SHOPPERS’ STOP CONSUMER LOYALTY PROGRAM

Shoppers’ Stop is one of the leading retailers in India. The caselet titled ‘Shoppers’ Stop Consumer Loyalty Program’ gives an overview of the consumer loyalty program started by Shoppers’ Stop, the First Citizen Club, to create loyalty among its customers. It also talks about the First Citizen Citibank MasterCard, a co-branded card launched by it in association with Citibank and MasterCard.
Issues:
» Strategies for increasing consumer loyalty in retail stores
» Role of co-branded cards in consumer loyalty programs
» Special benefits provided to loyal customers
Shoppers’ Stop, a part of K. Raheja Corp. Group of Companies, is one of India’s leading retailers, with merchandise which includes apparels, perfumes, cosmetics, home appliances, etc. The first Shoppers’ Stop outlet was set up in 1991 at Andheri in Mumbai.
Shoppers’ Stop was established with the vision of becoming a “global retailer in India and maintaining its number one position in India in the department store category.” To enhance the shopping experience of customers and offer the ‘ultimate shopping experience,’ Shoppers’ Stop started a loyalty program named ‘First Citizen.’…

Questions for Discussion:

B. S. Nagesh, chief executive officer of Shoppers’ Stop said about First Citizen Citibank MasterCard, “with this card, our customers can now get more and more benefits within the store as well as outside.” What are the benefits that a holder of the First Citizen card was entitled to?

In the light of Shoppers’ Stop’s loyalty programs, evaluate the influence that loyalty programs can have on the purchase decision of customers.