Shopper Matters Episode 3: AppCard's Eran Harel on Unlocking Shopper Loyalty

The retail landscape for independent grocers continues to evolve, with shopper behavior shifting dramatically in recent years. On a recent episode of the Shopper Matters podcast, IGA VP Brand Development Michael La Kier spoke with AppCard SVP of Corporate Development Eran Harel to discuss how independent grocers can leverage personalized marketing, shopper analytics, and digital coupons to stay competitive. The conversation highlighted key strategies for enhancing shopper engagement, driving loyalty, and making data-driven decisions that impact the bottom line.

Watch the interview below or listen on Amazon, Apple, Podbean, or Spotify. Keep reading for key takeaways.

The Shopper Shift: Adapting to Changing Habits

Post-pandemic shoppers have pivoted from home cooking to dining out more frequently, Harel noted. This shift underscores the growing importance of delivering value and a unique shopping experience. He introduced the "Power of Three" framework for independent grocers, which includes:

1. Competitive Pricing – Ensuring price perception remains favorable.
2. Alignment with Shopper Values – Supporting community initiatives, local sourcing, and wellness-focused offerings.
3. Making Shoppers Feel Valued – Engaging in personalized communication and loyalty-building strategies.

By implementing these principles, independent grocers can foster stronger connections with their customers and reinforce their role as essential community hubs.

Personalization & Loyalty: Earning Customer Trust

Harel and La Kier noted that loyalty programs must go beyond simply offering points and discounts. Harel stressed that loyalty is earned through relevant offers, actionable insights, and strategic communication. Successful programs integrate:

1. Easy-to-use technology to ensure seamless shopper interactions.
2. Accessible data analytics that empower grocers to make informed decisions.
3. Dedicated support to help retailers customize their loyalty strategies effectively.

AppCard’s loyalty approach can be seen through real-world success stories, including Hansen's IGA Markets, KJ's Markets, and Nam Dae Mun Farmers Markets, all of whom were named 2025 IGA Retailers of the Year. These retailers excelled by leveraging AppCard’s insights to enhance shopper engagement and drive sales.

Data-Driven Success: Real-Time Insights in Action

Harel illustrated the power of real-time shopper analytics through a compelling example: A retailer with a surplus of lobsters was able to quickly identify seafood shoppers and send targeted promotions, clearing out inventory within hours. This showcases how independent grocers can harness actionable data to address immediate business challenges and maximize sales opportunities.

Moreover, AppCard’s ability to measure return on investment (ROI) through A/B testing, same-store sales analysis, and basket size growth further solidifies the impact of a well-executed loyalty program. Shoppers who redeem points, for example, spend 23% more per visit, contributing to an additional $160 in annual spending per customer.

The Future of AI in Retail: AppCard’s "Pinky 2.0"

A highlight of the conversation was AppCard’s new AI-driven system, Pinky 2.0. This advanced engine leverages machine learning to analyze both individual purchase history and lookalike shopper behaviors, leading to a 15% boost in product movement across 2,500 stores. By automating personalized offers, independent grocers can improve customer satisfaction while increasing store profitability.

Balancing Promotions with Privacy

As data privacy concerns grow, Harel emphasized the importance of maintaining shopper trust. Retailers must ensure compliance with state regulations, honor data deletion requests, and communicate transparently about how customer data is used. Striking a balance between personalized promotions and privacy safeguards will be key to sustaining long-term shopper relationships.

The Triple Win: Delivering Value for All

The episode concluded with a discussion on ensuring that loyalty programs create a "triple win"—benefiting shoppers, retailers, and vendors alike. By focusing on both tangible cost savings and perceived value, independent grocers can implement loyalty strategies that are sustainable and effective.

With technology, personalization, and data-driven decision-making at the forefront, independent grocers have more tools than ever to compete in an evolving retail landscape. By embracing these strategies, they can foster deeper shopper engagement, drive sales, and build lasting customer relationships.