...Kudler fine foods frequent shopper program Abstract The topic discussed below addresses the frequent shopper program that Kudler Fine Foods is currently in the process of developing. The use of this type of program can cause potential legal, ethical, and information security concerns. These concerns, if not addressed, will cause cost impacts to the company as a result of developing and implementing this program. The frequent shopper program is a customer point system that allows customers to cash in their accumulated points for incentives which will increase product sales and customer satisfaction. Introduction Kudler Fine Foods is an upscale specialty food store located in the San Diego metropolitan area. They specialize in traveling the world and purchasing the finest epicurean delights to sell to their customers. In an effort to increase revenue and customer satisfaction Kudler Fine Foods has begun development of a frequent shopper program. This program will track the purchase behavior of their individual customers and provide incentives through a partnership with a loyalty points program. This program will help identify a customer’s purchase behavior to allow Kudler to better satisfy their customers. According to Kudler Fine Food’s sales and marketing website, price is not the primary differentiation factor for Kudler consumers; these consumers are focused on quality and finding specialized items. Therefore rather than providing everyday discounts to the customers for...
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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...
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...Abstract This paper talks about Kudler Fine foods and their speaking about incorporating the frequent shopper program into their store. They are considering the positive and negative benefits for the company and for the customers. They are trying to also consider the legality and ethical issues that would need to be issued for this to be installed. Kudler Frequent Shopper Program Kudler Fine food is an upscale specialty food store located in San Diego, California but they also have three sister stores in: La Jolla, Del Mar, and Encinitas where a customer can find in California(Apollo Groups, 2005). Kudler Fine foods was founded and is managed by Kathy Kudler, who is requesting a program that will track customers information on their purchases that they make at any of the three stores using a frequent shopper program. This program will award loyalty points similar to other program such as: Kroger, speedway, or chase banking when a customer uses their card at a retail store they will earn points on their loyalty card. A customer who makes a purchase using a loyalty card that will be provided through Kudler Fine food will receive loyalty points, but this program will only be for those customers that have signed up for it and wish to partake in the program. The customers participating, their purchases will be monitored and will be converted into loyalty points that they can later exchange through an outside service that Kudler will...
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...Frequent Shopper Program Roy Gage BSA 310 November 7, 2013 Oswald Angst Kudler Fine Foods has been in business since 1998 and has since opened two more stores since. Since inception the store has been known for there fine foods and wine selection. They have been so successful that they are looking to open a frequent shopper program for each store. In the process of attempting the program, there may have been some questions that have not been answered as far as security concerns. Some of which I would like to discuss in this article. I would like to discuss security within the legal and ethical department. In the proposal on your website the program that you are attempting to create has some security holes and some things that you may not have thought of yet. From the first sentence on your website, you discuss tracking the customer purchasing behavior. This will have to be strategic on how you plan on tracking their customers. The laws are very strict on following the customer’s data and what they purchase. A consent form will have to be signed for the company to start monitoring what they are purchasing also. If the proper paperwork and research is not done before this shopper is implemented, the store could suffer huge fines and loss of customers. For a small upcoming grocery store a thousand dollar fine could be a huge hit in their bottom line and if this happens in all the grocery stores that Kudler foods owns. It could potentially put them out of business. If...
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...Proposed Frequent Shopper Rewards Program BSA/375 Todd Feuerherm December 21, 2014 Introduction In Figure 1, we have a basic example of the data being processed through our reward point’s program database. First we have qualifying purchases that determine what points from purchases are rewarded in the transaction. Then we have a designated purchase behavior section that will determine what the customer mostly likes in their purchases and what they mostly buy. Total allocated points are information of points gathered from the customer’s purchases and the total amount available in their rewards history. Preferred purchases is also their purchase behavior but a little more in-depth of what the customers like and are more likely to have interest in when making another purchase. This helps give out certain advertisements to our customers that, through their purchasing behavior, they will find most interesting and highly probable of purchasing. Scope For the scope of this project, implementing a tracking system for customer loyalty is the primary scope of the improvement. The implementation will have an effect throughout the organization as the new Information Technology (IT) customer tracking system will be implemented organization wide. Therefore the scope of examination should be limited to the sales and marketing sections. Scope creep should be limited to changes that provide a significant tangible or intangible impact on the overall business. Functions of the program will...
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...* The program shall initially collect customer information at registration, including * Full Name * Address * The program may initially collect additional information, including * Telephone Number * Email * Information shall be collectable by written card, POS system input, or online registration * The program shall Identify each customer with a unique identifier * The program shall identify reward point values for every purchasable item * The program shall tie into the POS system to associate a customer to a purchase at checkout time * The program shall store, in a centralized location, itemized purchase information at each checkout for analysis purposes * The program shall allow customers to provide one of * Their unique identifier * A coded piece of equipment (such as a bar-coded card) * Sufficient information to tie to a unique identifier (e.g. full name and address) * The program shall associate rewards points to potential reward items or services (as selected in partnership agreements) * The program shall include an online component by which a customer may * Check their points accumulated * View potential rewards * Claim rewards based on their current points value * Update or add profile information * View privacy policy information * The program’s online component shall support major web browsers * Internet Explorer * Firefox *...
