Hello elisha,
Thank you for your question.
The first thing that came to my mind was retail membership such as
Costco or Sam's Club. They sure keep me coming back after all these
years even though Costco's pricing is no longer the bargain it once
was. I'm conditioned.
But, let's see what some of the experts in this area have to say:
From a speech, given by Morris Saffer, Chairman of the Retail
Advertising & Marketing Association...presented at the 46th Annual
Retail Advertising Conference:
http://www.customer.com/ccgsite/pages/crm_loyalty.html
"...So, without getting too morbid, it has become apparent that
opening more stores and running more sales is not going to get the
same kick as before. The relationship with customers has to change.
The struggle to hold on to your customers becomes greater every year —
and your focus on this relationship becomes more relevant.
With this in mind, RAMA decided to begin a process of research that
would take the pulse of key trends in the retail marketplace,
especially in an era where the store as a brand is an ever-increasing
marketing reality.
We asked our members for their key concerns, and at the top of the
list this year was loyalty programs.
Right off the bat we had a dispute. What is the difference between
loyalty and frequency programs? Even the experts gave us conflicting
definitions. So for the sake of RAMA we have defined:
Loyalty The focus on your best customers
Frequency General market programs to increase overall usage
or put another way:
Loyalty Exclusion
Frequency Inclusion..."
There are some very interesting facts in this article including:
"...American Airlines inaugurated its AAdvantage Frequent Flyer
Program in 1981. It revolutionized, not only air travel, but the whole
concept of frequency and loyalty rewards.
AAdvantage attracted 1.8 million participants in 1981. Today, it is
estimated over 51 million people in North America are enrolled in
points programs. Growing at about 11% a year. About 40% of these air
miles are now earned on the ground through partners, such as
Citibank’s Advantage Credit Card.
Air Miles, crossed over from England, crashed and burned in the U.S.,
but has been a raving success in Canada with banks, food chains and
retailers of every persuasion — even the government-owned liquor
stores — offering the ubiquitous miles. Just last month, The Bay,
Canada’s largest department store, replaced Sears in offering air
miles with every purchase.
There are, according to industry estimates, only 75 major retailers
(excluding grocery) operating loyalty programs...
...But, whereas in the airline industry there was immediate
competitive response, it wasn’t until 1992 when Saks Fifth Avenue
created Saks First, and Sears Best Customer program was introduced.
It took until December 1993 before Bloomingdales, Dayton Hudson,
Nordstrom and Macy’s began testing their belated response...."
I think you will find this entire article very informative.
Relationship Marketing has articles available in Adobe .pdf format
such as the following:
Introduction to Loyalty Marketing
http://www.relationshipmktg.com/Free%20Articles/rmr006.pdf
and Loyalty Marketing Programs by Industry: Retail, Credit Card,
Telecomm, Business-to-Business
http://www.relationshipmktg.com/Free%20Articles/rmr010.pdf
There are a half dozen others at this site, all brief but containing
excellent information on these programs.
http://www.relationshipmktg.com/Free%20Articles/ArticleIndex.htm
About.com posts and article on consumer's views of loyalty programs.
Although the information is UK based, the viewpoints seem universal:
http://retailindustry.about.com/library/bl/q2/bl_qs052201.htm?terms=survey+loyalty+customer
"82% of Consumers Believe Retailers Operating Loyalty Programs are
'More in Touch' With Their Customers
May 22, 2001 -- Today, a UK survey reveals that eight in ten consumers
think that retailers who track and analyze what their customers buy
are more likely to be `in touch' with what their customers really
want. Furthermore, the majority (66%) of loyalty card users do not
mind sharing information about what they buy with a retailer in return
for a good quality loyalty program.
The survey, commissioned by Quadstone, experts in predictive marketing
for customer loyalty solutions, is based on a UK-wide survey of almost
1000 consumers, aged 18 and over. It found that six in ten UK
consumers have at least one reward/loyalty card and 71% will use them
as often as possible..."
