The new division will extend Hicklin Slade's existing client services and centre on collaboration, establishing loyalty marketing as a "clear division" within its business.
Loyalty Practice will work with clients across customer data and other marketing activities to identify loyalty opportunities and develop practical recommendations for brands.
It is understood that the agency's loyalty recommendations, which will initially focus on the retail and finance sectors, will not be tied to specific loyalty programmes and so client advice will be impartial.
Loyalty Practice will be headed by Isaacs, who is credited with nine years agency and client experience across a range of financial brands, including NatWest, Barclaycard and Lloyds TSB, as well as John Lewis and Vodafone.
During her time at Dunnhumby, where she was senior consultant, Isaacs worked with brands in the travel, retail and financial sectors, to improve their customer loyalty value to clients.
Justin Hicklin, chief executive officer of Hicklin Slade & Partners, said: "We have developed and focused our offering on our clients, and building measurable relationships with their customers -- relationships that we can grow year on year.
"In order to deliver this vision it was essential that we expanded our offering. Establishing loyalty as a clear division and recruiting big hitters such as Louise demonstrates our commitment to answering the client challenges of the future."