Key CCG Services

  • Relationship Marketing Program Analysis and Design
  • Consulting Services
  • Database Analysis and Target Audience Profiling
  • Contact Strategies
  • Creative Services
  • Communications Tools
  • Measurement and Refinement

This middle-market department store wanted to increase penetration in its existing markets while building its customer base in its expansion markets. The store also sought to increase customer loyalty to its proprietary card.

Objectives

  • Achieve ROI of 20 percent or better.
  • Increase customer share of wallet.
  • Increase loyalty to the store and its proprietary card.
  • Increase spending of middle- and low-spending customers.
  • Create a program to fit with the retailer’s “value” image.
  • Derive a better understanding of the retailer’s “best customers.”

Solution

CCG created a relationship marketing program that capitalized on the retailer’s family orientation, its positioning of convenience and value, and its desire to become more involved in the local communities served. Strategies were created to allow the retailer to recognize and reward best customers, while at the same time build aspirational momentum among medium- and low-spend customers by communicating program benefits frequently and consistently. An element of exclusivity was also included for the program proprietary charge customers who spent at specified levels. Impact and excitement were generated by incorporating customer benefits into the program that were not typical department-store loyalty program fare.

Results

  • To date the program has far exceeded original management expectations.
  • Annual incremental sales resulting from this initiative have exceeded $80 million with incremental profits at $24 million.
  • The overall return on investment for the program is 295%.