There is also an excellent set of links on CRM at about.com:
http://retailindustry.about.com/library/blloyalty.htm
In terms of individual success stories, BrandingAsia.com features the
story of "Boots the Chemist":
http://www.brandingasia.com/cases/boots.htm
"Boots the Chemist is the U.K.'s leading health and beauty retailer.
Ninety percent of the U.K.'s 60 million population visits a Boots
store at least once a year. The company has an annual turnover of
around 3 billion Sterling pounds from a network of some 1,300 stores.
In the early 1990s, when the retailing sector jumped on to the
bandwagon of loyalty cards, Boots initially kept a watching brief.
Boots' reasoning was "...We took time developing our scheme to make
sure it was different to other schemes, but more importantly, so that
it fitted in with our brand image and it was right for the company,
our customers, and shareholders." Many retailers, seeing the emergence
of Tesco's highly successful Clubcard program, felt that they had no
choice but to take the plunge.
Boots first began planning a loyalty card in November 1993, but what
they built is much more than a loyalty card; it is a very full CRM
program. From humble beginnings, and with an investment in excess of
30 million Sterling pounds, the Boots Advantage Card is the largest
smart card retail loyalty card scheme in the world. It is also the
third-largest retail loyalty scheme in the U.K. in terms of cards
issued. The Advantage scheme currently has 12.3 million cardholders,
and more than 40% of transactions in-store are now linked to the
card..."
Wow! You will want to read this entire article.
Citicorp is active worldwide with their CRM partnerships as shown here
from their site:
http://www.citigroup.com/citigroup/press/021023d.htm
Citibank and Shoppers’ Stop Launch India’s First Retail Co-Branded
Card with MasterCard
"...The First Citizen Citibank MasterCard card with Shoppers’ Stop,
India’s leading departmental store, will be available to customers in
two variants – Silver Edge and Golden Glow cards – offering loyalty
points and exclusive shopping privileges. The Silver Edge First
Citizen Citibank members will be awarded 4 points while the Golden
Glow card members will earn 5 points for every Rs. 100.00 spent on the
card. Additionally, First Citizen Citibank cardholders can earn 2 more
points on every Rs. 100.00, while purchasing in-store brands like Stop
and Kashish. Similarly, purchases at the Gold Facet would give the
cardholder an additional point per Rs. 100.00. The First Citizen
Citibank card would be available to anyone interested in applying for
a membership to the First Citizens’ loyalty club of Shoppers’ Stop in
addition to the existing base of over 170,000 First Citizen members.
The product leverages the benefits of the existing First Citizen
loyalty program of Shoppers’ Stop and bolsters it further by combining
the features of the world-class credit card platform of Citibank. In
effect, the loyal customers of Shoppers’ Stop will be able to
translate their credit card spends across all categories into
incremental free shopping at Shoppers’ Stop...."
One of the largest programs in Canada is run by Unica:
http://www.unicacorp.com/news/releases/shoppers_drugmart.html
"Shoppers Drug Mart Selects Unica™ Corporation's Affinium™
Canada's Largest Retail Drug Store Group Chooses Affinium for its
Sophisticated Marketing Capabilities, Flexibility and Ease-of-Use
LINCOLN, Mass., March 4, 2002 - Unica Corporation, a worldwide
provider of award-winning enterprise marketing management solutions,
today announced that Shoppers Drug Mart (TSE: SC), Canada's largest
retail drug store group with over $4 billion in sales, has selected
Unica's Affinium to manage and enhance its Optimum Card
loyalty-marketing program. The Shoppers Optimum Program is Canada's
premier retail loyalty program, with over six million members, and
more than one in three female Canadian shoppers actively
participating...
...Aligning with the company's commitment to the personal satisfaction
of each and every customer, Shoppers Drug Mart will implement Unica's
Affinium software to deliver personalized offers and special
promotions that best suit each individual shopper. Affinium provides a
powerful set of tools that enables Shoppers Drug Mart marketers to
design and implement large-scale, personalized campaigns. With
Affinium, marketers will deliver these offers through multiple
channels, analyze campaign performance, and then fine-tune and modify
their marketing efforts..."
