Table of Contents
Introduction 1
What are LDExtras and why implement the program? 2
Factors that would Help Facilitate the Change 2
1) Program piloted with staff 2
2) Support from head office 3
Barriers to Change 3
1) Long-term staff who are resistant to change 3
2) Failing to create a guiding coalition 3
3) Competing with other customer loyalty programs 4
4) Lack of communication of vision 4
5) Lack of importance placed on training and inadequate training programs 4
6) No follow up after initiatives are implemented 5
Conclusion 5
Appendix A: Works Cited 6
Appendix B: LDExtras Program Details 7
Introduction
London Drugs (LD) is currently in the process of implementing a customer loyalty program called LDExtras .While the
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c) as it learns customers preferences and tailors rewards accordingly. Furthermore, since LD currently serves Canadians across 4 provinces the customization of rewards ensures that the entire customer base will be engaged and satisfied with the program and have their diverse needs met. This is especially important in the current retail environment as customer retention is paramount due to the ease of access to information and surplus of options customers’ have. Not only will the program will change and enhance how the company engages its customer base it will provide valuable information about customer. The information provided regarding customers shopping habits (visit frequency, purchase history, average purchase value etc.) will aid the LD in its future endeavours and be invaluable in maintaining and growing competitive advantage. Additionally program goals and desired outcomes include:
1) Growing the customer base.
2) Increasing loyalty among the existing customer base.
3) Increasing customer satisfaction ratings
4) Increasing customer retention rates.
5) Increasing sales.
Factors that would Help Facilitate the Change
1) Program piloted with staff
Through piloting the program with staff, employees were able to get a firsthand experience with the loyalty program. Not only did this enable the company to see if there were any problems with the system before its public launch but it also served as a way to get staff onboard with and support the change. As a
The Purpose: Today’s society focuses on customers’ satisfaction, most business ask the consumer to take surveys to learn more about their experience. It is highly important to make sure our customers leave happy and satisfied with our service, and if they feel any different we need to get
Developing a loyalty program is challenging. You team must understand what will keep your current customers interested and what will spark them to purchase multiple times.
The Frequent Shopper program is to bring the benefit of an increase in revenue for Kudler Fine Foods. Kudler has partnered with a loyalty points program to provide customers with points which can be redeemed for gifts, airline upgrades, and specialty foods. Additional objectives may to obtain a higher customer base, increase customer satisfaction, and gain customer loyalty. These opportunities can be measured and weighed against the costs of the project. The feasibility study will determine if the costs of partnership are feasible for the desired benefits.
Kudler Fine Foods (KFF) is a specialty food store chain in California. Smith Systems Consulting (SSC) was contacted by KFF to develop a Frequent Shopper Program (FSP). The FSP will be able to monitor client purchasing history and accumulate the history as redeemable loyalty points which clients can use for gift items and other products or services available through external partner companies. The Sales and Marketing page section of KFF’s intranet site describes the strategic purpose of the FSP.
In the loyalty program literature on the FXmedia’s website (http://www.fxmweb.com), FXMedia (2011) states “With intelligent customer segmentation and targeted campaigns, each member of your program can feel like they are customers of their own "personal company", where everything is designed around their lifestyle and purchase behaviour patterns.” (para. 2).
Marketing, sales, and service are three major areas that e-CRM’s should put most focus and value to for the total business package. Kudler needs to establish a formal business plan for the Frequent Shopper Program before inception of the e-CRM project. The plan requires a detailed outline that brings forth these elements pertaining to the compiled projected costs, tangible financial benefits, and intangible strategic benefits, also risk assessments for the project.
There are two main overall objectives of Harrah’s Database marketing (DBM) programs. First, Harrah’s strived to build, increase and retain customers’ loyalty to their brand, similar to the way people tend to be loyal to their mechanic or hair dresser. The strategy to achieve this goal was to ensure that they crafted and sustained a relationship with their customers and reinforced the emotional tie with personalized attention and fast service. The second objective piggy-backs on the first – that customer loyalty will yield incremental business and increase company revenue.
Kudler Fine Foods is a much renowned food store, established at the different locations in California. The main focus of the store is to have ‘profit maximization’ by providing quality products at appropriate prices, in comparison of the competitors. The firm also wants to satisfy its clientele. Through this objective, the store wants to acquire major expansion. It currently wishes to enlarge its services by attaining perfection in the in the operational activities. Kudler also desires to increase the 'consumer purchase cycle ' which they hope will result in an increase of both profitability as well as loyalty. Kudler 's latest idea to increase its revenue is to implement a customer rewards program that will record customer purchases that
Is Kudler positive that the consumers want parties and loyalty programs? How did Kudler settle on what was the most important component that would be a magnet for more business? Hence, before Kudler decides to place into motion any course of action or program, Kudler should study a number of habitual customers and find out through their opinions as to what they would like to see in a rewards plan. As well, Kudler needs feedback concerning the parties because it is plausible they might not catch the attention of the quantity of people expected by Kudler. For that reason, this subject matter should be incorporated in to
The following report establishes the buying habits of the customers and determines what motivates them to come to our business. From research done elsewhere, it was noted that the age as well as the income level are major determinants of the buying habits of customers. In order to establish whether this really applies to our business as well, a survey was sent to a sample of 200 of our customers. The customers were asked to give their age and level of income only and they were rewarded with a gift card of $25 towards their next purchase.
* Customer loyalty program. The company secured a high level of customer loyalty due to its membership program and its general approach to customizing services to the needs of every customers.
Reward patrons and keep them coming back by utilizing an integrated loyalty program such as FlexGift®
The CVS Extra Care loyalty program was created in 2001 and is known in the United States as the largest loyalty-card program today. By developing the loyalty program CVS is able to identify buying behavior of their customers which enables them to create unique marketing techniques. CVS has created three target marketing audiences from the information they retrieved from their retail information system (RIS), they are: Caroline, Vanessa and Sophie. Each of these audiences identifies the typical CVS customer. This is a great resource to identify shopper insights. Caroline is
Retail walk-in buyers: As stated in the case, the main source of data of retail customers is the insurance forms as many of the retail walk-in buyers buy products that are covered in their insurance plan. The data entries regarding the products purchased through insurance can be use and hard copies of the forms signed by the retailers can be helpful as well. Similarly, sales ticket invoices of the retailers that bought equipments can be use to include the details of customers who purchased on cash.