Excellent when you look at the Fleet Feet Milestone
program award-winning greatprogram.
The Fleet Feet MilestoneProgram award-winning, great
program, very focused on thecustomer.
You know how does the visionyou have for the Fleet Feet
Milestone Program fit into youroverall vision for customer
loyalty?
Speaker 2 (08:32):
So, again, I think that it really complements what
we do in store every day.
I think it adds moments ofstated benefits that people can
really look forward to, but thenit also adds these surprise and
delight moments through, likeour sweepstakes or early access
opportunities.
It's really meant to just serveas another kind of perk and
(08:56):
reminder of why people choose.
Speaker 1 (08:59):
Fleet Feet.
That makes perfect sense.
And how long has the programbeen in existence?
Speaker 2 (09:04):
So we rolled it out just this past summer, in July
of 2024.
Speaker 1 (09:08):
Okay, excellent.
So when you look at the currentversion of the program, it's
been in existence since lastsummer.
How did it evolve from theprevious program?
Speaker 2 (09:19):
Sure.
So again, we rolled out FleetFeet Milestones in July 2024,
and the current program includestwo membership levels
Pacesetters and Frontrunners,plus annual birthday offers for
all members.
And then Frontrunners alsoenjoy accelerated earning,
higher valued birthday offersand access to sweepstakes and
special opportunities.
Prior to Fleet Feet Milestones,we rolled out our first ever
(09:43):
national program in 2019.
And over time, we monitoredcustomer behaviors and gathered
insights to guide our loyaltyprogram evolution.
Some of those included customerpurchase and engagement metrics
.
So we analyzed a year's worth ofcustomer behavior and, while
our program met industrystandards in a lot of areas,
there were two critical metricsbased fund rate and earning rate
(10:05):
that were significantly higherthan average.
So to ensure long-termsustainability and create room
for innovation, we did need toadjust those factors.
We also leaned into customersurveys and we heard from more
than 5,000 customers who sharedtheir preference and ultimately
helped us prioritizeenhancements like the birthday
offers and those early accessopportunities and sweepstakes as
(10:28):
well.
So ultimately, by blending thecustomer insights, our local
store feedback and data drivenenhancements, Fleet Feet
Milestones delivers a loyaltyexperience that deepens customer
engagement while remainingmanageable and sustainable for
our local franchise andcompany-owned stores.
Speaker 1 (10:45):
You talked about it a little bit.
Customer feedback looked at theredemption rate, the earning
rate as you evolved the program.
How important was the feedbackfrom customers as you look to
evolve and roll out the newprogram?
Speaker 2 (10:57):
last year, it was incredibly important, so it
really helped us to shape thedifferent benefits that we would
provide through the program.
I think we were not reallysurprised, but it was validating
to see how special birthdaysare for people and how they want
to be recognized during thattime of year with some kind of
special offer.
(11:18):
And then the sweepstakes reallybubbled up as well as something
that folks look forward to.
Speaker 1 (11:24):
Excellent.
When you look at the vision forthe program, it seems to be
very integrated within theorganization.
Has strong exec level support.
When you look at the vision forthe program, where do you want
to take the program in thefuture?
Speaker 2 (11:37):
So we really continue to closely monitor customer
sentiment and feedback as welook to further enhance and
evolve and so that we continueto deliver on things that
customers are asking for.
One quick example is morereminders via text message so
that customers are even moreaware of the offers and the
points that they have and theirexpiration date, so that they
(12:00):
never miss an opportunity toredeem their benefits.
Other than that, we're lookingfor more ways to surprise and
delight our members with moreunique offers or special access
opportunities, for example.
Ultimately, we want the programto continue to serve as just
one more reason and reminderaround why customers choose
Fleet Feed.
Speaker 1 (12:20):
Okay, one of the challenges we see in our
audience is the engaging ofyounger consumers.
Right, making sure the productis simple, easy to understand,
provides value, doesn't havesome of the complexities that
some loyalty programs have.
When you look at Fleet Feet,who prides itself on blending
performance gear withcommunity-driven experiences,
and how is the opportunity orthe challenges you see of
(12:44):
getting kind of a youngergeneration involved with the
brand and with the customerloyalty program?
Speaker 2 (12:50):
Sure.
So while we are focused on morecustomer segmentation to ensure
that we're catering todifferent preferences and needs,
our younger customers aretypically within that 30 to 45
range, and when we focus ongroups younger than that, that's
most often reflected in theways that we show up to support
the next generation of runners.
(13:10):
So, for example, we're so proudof our partnership with Girls
on the Run and the work they do,and Fleet Feet currently serves
as their national 5k sponsor.