A little daunting imagining that personal programs and offers can be
designed for each of their 6 million members!
The National Center for Database Marketing talks about winners and
losers in this article:
http://ncdmwinter.com/ar/marketing_live_ncdm_winners/
"Live from NCDM: Winners and Losers in the Loyalty Game
By Ray Schultz DIRECT Newsline, Dec 9 2002
Burger King thought it was in CRM heaven when it started its BK
Rewards program a short time ago. A press release stated that the
initiative would "drive interest and excitement to keep customers
coming back to Burger King again and again."
That's not quite what happened. Instead, the chain abruptly announced
on Nov. 22 that it would cancel the program. And that move fit a
classic pattern, according to Dennis L. Duffy, managing partner of
Loyalty Rules Inc., Ashville, NC.
"Companies start something called a loyalty program, but they're not
sure what it's supposed to do," Duffy said. "It starts with a lot of
excitement, then it goes to sleep."...
...suffered from another built-in defect: That the best way to
register people in a retail loyalty program—at the point of sale—is
impossible for a quick-service restaurant, Duffy said. ...
...Aren't there any good loyalty programs? Yes—there are many, he
said. Usually, they result when companies offer value and avoid
rewarding business that they already have.
When appropriate, a loyalty program should serve as a tie-breaker in a
crowded market. MCI achieved that with its MCI FreeFlix program, which
allowed customers to earn free videos at Blockbuster. "A video rental
reward as high utility," said Duffy.
MCI also has a frequent flyer program for its more travel-oriented
customers. "You must stay with MCI for 60 days—the most volatile time
in the long-distance business," Duffy said.
Then there's the Exit to Evian loyalty program, which rewards points
that can be used to purchase products like branded T-shirts. It also
includes a sweepstakes..."
Integrated Solutions for Retailers speaks to successful loyalty
campaigns:
http://www.ismretail.com/articles/2002_02/020205.htm
"Recognize Your Loyal Subjects
Until you start to segment and understand your consumer data, you'll
never win the customer loyalty game.
Integrated Solutions for Ret@ilers, February 2002
Written by Stephanie Roussel-Dupre
Loyalty programs have become a common part of marketing strategies,
but in the retail marketplace, fierce competition threatens the very
idea of loyal shoppers. Because cards continue to fatten consumers'
wallets, the deck is stacking against retailers as they attempt to
secure customer loyalty. In fact, a survey conducted by Cannondale
Associates, a sales and marketing consulting firm, found that as few
as 24% of retailers were pleased with the performance of loyalty
cards, and 20% said that cards generate incremental sales. Meanwhile,
ACNielsen reported that almost 70% of U.S. households use loyalty
cards and 59% that use them belong to two or more programs.
Consequently, retailers are beginning to question the very design of
customer loyalty programs. The problem is that retailers aren't even
sure who they should target - the person who shops frequently or the
person who spends the most money each time. It also seems many
retailers fail to look at what motivates customers to shop with them
in the first place. Determining and applying appropriate incentives is
futile without this information.
Take Some Advice From The Small Guy
Although the market may seem saturated with loyalty and reward
programs, retailers can use the technology behind the cards to
differentiate themselves. That's just what Green Hills Farms did when
it implemented one of the first retail loyalty programs in 1993. You
may not have heard of this two-store grocery store chain in Syracuse,
NY, but many retailers have called upon it for advice on creating
loyalty. Gary Hawkins, CEO of Green Hills, thought he knew who his
best shoppers were based on the faces he saw every day. But once he
started mining his customer data, he realized his most frequent
shoppers were not always his biggest spenders. There was a whole other
customer segment that Hawkins wasn't targeting, yet they were bringing
in the most sales.
