Cineplex Entertainment: the Loyalty Program

1691 Words Nov 6th, 2011 7 Pages
As the Cineplex customer surveys of 2006 have indicated, the customers are responding very positively on possible movie rewards program. There's a need to create a CRM-system for Cineplex and also rewards program that both improves customer loyalty and enables more efficient new customer acquisition. Even though the CRM-program may feel expensive, it is worth the price and that's shown in this document. Getting more information about our customers is a key factor in developing our business forward to new level.

REWARD STRUCTURE OF THE PROGRAM

The program itself should be simple and easy to understand. Even though the main segment for this program is "young people" (16-24 years old), it will benefit all the other segments as well. Getting
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It is easy to trust them, because they have already made some advance surveys and seem to be very reliable partners. Choosing Alpha allows Cineplex to start the program quicklier than other partner candidates. Their proposal also gave all the needed information about program costs. Design costs of 500 000 CAD will be paid once and the upkeeping cost will be about 480 000 CAD a year.

MARKETING

It is extremely important to do marketing properly while launching the movie rewards program. There's a wide range of different medias possible to use for marketing and using many of them makes it easier to find the target segment (under 24 years old people). Even though the target segment is mostly familiar with radio and internet marketing, newspaper marketing can not be forgotten, because it is the best way to reach other customer groups. In-theater and Scotiabank's advertising are relatively cheap and effective advertising methods and that's why they should be playing a major role in this campaign. Due the cost-efficiency reasons, the campaign should be launched nationally. If the everything is well planned, there's no risk that anything would go wrong and the reputational risk of failed campaign is minimized.

At this part of the planning process the program could be named as "Movie Master". The marketing message should be somehow related to company's mission and could be "enlarging