Interview: Lyca Mobile CEO Richard Schäfer on data-driven decision making and driving brand loyalty

Mobile Marketing Magazine sits down with Lyca Group’s CEO Richard Schäfer to discuss the network operator’s strategic digital strategy, the challenges of navigating data privacy and the company’s vigilance in monitoring emerging trends.

On unlocking loyalty via digital tools

Lyca Mobile launched in 2006 and has garnered over 16 million customers in 22 countries thanks to its ethos of combining the power of connectivity and affordability.

However, the heart of Lyca Mobile’s success lies in enhancing digital tools to unlock customer engagement and foster brand loyalty.

According to Schäfer, who joined the company in 2021, digital segmentation based on user patterns allows the company to trigger personalised offers and catering to various customer segments, which he believes will be more beneficial for its different customers such as students and migrant communities.

“We experiment and leverage offers tied to significant cultural holidays such as Diwali, Lunar New Year and Christmas,” he tells Mobile Marketing Magazine.

“These highly customised, digitally-led campaigns have resulted in an increase in usage on our platform as well as enhanced customer retention by 6%.

“In our focus on value and fairness as our key pillars, we’re successfully positioning ourselves as a consumer champion, targeting a growing segment of customers seeking better value for money in the SIM-only market.”

On offering an improved omnichannel experience

Lyca Mobile’s pursuit of an improved omnichannel customer experience is evident in its cross-channel marketing approach.

Its approach is a mix of high street presence and strategic digital embrace, which Schäfer emphasises the importance of.

He says: “Our increased focus on digital channels, alongside our traditional high street store strategy, contributes to a cohesive and integrated customer journey.”

“Not only are we ensuring a consistent brand experience across our channels, but we are also localising our products and messaging to engage with multiple communities within each of the markets we operate in.”

As a result, Schäfer claims many customers discover and engage with the brand via its digital platforms.

Highlighted by recent out-of-home campaigns and summer promotions, the integration of traditional and digital channels maximises impact and reach, he adds.


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On the ‘crucial’ role of personalisation and data-driven decisions

“Personalisation is crucial to what we see as the next evolution of our mobile business,” the former Lebara and Vodafone exec continues.

“Our digital marketing tools and implementing an improved omnichannel approach. The use of real-time proposition fulfilment ensures that customers receive personalised offers aligned with their individual preferences and behaviours.”

He states that Lyca Mobile’s segmentation strategy, guided by data insights, allows for targeted and relevant campaigns, enhancing the overall personalisation of the customer experience.

According to Schäfer, data plays a pivotal role in shaping Lyca Mobile’s decisions, whether that is marketing strategies or product offerings.

As a result, he stresses the importance of analysing both internal and external data points to guide decisions tailored to diverse customer segments worldwide.

He states: “In our marketing world, data guides how we engage with our consumers and what products and plans we offer to them. We operate around the world and our segments look wildly different in Sweden compared to Spain for example, so a one-size-fits-all approach to how we market is not realistic.”

“This translates to a difference in channel mix, messaging, offers and media choices according to the market.”

However, in terms of how Lyca Mobile ensures it is respectful and compliant with its customer’s data, it adheres to “robust internal policies that guide responsible data use as well as adherence to strict data governance policies”, he claims.

However, as the group trades in over 22 countries, Schäfer branded data privacy across the Lyca Mobile countries of operation as “challenging”, revealing it deals with five different sets of regulations.

As a result, the company invested in a dedicated Lyca Mobile Data Protection Office that works hand in hand with the business to ensure that relevant marketing programmes, as well as data processing activities, are in-line with local laws.

He adds: “Having committed resources that are focused on ensuring that the high standards instilled within GDPR are our reference point.

“We can give marketers the autonomy to roll out initiatives like personalised offers of more beneficial roaming packages as well as bespoke content that demonstrate an understanding of a customer’s interests and needs.”

He states: “Utilising a combination of legitimate interest, customer consent and an analytical approach, we’re executing a customer-centric marketing approach while at the same time respecting user privacy.”

On staying at the forefront of innovation

“We keep a close pulse on emerging industry trends to stay agile, regularly collaborate with our technology partners, and importantly, we foster a culture of innovation amongst all team members at Lyca Mobile,” Schäfer adds.

“Some key things we are doing to stay ahead of the curve is to implement best-in-class attribution software to guide and optimise our digital marketing as well as to integrate our online and offline touchpoint.”

He concludes with revealing these initiatives simplify and allow the group to track user journeys, which in turn increases how it offers personalised communications to its users based on how they are engaging with the brands. 

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