Based on the premise that no one can convert price hunters into loyal
customers, Green Hills opted to focus its promotions on its top
shoppers and stop mass marketing to anyone with a loyalty card. The
company segmented its 15,000 customers into categories based on
transaction totals and shopping frequencies. The retailer zeroed in on
1,300 customers who spent more than $50 each week (300 of whom spent
more than $100 a week). When six rival supermarket chains moved into
Green Hills' neighborhood over the last few years, it called upon its
top shoppers with personal letters and individualized promotions. Now
it boasts an 80% customer retention rate and an increase in spending
among its top customers. The result was higher profits based on the
same amount of shoppers..."
You will find numerous articles on what is behind the success of
loyalty programs that work - and those that do not. Let me provide you
with more interesting links:
Here is an excellent white paper from Mckinsey.com that includes the
penetration of loyalty programs among top 10 players in key U.S.
retail sectors:
http://marketing.mckinsey.com/white_papers/Power_of_Loyalty.pdf
Numerous links to CRM announcements by company in a research section
dedicated to Customer Loyalty:
http://homepage.mac.com/patrickng/crmloyalty/
Branndata.com examines the successes of several major players in
customer loyalty in this report:
http://www.branndata.com/news/LoyaltyWhitePaper.html
They include:
1. AirMiles
2. Blockbuster Rewards
3. Hallmark Gold Crown Card
4. Hyatt Gold Passport
5. MyPoints.com
6. Nordstrom Visa Dividends
7. US Airways Dividend Miles
8. Via Preference Rewards
The mechanisms of these programs are explained in detail.
An interesting article about a successful online customer loyalty
program for CBS Sportsline.com at kobie.com:
http://www.kobie.com/success_cbs.html
"CBS Sportsline.com, the leading global Internet sports media company,
was engaged in a daily head-to-head battle with its competitors. In an
effort to distinguish its site and maintain its leadership position,
SportsLine partnered with Kobie Marketing to develop a ground-breaking
online loyalty program to reward people simply for visiting the site.
The assignment:
Turn occasional site visitors into loyal customers, and in the
process, learn enough about those customers to market to them on a
one-to-one basis..."
And the Australian Financial Services Directory:
http://www.afsd.com.au/
"Cultivating Customer Loyalty ...
By: Sarah Cumberland
There is an art to keeping customers and it is a mix of well tested
strategies and new methods which have been inspired and developed
through technology. It costs seven times as much to find a new
customer as to retain one, and so you need to explore all possible
methods if you want to maximise your customer base.
How do you keep customers coming back? How do you create fiercely
loyal customers who will turn a blind eye to your competitors? And
what can you learn from successful loyalty programs in businesses both
large and small? Loyal customers represent your business' goodwill and
they are intangible assets that add value to your balance sheet.
Domino's Pizza chain estimates that a loyal customer is worth about
$5000 over the 10-year life of a franchise; the Ford Motor Company has
calculated that a loyal customer is worth $142,000 over their
lifetime..."
As you can see, there are quite a bit of articles, white papers and
success stories on customer loyalty available online. I trust I have
chosen some of the best resources to answer your question and provide
you with valuable insights.
Search Strategy:
"retail loyalty" +program +best OR successful OR working
"customer loyalty" +program +best OR successful
If a link above should fail to work or anything require further
explanation or research, please do post a Request for Clarification
prior to rating the answer and closing the question and I will be
pleased to assist further.
Regards,
-=clouseau=- |
Clarification of Answer by
clouseau-ga
on
08 May 2003 10:31 PDT
Hello again elisha,
It is always very helpful for a researcher if you are more specific in
your question. Had you mentioned "retail clothing" in your question,
the answer would have been targeted more toward your desires. Since
your question was more broad, the answer provided a general overview
of successful techniques and company success stories, as you noted.
