Ecrm Case

The main objective of the loyalty program is to create customer true loyalty towards Broadway. It is divided into attitudinal and behavioral components of loyalty. First, accumulating points can be used as an incentive of getting discounts in order to create behavioral loyalty. For the attitudinal loyalty, it can strengthen the brand image by offering special promotion which is suitable to target customers’ lifestyles. As a result, people are more likely to repeat purchase, making greater commitment to Broadway. Through building the true loyalty, Broadway is able to attract potential customers and retain existing customers.

Also, it is designed to help attain efficiency profits by influencing customers’ buying behavior so as to have higher lifetime profit, increase purchase frequency and share-of-wallet.

To reach value alignment, customers are classified into different levels of membership so that resources can be better allocated and more effective communicate with customers.

Besides, members can accumulate points to get discounts in the next purchase. Points are also for redeeming rewards, which are involved in line with the company’s product proposition. Every HKD 250 is equal to 1 point. People purchase, register, save point and redeem the rewards. A series of customer personal and purchase record can be collected. Making use of these records, Broadway can send regular newsletter about new products, special offers, news and personalize promotion according to their purchase record, for example, brand preferences.

This membership card is a kind of tiered loyalty program. Different levels of communications are tailored with different levels of customers, based on purchase amount or purchase frequency.

More valuable rewards will be provided to customers with high spending level or purchase frequencies. The maximum amount of points redeemable to cash discount is HKD 500.