Retailing as an industry has exhibited an incredible pace with worldwide sales of more than USD 13 Trillion in 2009. Ironically with expanding customer base and increasing wallet share, competitors are also proliferating in the market. The industry players are trying all permutations and combinations of strategies to remain profitable. It is important for every retailer to carry forward their existing customer base and keep attracting new customers. Thus, it is important for today’s retailers to know the spending habits of their customers. Apart from understanding their current needs, it is also critical to forecast behaviour.
The objective of a retail loyalty program is not just to increase sales as a tactic but build long term brand equity in the minds of the customer. Along with rational logic, it is important to create an emotional-connect with customers. A strong emotional connect always serve as a barrier for a competitor.
While it serves as a credible value to the retail proposition, a loyalty programme cannot be a substitute to the basic expected shopping experience.
Loyalty programmes in the retail Industry solutions has been there for many years, yet all retailers who have deployed them have not benefitted from it. Yet, the ones who have implemented intelligent programs have been able to exploit their member base mainly by analysing the incoming data. They boast high retention rates and profit-per-customer despite tough economic times and cutthroat markets (According to the Center for Retail Management system, 12% - 15% of customers who are loyal to a single retailer generate between 55% - 70% of company sales). But the other majority of companies are still struggling to get it right.
ITC Infotech understands the complexities of retailing-our parent organization manages and operates some of the finest retail/fashion brands. We have also working towards creating one of the largest retail coalitions and working with other renowned brands in creating/upgrading loyalty programs.
If you would like us to undertake a study of your company and recommend a suitable loyalty solution, please feel free to write to us at email@example.com.
Maximize customer retention,
especially high value customers,
to increase revenues