In terms of the clothing industry, the following should be of interest
to you:
Blue Martini Software
http://www.bluemartini.com/news/press_release_content.jsp?CONTENT%3C%3Ecnt_id=157925&FOLDER%3C%3Efolder_id=149907&ASSORTMENT%3C%3East_id=157133
Men's Wearhouse Strengthens Customer Loyalty And Drives In-Store Sales
With Blue Martini-Powered Website
New Site Combines Online And Offline Channel For Large Specialty
Retailer Of Men's Apparel
"..."The Men's Wearhouse designed a Web site that would, on a daily
basis, enable us to provide thousands of personalized interactions for
our customers," said Jeff Marshall, CIO at Men's Wearhouse. "We
adopted Blue Martini to handle this level of activity, help improve
our management of constantly changing content and have the capability
to quickly add new features as our needs changed. Plus, using Blue
Martini applications, we have been able to dramatically reduce our IT
and content management costs."
Using Blue Martini applications, the Men's Wearhouse site functions as
one of the company's primary corporate communication tools. The new
site offers product information and store locator features for
consumers, as well as assistance on how to dress, information on the
company's tuxedo rental program, and a forum for sharing information
on socially responsible business practices...."
ECommerceTimes.com
http://www.ecommercetimes.com/perl/story/2456.html
Study: E-Commerce Brand Names Trump Clever Marketing
"...The report, titled Fashion & Style: Building Consumer Loyalty
Online, states that "Today's online consumers buy from names they know
and trust in the offline world. Branding and brand equity play a major
role in certain online markets."
The report goes on to point out that, "Online markets for fashion and
style products awoke in 1999, and promise to have a fabulous season in
2000. An influx of traditional mainstream shoppers to the Web in the
past year has been encouraged by the arrival of traditional mainstream
marketers who are no longer merely testing the potential for online
sales."..."
http://www.cfigroup.com/articles/Fornell12.18.PDF
Converting Fashion's Unfaithful
"Valerie Seckler
NEW YORK - The most fashionable, the least loyal.
It's a conflict that spells a substantial challenge for
apparel marketers, because branding and loyalty need to
go hand in hand if an apparel label is to thrive in the long
run, according to marketers.
That's because, as NPDFashionworld co-president
Marshal Cohen noted: "There are simply too many options
for today's fashion customer - it is overwhelming." As a
result, when a brand maintains consistent standards of value
and fit, those attributes form a firm foundation for developing
loyalty, he said...
..."Loyal fashion customers don't want to be surprised," Cohen
advised. "They want to be comfortable and take pride in
what they buy." That's why, sources said, a perceived
value and consistent fit are crucial components of
allegiance to an apparel brand. The loyalty challenge is an
intriguing one, as a fashion label's success also rests, in
large part, on its ability to serve up fresh looks season
after season. If apparel brands are to excel in today's
hypercompetitive market, it is incumbent upon them to strike
a balance between maintaining consistent styles and fit
standards while offering new colors and fabrics in a
particular season, all under the umbrella of value. "The
consumer is starting to say, 'I can't change my wardrobe
every year,'" Cohen related..."
InternetNews.com
http://www.internetnews.com/ec-news/article.php/310771
"February 25, 2000
Survey Finds Fashion Shoppers Among the Most Loyal
By InternetNews.com Staff
Price may be a large factor in consumer decision-making in some
e-commerce categories, but loyalty is a key factor when it comes to
"fashion and style goods," according to a new study.
In fact, the study from ActivMedia Research, entitled "Fashion &
Style: Building Consumer Loyalty Online," shows that among highly
experienced shoppers in this category, more than three in four
purchases are made at sites that shoppers went online specifically to
visit..."
CRMDaily
http://www.crmdaily.com/perl/story/18378.html
Lands' End Keeps E-Commerce Real-Time
By Teri Robinson
CRMDaily.com
June 26, 2002
"Until recently, Lands' End didn't use ... automation techniques in
the call center -- which meant that agents had to know enough to
answer almost any question."
"...Although Lands' End has all the systems in place to enhance the
customer experience, "it is a great example of how good CRM is much
more than good technology," Giga Information Group vice president Erin
Kinikin told CRMDaily.com.
In fact, the success of Lands' End is due, in large part, to a bold
blend of technology, common sense and good customer service policies.
"While Lands' End has always been innovative in its use of technology
on the Web site, the reason customers keep coming back is its customer
friendly attitude," Kinikin said...."