Additionally, many of ourowners and operators foster
partnerships with their localtrack and cross country coaches
and teams, and they supportthose young athletes with
outfitting events and the gearthat they need for a success.
(13:33):
It's really a mix of the kindof perks that we bring to
consumers via Fleet FeetMilestones, but also there's a
lot of partnerships and localoutreach as well.
Speaker 1 (13:44):
That's awesome.
When you look at emotionalloyalty, that's another facet of
customer experience CRM,customer loyalty that's very
important because brands know ifthey have an emotive brand, if
they have an emotionalconnection with their customers,
that it can be simplyadvantageous from a financial
performance perspective.
So when you look at emotionalloyalty, what does it mean to
(14:04):
Fleet Feet and what are some ofthe challenges you have with
regard to potentially measuringcustomer loyalty?
Emotional loyalty that is Sorry.
Speaker 2 (14:12):
Sure, I think that emotional loyalty shows up for
us in both quantifiable andqualitative ways.
Emotional loyalty shows up forus in both quantifiable and
qualitative ways.
So we see our Fleet FeetMilestones.
Member revenue is up 9% yearover year and this is the
timeframe that encompasses thefirst six months after we made
significant changes to theloyalty program and rolled out
Fleet Feet Milestones.
(14:32):
I think these numbers aretelling us that we put in the
work to listen to what thecustomer wants in a loyalty
program and the impact and howthey're responding shows in
those numbers.
Additionally, our customersentiment around the loyalty
program has improved 3% yearover year, which is measured
from feedback directly from thecustomer after they visit Fleet
(14:53):
Feet.
So again, these hard numbersare telling us that we're headed
in the right direction.
But on top of that, thequalitative feedback customers
provide us really helps to giveus an even greater sense of
their emotional loyalty and whythey choose Fleet Feet.
We had one customer who gave usgreat feedback after a purchase
and they shared quote.
(15:16):
The rewards program is great.
You have great deals onproducts I trust and use and I
do get the sense that it'sgenuinely important to the
company to help people runhealthy.
So ultimately, I feel thatemotional loyalty is the trust
and fleet fee that we earn andwork hard every day to keep with
our customers excellent.
Speaker 1 (15:35):
You have a great deal of data on your customers
transactional data, behavioraldata, biometric data from feet
scanners, fitness app tracking.
How do you use the data in astewardly manner to drive the
personalization that you spokeof early?
And obviously there's thischallenge of staying compliant,
making sure you're only trackingessential cookies or essential
(15:57):
data points.
How do you balance all of thatwithin TP?
Speaker 2 (16:01):
Sure, I think transparency is really key here.
So, as policies evolve, we makesure that we and our local teams
are communicating the what, whyand how to customers via email
or in our stores, so thatthey're not caught by surprise.
We also work hard to ensure thatthe customer is the one making
the decision every step of theway when it comes to their data,
(16:23):
loyalty program membership andhow they engage with it.
So they, the customer, providetheir email address if they'd
like their scan data kept onfile.
They take action to join FleetFeet Milestones in store.
They tell us if they want tocontinue to hear from us via
email.
They take action to join FleetFeet Milestones in store.
They tell us if they want tocontinue to hear from us via
email.
They give us their birthday ifthey want a birthday offer, and
(16:44):
we continue to see great resultswhen we leave that element of
choice to the customer.
So, for example, we see around90% of our new customers opting
in to join our loyalty program,and while 100% is even better,
it's more important to us thatthe customer enrolling in the
program is doing sointentionally and that they're
excited by what Fleet FeeMilestones has to offer.
Speaker 1 (17:06):
You talked about personalization a little bit
earlier.
It's a major focus for manybrands these days, right To make
sure they have the relevantmessage, the right channel, the
right time.
When you look at fitness andwellness space, it's diverse, as
you mentioned.
People could be runners,walkers, they lift weights all
kinds of fitness opportunities.
You know how do you look atpersonalization and making sure
(17:31):
you're catering to this verydiverse audience.
Speaker 2 (17:32):
Sure, so we're really grounding our personalization
efforts in how we can be evenmore helpful for customers.
So this does involve a mix ofdata and customer feedback to
best understand how we canimprove the fleet feed,
milestones and overall customerexperience, based on the
customer's unique needs andpreferences.
So, for example, I mentionedthat we surveyed more than 5,000
(17:55):
customers to understand theirpreferences before we made any
changes to the loyalty programand ultimately, their direct
feedback is what helped us inour decision making and which
enhancements to prioritize.
