Building “Suki” for life: How SMAC is redefining loyalty in the Philippines

Learn how SMAC, the Philippines’ leading loyalty program, is redefining customer engagement by cultivating “suki” relationships through data-driven strategies and an omnichannel approach powered by Infobip. 

Ana Rukavina

In the Philippines, the term “suki” refers to a special relationship between a customer and a business built on trust, familiarity, and mutual benefit, which goes beyond a typical buyer-seller interaction. 

SMAC, the country’s leading retail loyalty program developed by Digital Advantage Corporation (DAC), is transforming how brands connect with customers through an omnichannel approach that reaches consumers across their preferred channels. With over 10 million members, SMAC understands the value of cultivating “suki” in today’s dynamic market. By combining data-driven insights with an omnichannel approach, SMAC is not only redefining customer loyalty but also strengthening the bonds of “suki” for the digital age.

The rise of loyalty programs in the Philippines 

The loyalty program market in the Philippines is projected to hit US$1.08 billion by 2028. This tells us two things. First, Filipino consumers are increasingly looking for ways to get more value from the brands they love. Second, businesses are realizing that keeping loyal customers is crucial in today’s business environment. 

SMAC’s doubled membership since 2020 underscores the power of loyalty programs in capturing the hearts of Filipino consumers. 

10 million+: SMAC loyalty program members

100%: Membership growth since 2020 ending in 2023

US$1.08 billion: The projected size of the loyalty market in the Philippines by 2028

But as Jay Cabaña, Head of IT Services at SMAC, highlights, the true essence of loyalty goes beyond simple rewards:

For loyalty, it is now beyond points and discounts. Though still a core of loyalty, these are now just the bare minimums to run a loyalty program. The real battle is overall program value and customer experience.

Jay Cabaña

Head of IT Services, SMAC

To deepen their connection with Filipino consumers and cultivate “suki,” brands need to build genuine relationships, understand customer needs, and create experiences that foster a true sense of connection and appreciation.  

Meeting customers where they are: The power of omnichannel 

As one of Southeast Asia’s fastest-growing economies, the Philippines is a hotbed of digital activity. Consumers are constantly connected, engaging with brands across a multitude of channels – from messaging apps and social media to email and in-store experiences. 

Recognizing this, SMAC partnered with Infobip to create a truly omnichannel loyalty program. Using our customer engagement solution, Moments with mGate, to facilitate seamless data exchange and synchronization, SMAC can orchestrate personalized communications across Viber, SMS, and Email.

SMAC’s partnership with Infobip played an important role in improving our engagement and retention efforts. The solution allowed us and our partners to communicate with our members effectively, in a timely manner, and with minimal support requirements. Automated workflows are also utilized to remind members of their card validity and inform them of their tier promotion or downgrade.

Jay Cabaña

Head of IT Services, SMAC

By automating key communications and delivering timely, relevant messages across multiple channels, SMAC can nurture customer relationships more effectively. Imagine a member browsing the latest deals on the SMAC&SHOP app and receiving a personalized push notification about a flash sale on their favorite items. Or picture a timely SMS reminding them of expiring points, encouraging them to redeem rewards before it’s too late. Perhaps a personalized email arrives on their birthday with an exclusive discount voucher, making them feel valued and appreciated. 

These personalized touches, powered by our robust infrastructure, contributes to a consistent and engaging brand experience, no matter where members choose to interact with SMAC. 

However, the benefits of this omnichannel strategy extend beyond enhancing customer experience. By understanding how members interact across different channels, SMAC gains valuable data and insights that allow for even deeper personalization.  

Data is the foundation of loyalty programs  

Data is the bedrock of any successful loyalty program, and SMAC is no exception. Analysis of customer behavior and preferences provides SMAC with valuable insights that enable personalized offers, timely communications, and, ultimately, a more rewarding customer journey, fostering deeper “suki” connections.

Data is core to any loyalty program. Having a good understanding of your customers allows the business to make the necessary effort that will generate the most impact. Technology, on the other hand, allows the business to run the actual efforts.

Jay Cabaña

Head of IT Services, SMAC

The relationship between data and technology is essential for driving loyalty. Data provides insights, while technology offers tools to act on those insights, enabling personalized experiences and targeted engagement. 

However, implementing a data-driven omnichannel strategy is not without its challenges. Legacy systems, a common hurdle for established organizations, require careful navigation. As Cabaña explains: 

We structure our approach to adapt to both legacy and future technologies, decoupling services to core systems and designing a more agile process to maximize what we currently have and also be able to pivot immediately once the required changes are made.

Jay Cabaña

Head of IT Services, SMAC

SMAC’s agile approach, incorporating both existing and emerging technologies, allows them to adapt and advance seamlessly. As a result, they can maximize the value of their data while addressing the challenges of legacy systems, ultimately delivering a truly rewarding loyalty experience for their members. 

With a strong foundation in data and a commitment to technological innovation, SMAC is well-positioned for continued success. So, what does the future hold for this loyalty leader? 

Look into the future of loyalty programs 

SMAC’s vision for the future is clear: continued growth fueled by technological innovation and an unwavering focus on customer experience. The partnership with Infobip will be instrumental in achieving these goals, enabling SMAC to deliver a truly holistic and engaging omnichannel experience that deepens customer relationships. 

We aim for continuous growth and maximizing technological advancements that will allow us to continuously provide our members with the best customer experience and value for money. Infobip will play a major part in these efforts as we continue to reach more members. The solution will allow us to create a holistic experience across the different channels we have.

Jay Cabaña

Head of IT Services, SMAC

SMAC is not just building a loyalty program; it’s building lasting “suki” relationships. Filipino values, combined with data-driven strategies and cutting-edge technology, are how SMAC shapes the future of customer loyalty in the Philippines, one meaningful interaction at a time. 

Nov 11th, 2024
5 min read

Ana Rukavina

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