Retail-POS.com
http://www.retail-pos.com/rms/pos_products.shtml
"FashionSense 2001 is an off-the-shelf software solution that
revolutionizes the way you manage your inventory and do business with
your customers and suppliers. Furthermore, the software is a fully
integrated store management system, with both POS and back-office
functionality. The system allows for "mix-and-match" configuration of
any standard POS equipment....
...Fashion Sense provides you with the tools to win customer loyalty
through efficient inventory management and detailed customer
profiling. Fashion Sense is tailored to fit the store management needs
of small to medium-sized independent retailers and small specialty
chain owners like you...."
SiliconValley.com
http://www.siliconvalley.com/mld/siliconvalley/5367697.htm
Benetton clothing to carry tiny tracking transmitters
"...Clothes sold at Benetton stores will soon contain microchip
transmitters that allow the Italian retailer to track its garments
from their point of manufacture to the moment they're sold in any of
its 5,000 shops.
Benetton's introduction of ``smart tag'' tracking technology will be
the largest example of a trend now emerging in the retail industry,
according to Phillips Semiconductors, a unit of the Dutch electronics
giant that designed 15 million tags being delivered to Benetton this
year.
Benetton's Sisley line of clothing will contain a Philips Electronics
radio frequency ID tag that will replace ubiquitous bar codes, which
have to be manually scanned.
An RFID tag communicates its location to Benetton's computerized
supply chain network, allowing the retailer to learn the status of its
inventory at a glance and make restocking decisions quickly -- even
automatically, said Terry Phipps, Benetton's electronic data
processing director..."
You can find hundreds of articles similar to the above by repeating
this search:
clothing OR fashion +"customer loyalty"
://www.google.com/search?num=50&hl=en&lr=&ie=ISO-8859-1&q=clothing+OR+fashion+%2B%22customer+loyalty%22&btnG=Google+Search
SMS:
SMS Customer Loyalty Software
http://www.21cms.com/download/messagemanager.pdf
Deliver targeted email and SMS messages to build customer loyalty
"Manage and create personalized customer loyalty
programs from your own PC. MessageManager enables
you to build and design your own permission-based
email and mobile messaging campaigns. Reduce costs
associated with buying consumer data and begin
building your own customer community..."
In Australia, Glide is providing coupons via SMS:
http://www.troop.com.au/sms_BENEFITS.asp
"...Interactivity
SMS allows consumers to “interact” with your advertising and to
develop a relationship with the company, product or brand. This is
achieved through the use of a “call to action”. This could be to win
prizes, be apart of a loyalty club or simply to find out more
information. Glide allows the consumer voice to be heard and so they
will “interact”
2 Way Communication
SMS is about ‘permission-based’ marketing. It allows your customers to
control the type of message and how often to send them - it is about
an exchange. Traditional advertising is one way communication. Glide
puts the control in the consumers hand, telling you what they want,
when they want it...
...Customer Loyalty
The aim is to deliver value and ensure a positive experience with the
brand. Glide provides the tool to build customer loyalty. Relevant,
and timely information sent to the consumer about your product, helps
build an affinity with the brand and ultimately customer loyalty..."
CRM Today
http://www.crm2day.com/library/EpFkEyFFZlcWyMKqHx.php
Successfully navigating the SMS marketing channel
"Short text Messaging Services (SMS) or ‘texting’ has caught the
public imagination in the last few months and the volumes of paid-for
SMS messages sent and received by some four
million UK-based mobile phone users reached more than 750 million in
December 2000 alone. That’s more than one million messages per hour!
SMS monthly volumes are confidently expected to top a billion by the
summer according to the Mobile Data Association (MDA). Worldwide that
figure is already over 10 billion. With these volumes SMS has now
become a significant revenue generator. Up to one billion pounds
should come from SMS in 2001 according to the MDA. (1)...
...Provide a marketing message to a mobile phone user that contains
information that is relevant and time sensitive. Example: Send details
of in-store promotion for a loyalty card
customer.
