Loyalty Card Proposal free essay sample

Due to the increase in competition in the Retail Industry, we must impose a new marketing strategy to retain our current customers. Our main strategy is to create a reward program for customers through XM Plus Card Rewards Program. Achieving the above will allow us to retain our current customers by motivating them to frequently buy from Xpress Mart. I. Introduction Modern marketing revolves around the Customer. It is an old and by-now universally accepted concept that the Customer is the King. In recent years, the competition for customers has led many companies in the retail industry to implement a customer rewards program and provide significant incentives that deliver value well beyond reward points. Xpress Mart can continue moving towards its vision to become the most dominant player in the retail industry by implementing a customer rewards program through offering loyalty cards to customers of Xpress Mart. Therefore the traditional approach of making one-time sales is being replaced with making long term commitment to the customer and it can be possible through the XM Plus Card. We will write a custom essay sample on Loyalty Card Proposal or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page . 1 Purpose The purpose of this proposal is to capture an increasing share of new customers while retaining current customers through the customer reward program, the XM Plus Card. 1. 2 Benefits Increasing sales by motivating customers to frequently purchase from Xpress Mart and lowering advertising costs since the XM Plus Card will also be used as the company’s advertising material to attract new customers. 2. 0 Proposal Loyal customers not only provide a solid base for the company; they represent growth potential too. A processing fee of P100 will be charged. Points earned by cardholders who do not renew within one month from the expiry date will be forfeited. Any XM Plus Card that is dormant for a period of three consecutive years will be cancelled and all accumulated points in the card will be forfeited. 2. 1. 3 Card Replacements To replace a defective card, surrender the card at any XM Customer Service Counter and complete the application form. Defective cards will be replaced for free. To replace a lost card, present a valid ID at any XM Customer Service Counter and complete the application form. A processing fee of P100. 0 will be charged. Replacement of cards damaged due to the cardholders mishandling will also be charged a P100. 00 replacement fee. Accumulated Points in lost cards will be transferred to the new card. 2. 1. 4 Earning and Redeeming of Points XM Plus Card holders are entitled to earn 1 Point for every Php100. 00 worth of purchase in any XM Branch nationwide. Purchases less tha n Php100. 00, will still receive corresponding fraction of a point. Card holders will be able to see the number of points in their cards every time they shop using XM Plus Card or by going to any XM Customer Service Counter. The points earned for the current transaction as well as the number of points will be displayed at the bottom of the transaction receipt. The standard value of 1 Point is Php1. 00 and is valid for three years. For the redemption of XM Plus Card Points, those points reflected in XM Electronic Records shall be deemed correct and XM has the exclusive right to determine the available amount of points to be awarded to or redeemed by the Member. Points redeemed may no longer be changed, revoked or cancelled. 2. 2 Management Section The whole operations procedure will be explained in this section.