Monday, June 07, 2010

Personalized Discounts

It's surprising to find very few companies out there take full advantage of the massive amounts of consumer data they collect. Sam's Club is finally putting that data to use through the recent launch of their eValues program. The program will offer discounts tailored specifically to the individual customer based on past buying history. Such data is a bit easier for Sam's Club to collect as it is a membership based wholesaler. However, all the supermarkets and other businesses that have reward cards can do the same. Even though discounts eat into the bottom lime, if targeted correctly, top line sales should also grow. Increasing relevance, increases customer loyalty.

A NY Times article talked about Sam's Club's eValue program. Link below:

http://www.nytimes.com/2010/05/31/business/31loyalty.html?scp=1&sq=sam%27s%20club%20personalize&st=cse

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