Save me Somehow
Provide a marketing message to a mobile phone user that acts as
coupons allowing discount on specified goods. Example: Send details of
discount on TV to store card customer
Provide a marketing message to a mobile phone user that reminds them
about an important event. Example: Confirm large transaction has been
lodged in a bank account and make
recommendation on most appropriate action..."
A perfect example for you is Hilton's success with SMS:
http://www.bandt.com.au/articles/ce/0c00eace.asp
"Case study: Hilton uses SMS with success
Sarah Plaskitt
OBJECTIVE: Improve communications with hotel members to increase
traffic and build customer loyalty.
STRATEGY: Used SMS messaging to deliver instant information about
specials and promotions.
RESULTS: 10-25% uptake of offers.
SMS MARKETING has taken off in a big way and users of traditional
media are getting on the bandwagon and adding it to their marketing
strategies.
One such user is the Hilton Hotel group which recently used SMS
messaging to communicate with members of its database.
As part of a marketing program to increase guest numbers to its hotels
and build customer loyalty, the luxury hotel chain included SMS in its
marketing tools...
...“Using iTouch iMessenger, the hotel was able to send out important
marketing messages such as specials and promotions directly to its
members’ mobile handsets,” iTouch developer Cliff Rosenberg said of
the new marketing tool.
“Using SMS has allowed the hotel to get the messages out instantly and
at the most appropriate time of day.”
“The use of SMS as a direct marketing tool has resulted in a 10-25%
uptake of offers sent out by the hotel and has proved to be an
integral part its direct marketing and loyalty strategy.”..."
And another case study at Frantic Media:
http://www.frantic.com/clients/casestudies/kpmobile.html
"...Having successfully conquered the Internet with the award-winning
Kinopalatsi.fi web-service, Sandrew-Metronome wanted to expand their
service range to meet the demands of the ever-increasing number of
mobile users in Finland. The key motivation was to make moviegoing
easier for Finnish customers - to enable customers to buy and reserve
movie tickets anywhere, anytime. Frustrated with jammed phone
reservation lines and long queues at the movie theatres, customers had
increasingly been demanding better customer service from movie
theatres.
As a part of the continuous co-operation between Sandrew-Metronome and
Frantic Media, Sandrew-Metronome trusted Frantic to design and
implement easy-to-use mobile services for their customers in order to
increase customer loyalty and to expand market share..."
SMS +"customer loyalty"
://www.google.com/search?q=SMS+%2B%22customer+loyalty%22&btnG=Google+Search&num=50&hl=en&lr=&ie=ISO-8859-1
And, as regards email loyalty:
Inc.com
http://www.inc.com/articles/cust_service/11112.html
"...One-to-one relationship selling is the oldest game around, but if
you're not working it in conjunction with a well-maintained customer
database, opportunities are slipping by.
Silverman's, a men's-apparel chain in North and South Dakota, has a
close enough relationship with customers that its databaseis filled
with up-to-date information about individual shoppers' sizes, buying
habits, and preferences--even products they triedon and didn't buy.
Salespeople use the information to help friends buy gifts and to
follow up on big sales; a self-generatedcomputer report two weeks
after the sale reminds the salesperson to call and check that
everything is satisfactory. "Mostcustomers would rather stop shopping
at a store than take the trouble to complain," says third-generation
clothier Stephen M.Silverman.
The marketing department uses the database to target its efforts. It
produces a simple postcard announcing the arrival of, forinstance,
bathrobes made by a prominent designer. The computer selects customers
who have previously purchased thedesigner's merchandise and have not
purchased bathrobes in the past year. Silverman says that such
targeted mailings typicallyelicit a 25% response rate in four weeks
for his business—and that's with no discount..."
AccuData
http://www.accudata.com/s_selfpromotion/email_append.html
"...Email marketing continues to evolve as an excellent tool for
generating and developing closer relationships with existing customers
at a much lower cost than traditional marketing efforts.
