Tesco uses AI to personalise loyalty scheme

  • May 13, 2024
  • Steve Rogerson

UK supermarket chain Tesco is using artificial intelligence (AI) technology from SaaS company Eagle Eye to create digital customer connections enabling personalised, real-time marketing.

The company has secured a one-year contract, with the option to renew for a further year, with Tesco for its AI-powered Personalised Challenges offering, building on its existing relationship with the retailer.

EagleAI Personalised Challenges is a digital platform that allows retailers to personalise promotions, providing customised challenges designed to reward incremental behaviour. In-built AI and deep machine learning facilitate hyper personalisation through its analytics capability, providing consumers with promotions more suited to them.

Following a trial, with a higher than anticipated participation rate, Tesco will roll out Personalised Challenges to more members of its Clubcard loyalty scheme in the coming months, under the name Clubcard Challenges. This will power personalised and gamified offers and promotions to each individual Clubcard member.

“We are constantly looking for ways to make Clubcard work harder for our customers,” said Lizzie Reynolds, group membership and loyalty director at Tesco (www.tesco.com). “With Clubcard prices on around 8000 products, it is saving customers up to £360 off the annual cost of their groceries. Personalisation is about using what we know about customers to make their experience better and our rewards more helpful, and we’re very excited to see how our customers respond to Clubcard Challenges.”

Tim Mason, CEO of UK-based Eagle Eye (eagleeye.com), added: “It’s a privilege to be working with Tesco, one of the world’s great retailers and an acknowledged leader in customer loyalty, to usher in its next stage of personalised promotions. This win underlines the power of EagleAI, capable of creating and delivering millions of hyper personalised marketing messages, and our position at the forefront of personalised marketing.”

The EagleAI Personalised Challenges became part of the Eagle Eye offering through last year’s acquisition of Untie Nots.