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Frequent Shopper Program System

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Frequent Shopper Program System Kathy Kudler, President of Kudler Fine Foods wants to put in place a program to let existing customers know they are valuable to the store and persuade them to shop with greater frequency. The customer-buying model will help Kudler improve its practices and assistance to please their appreciated customers. Cost is not a main concern for Kudler customers; these customers are interested in high quality and specialized goods. Therefore, Kudler has requested a Frequent Shopper Program System with a “loyalty points program to provide customers with points that they redeem for high-end gift items, airline first-class upgrades, or other specialty foods” (ecampus.phoenix.edu, 2011). The Frequent Shopper Program System for Kudler Fine Foods will track purchase behavior of individual customers and provide high value incentives by installing a customer loyalty points program.
“Point of Sale Software” (camcommerce.com, n.d.) “Retail STAR Point of Sale (POS) software provides a solution for customer tracking, managing inventory, and selling inventory via sales orders or point-of-sale transactions” (camcommerce.com, n.d.). The software program has a CRM (Customer Relationship Management) module built into Retail STAR. Retail STAR Point of Sale Software can computerize all of Kudler’s sales data and provide executive management with a balance sheet and profit and loss statement at the end of each sale day. Retail STAR will track all the vital information needed to generate marketing campaigns to have Kudler Fine Foods customers return to the stores.
“The CRM module can drive increased sales, display up-sells, email marketing, complete buying history, and integrated accounts receivable” (camcommerce.com, n.d.) .
Frequent Buyer Program Retail STAR permits management to customize the frequent buyer program to fit the needs of Kudler Fine Foods. With this program, point values to dollar purchase amounts are assigned by department. If a individual department or does not generate as much gross profit as other departments, the points a customer can receive can be reduced when purchasing in that department. Retail STAR keeps a running total of points by each customer. “Frequent-shopper programs also let existing customers know they are important to the firm and encourage them to shop more often” (Evans & Berman, n.d. para. 8). The Frequent Buyer database allows analysis of customers. The database determines what group the customer belongs to, whether the customer is buying more or less goods with Kudler Fine Foods. In addition, the database shows the products a customer is and is not buying, brand loyalty and the frequency of purchase. This data allows identification of preferred groups of customers for exclusive product promotion. A distinctive shopping list can be created on Kudler Fine Foods website for each particular customer. This lets a store's customer buy online, directed by the individual buying pattern, the store's merchandising and promotional activity, which in turn is determined by the customer loyalty program database. The frequent buyer module allows you to drive sales by generating a special event for your most loyal customers. The features of the frequent buyer module include “built-in customer loyalty system, reward customers, increase sales and profit, and generates reward coupons” (camcommerce.com, n.d.).
Reward Cards In conjunction with the frequent buyer program using reward cards to maintain customers and increase their shopping rate will let current customers know how important they are to Kudler Fine Foods and persuade them to shop in the stores as well as online, more often. Two features of using reward cards are the Loyalty receipts and customized reports. “The POS terminal prints a receipt tracking the points added to the customer’s Kudler Fine Foods Loyalty account and shows the total of all points accrued to date (point balance) and available for use” (ecardsystems.com, n.d.) . The rewards cards program will show loyalty points earned, a redemptions, balance inquiries and other action related to the Kudler Fine Foods Loyalty program.
Conclusion
The Frequent Shopper Program tracks individual customer purchase behavior to assist in providing data for a loyalty points program. The customer buying patterns collected in the database will help to Kudler Fine Foods offerings to fulfill the needs of their valued customers. Kudler consumers look for quality and specialized goods. Kudler will use the frequent buyer program to provide customers with points that can be used for high-end gift items. The Frequent Shopper Program can augment Kudler Fine Foods profits, while retaining and gaining loyal customers of their stores. With Kudler Fine Foods implementing The Frequent Shopper Program, the reward program is easy for people to understand and participate in. The points accumulated can be exchanged for high value goods and services. Special promotions can be keyed to encourage new and returning customer loyalty. With this system, Kudler Fine Foods can meet their initiative to provide high value incentives for their preferred customers.

References
Evans, J. R., & Berman, B. (n.d.). Appealing to Repeat (Loyal) Customers. Retrieved from http://retail.about.com/od/customerservice/a/loyal-customers_3.htm?p=1 camcommerce.com. (n.d.). Specialty Retail POS Software. Retrieved from http://www.camcommerce.com/Contents/Point-of-Sale/Specialty-Retailers.aspx ecampus.phoenix.edu. (2011, February 01). Kudler Fine Foods - Intranet - Sales and Marketing: Sales Plan 2007. Retrieved from http://ecampus.phoenix.edu/secure/aapd/cist/vop/Business/Kudler2/intranet/sm/salesPlan.htm ecardsystems.com. (n.d.). Complete Gift Card Systems for merchants of all sizes. Retrieved from http://ecardsystems.com/eCardWebPages/loyaltyprograms2.html?gclid=COGO_IHJgKgCFQVy5Qodm0_lrQ

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