But the first step in communicating via email is to obtain those email
addresses from existing customers. As a result, many companies with
databases containing an extensive number of records - ideally more
than 100,000 - face the challenge of finding their customers online.
Of course, you can wait for your customers to find you first and
supply you with their email addresses. But that information can come
in dribs and drabs and take much longer than most marketers want.
What is a relatively quick solution to increasing email coverage on
your existing database of customers without sacrificing match rate
quality and giving you the highest and best number of email addresses?
Use a strategic approach to choosing multiple database sources of
permission-based email lists to add - or append - to your internal
database...."
A white paper at Explore Commerce"
http://www.explorecommerce-email-marketing.com/ecwhitepaper.asp
"...Sales & Marketing Moves from Personal Contact to Junk Mail to
Real-Time Response
For most of the last century, businesses grew directly through their
personal contact with customers, but now cyberspace transactions can
mean instant gratification for buyers and sellers. Particularly as the
pace of PC computer sales cycles decrease, the need to reach the
“Global Village” with targeted marketing increases...
...ExploreCommerce creates a systematic, easy-to-use approach to
handle volume attractive contacts. Email is cheap and effective for
courting existing customers. Three-quarters of marketers recently
interviewed by Forrester Research (Feb. 2000) use this tactic. The
cost is a mere $2 per sale with a 2.5 percent rate of conversion to
purchase. That compares to $18 per acquired customer in direct mail,
although direct mail still gets a higher response rate: 3.9 percent.
This is why eMarketing is generally used best for customer retention
rather than acquisition, according to Forrester Research..."
http://emailmarketing.searchfactor.com/emailmarketing_10.htm
Tools: Incentive Programs Defined
By Matt McAllister
"...MyPoints
While Netcentives’ offer primarily relies on the lure of frequent
flyer miles, myPoints has created a point system whereby users can
work towards a variety of products and services such as books, CDs,
vacations, restaurants, clothing and more. Points are earned by
shopping at specific merchants, visiting Web sites, responding to
e-mails, and similar means. The company also operates CyberGold
(http://www.cybergold.com), an incentive portal that pays its users
cash for their attention and loyalty. The cash can then be transferred
to a credit card or checking account, or spent at the CyberGold
shopping directory, which includes top-brand merchants such as Barnes
& Noble, eBay, Walmart and Wine.com..."
And ContactNews:
http://www.econtactnews.com.au/past/2002/44/03crm/01.html
"New Loyalty Techniques and Technology for Sundaybest
Sundaybest, the fashion and lifestyle shopping membership scheme, has
implemented a new customer loyalty scheme with CRM technology.
The solution was delivered by Cornerstore Marketing, a joint venture
partner of Singleton Ogilvy & Mather and the Australian distributor of
MarketSMART customer relationship management (CRM) technology.
Sundaybest was launched in February by two former senior Harrods
executives, Anita Jenkins and Stephen Kevan and in conjunction with
Cornerstore Marketing, it has begun rolling out a card-based customer
loyalty solution across 60 retail outlets including Aveda, Wayne
Cooper, Alannah Hill and Lisa Ho.
The system will enable Sundaybest—being promoted in partnership with
Harper’s BAZAAR—to track transactions in real-time via the EFTPOS
network in order to provide members with discounts and other
incentives. The scheme will also be supported through the
organisation’s website at www.sundaybest.com.au ..."
Work At Home Index
http://www.work-at-home-index.net/featurearticle1187.html
How Retailers and Etailers Can Boost Profits When Consumer Spending is
Down
By Jeffrey D. Jordan
"...Considering That...
* 70% of individuals in the US have e-mail.
* One regional US clothing retailer produces $0.68 of in-store
revenue per email sent. They send email coupons out twice
a month to thousands.
* Nine West reported a 50% store visit rate of customers that
received their email offers..."
Search strategy:
email databases +"customer loyalty" +clothing OR fashion
I trust these additional articles, white papers and links have helped
to focus my answer and provided the information you desire.
Best regards,
-=clouseau=-
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