Additionally, we were alsopleased to roll out several new
email automations this summer tokeep members informed around
their points and their rewardbalances, and we believe this
(18:17):
additional communication andhelpful reminders has
contributed to the growingredemption rate, which was up 2%
year over year in the first sixmonths.
But, that said, we can see inthe data and the feedback that
not every customer prefers emailcommunication.
So, as I mentioned earlier,we're looking at new
communication channels like textmessaging to help more of our
customers keep track of alltheir perks in a way that they
(18:40):
want to be updated.
Speaker 1 (18:42):
Excellent, and what are two or three things you're
most proud of for your program?
Speaker 2 (18:46):
Sure.
So, looking at our program andthe revamp that became Fleet
Feet Milestones, I'm most proudof the care that we took with
our people so that's, our localteams and our customers and I
think this is reflected in acouple ways.
So, first, our local storeowners and employees played a
critical role in shaping theprogram and by keeping them
(19:08):
informed and incorporating theirfeedback, we ensured smooth
adoption and strong localsupport.
The program name itself waschosen through a vote among our
brand advisory council members,which is a group of local owners
and operators, and store teamshave reported feeling
well-equipped and excited tointroduce the program to
customers.
In addition to customersentiment being up in a
(19:30):
measurable way, the excitementthat Fleafy Milestone members
have been expressing is so funand fulfilling to see.
Our sweepstakes and exclusiveaccess opportunities have been
particularly well received.
There was one winner whoreceived a trip to the LA
Marathon sponsored by ourpartners at ASICS, and they
shared with us.
He shared with us that he neverplanned to run a marathon but
(19:53):
after winning the prize, thatchanged for him and he accepted
the prize and finished the race,and that was really special to
hear about.
Speaker 1 (20:01):
That's awesome.
Those are great personalexperiences that show the kind
of strength of the brand, justthe relatability you have for
the brand.
So it's great to hear.
And the last question we haveyou know, what can Loyalty360 do
to help you and your team andyour customer loyalty efforts?
Speaker 2 (20:14):
Yeah.
So as customers' needs reallychange and evolve, I think that
all of us in the loyalty and CRMspace are faced with challenges
and opportunities to meet thoseneeds.
I'm really looking forward toleaning into the Loyalty360 team
, partners and attendees to hearmore about how others are
pushing programs and campaignsforward and finding new and
(20:36):
innovative ways to serve anddelight customers.
Speaker 1 (20:40):
Excellent.
And now we have our wonderfulquickfire question round, where
we like to ask a series ofquestions but keep the responses
short to one word or a shortphrase, and the first one we
have is what is your favoriteword?
Speaker 2 (20:52):
Epiphany.
Speaker 1 (20:54):
Excellent.
What's your least favorite word?
Excellent.
What's your least favorite word?
Bullish.
What excites you?
Speaker 2 (20:59):
Customer data.
Speaker 1 (21:01):
What do you find tiresome?
Speaker 2 (21:02):
Long report load times.
There you go, is there a bookthat you've read, that you're a
big fan of, that you'd like to?
Speaker 1 (21:12):
recommend to colleagues Never Split the
Difference by Chris Voss.
Okay, if there was a professionother than the one you
currently are in, is there onethat you'd like to attempt?
Speaker 2 (21:20):
Some kind of nonprofit work?
Okay, what do you enjoy doingthat?
You often don't get the time todo Chatting with other loyalty
and CRM experts.
Speaker 1 (21:31):
Okay, perfect.
Who inspired you to become theperson you are today?
Speaker 2 (21:35):
Honestly too many people to name.
Speaker 1 (21:37):
There you go.
What do you typically thinkabout the end of the day?
Speaker 2 (21:40):
My to-do list for the next day.
Speaker 1 (21:42):
And how do you want to be remembered by your friends
and family?
Speaker 2 (21:45):
Kind and hardworking.
Speaker 1 (21:47):
All right, great Well , Abby, thank you very much for
taking the time to speak with ustoday.
It's great having you on theLeaders in Customer Loyalty
series.
Looking forward to meeting youin person and looking forward to
keeping up with Fleet Feetthroughout the rest of the year
on kind of the evolution of theprogram and hearing about its
great success.
Speaker 2 (22:03):
Thanks so much, mark, I really enjoyed this.
Speaker 1 (22:05):
Absolutely, and thank you everyone for taking the
time to join us today.
Make sure you join us backevery Thursday for a new edition
of our Leaders in CustomerLoyalty series, the Brand
Stories, and we'll talk with yousoon.
Until then, have a wonderfulday.
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