Loyalty Card Proposal by Waitrose

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Loyalty Card Proposal by Waitrose

In an industry where the players are generally ranked by their size,

Waitrose has established itself as a leader - not on the basis of mass

but of quality. Other supermarket giants have gone for volume;

Waitrose has targeted quality and choice. The products they offer are

of high quality and this is reflected in the prices which tend to be

higher than other supermarkets such as Tesco's. The variety on the

shelves reflects the demanding tastes of the Waitrose shopper who the

company promotes itself to, and includes a huge choice of wines, But

there are keenly priced essentials, too, for the budget-watching

household.

The Loyalty Card concept

The object of a loyalty program is to retain regular customers, to

increase commitment from occasional customers and to acquire new ones.

Serving you and your client is what the loyalty card program does

best. It tracks and rewards loyal customers. Many times those loyal

customers will come back because of the loyalty program. This is a way

of increasing the flow of traffic and spreading the word about you and

your service.

Other companies using the Loyalty card program.

I have chosen to look at Boots and WHSmiths, a supermarket and a non

supermarket, both these companies use the Loyalty program in their

stores.

Boots

Like many other stores, Boots offers a reward card, known as the

Advantage card, which is pink and credit card sized. This is how Boots

operate their system, You fill in a form in store, with your name,

address, date of birth, sex, whether you wear glasses, contacts, or

are pregnant etc. they use this information to analyse the sort of

person who shops in their stores, Waitrose could find this very useful

as they will be able to identify there market easier and cheaper.

You get one point for every 25p that you spend in the store, each

point being worth 1p.

WHSmiths

Points value

0.50

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