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...Frequent Shopper Program: Part I The Frequent Shopper Program identifies, determines, and tracks customers' purchasing behavior. The program is applied by retailers to attract long-term customers that demonstrate a loyal relationship between both parties (Iterative and Incremental Development Testing, 2008).This paper discusses the methods that can be used in the development of the Frequent Shopper Program by Smith Systems Consulting. Waterfall model Waterfall Model operates in a waterfall process tree. It has various phases such as requirement, design, implementation, verification, and maintenance that provide a successful execution to any system development. This model can be used in the development of frequent shopper program (Nicholls, 2005). The waterfall model's requirement phase will help Smith Systems Consulting to develop a program according to the need of Kudler Fine Foods. This model's other phases facilitate deep analysis of every aspect that provides appropriate development of the program. Each phase can be proceeded after the proper completion of the previous phase. This model facilitates Smith Systems Consultant’s advance knowledge about success or failure of the program, which helps to reduce failure risk. On the other hand, the waterfall model cannot facilitate the ability to update. In this model, information can be gathered after the process rather than during the process. This reduces flexibility to change pertaining to change in requirements. This aspect...
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...Frequent Shopper Program Alberto Mercado BSA/385 March 30, 2015 Udaya Tejwani Frequent Shopper Program Kudler Fine Foods is currently in the process of establishing a frequent shopper program. This program will give Kudler Fine Foods the ability to track their customer’s purchases, and receive loyalty points that can be redeemed for high value items. Kudler Fine Foods number one priority is customer service. The Company has recently experienced significant growth and is now focused on expanding their services, efficiency, and increasing the consumer purchase power as a means of increasing the loyalty and profitability of its consumers. The requirement of gathering this information can be beneficial when creating the new program. Further analysis indicates that there will be a monetary financial transaction between the customer and Kudler Fine Foods. Security issues are of great concern because of customers’ personal and banking information that will be required to process all transactions. Another item that must be considered is how many purchased points are required before they transfer into goods or services that the customer wants or needs. The user most likely does not know what to do next, or may not understand what is being requested, or just might not know how the website information relates to them (Valacich, George, & Hoffer, (2012). There has to be website or phone application that will assist customers in understanding what their purchasing power buys...
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...Frequent Shopper Program | Part 1 | | Jason J. Kral BSA/385 December 9, 2013 Andrew Carpenter Development Methodologies A development methodology is the framework that a developer or team uses to structure, plan, and control the process of developing a system or application. There is a wide variety of methodologies to choose from, each with its own strengths and weaknesses. Two of the more common and most used methodologies are the Waterfall method, and the agile method. This paper will focus on these two methods giving detailed descriptions, as well as advantages and disadvantages. Testing for each method will also be covered. The Waterfall Method The Waterfall Method of development is a linear-sequential life cycle model. This method is very simple to use and understand. In this model, each phase needs to be completed before the next phase can begin, phases cannot overlap, and once you finish a phase you cannot go back. A good example of this process is a literal waterfall flowing down the side of a mountain. "Once the water begins to flow over the mountain, it will hit each rock and continue down. The water can never go in the opposite direction." (Rouse, 2007) This is displayed in the following chart: The waterfall method allows for departmentalization and easy managerial control. "A schedule can be set with deadlines for each stage of development and a product can proceed through the development process like a car in a carwash, and theoretically...
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...Kudler Fine Foods Frequent Shopper Program Kudler Fine Foods is an upscale store which specializes in the highest quality specialty food items both imported and domestic. There are three stores in the San Diego area, they are in La Jolla, Del Mar and Encinitas. The departments within each store are: • Fresh Bakery and Pastries • Fresh Produce • Fresh Meat and seafood • Condiments and packaged Foods • Cheeses and Specialty Dairy Products The founder and owner Kathy Kudler put in a service request to develop a system that tracks customer purchases. This system will award loyalty points in a frequent shopper program. Before they implement the program Kudler Fine Foods will need to research several business considerations to ensure they keep their customer’s information safe and secure. These considerations include legal, security and ethical implications. In this paper I will detail the legal, security and ethical considerations of e-commerce. The paper will also detail a point-of-sale system that will be used to track Kudler’s customer’s purchases and award points. In conclusion a description of the financial analysis that will show why the expenditure or this program is justified for use at Kudler Fine Foods. Frequent Shopper Program Kudler Fine Foods would like to develop a frequent shopper program. A program such as this will track a customer’s purchases at the point of sale and reward them with points. The customer can use accumulated points to be redeemed later for...
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...Kudler Fine Foods Frequent Shopper Program Kudler fine foods are based out of several locations out of the state of California. The driving objective is for Kudler Fine Foods is to accomplish maximum profit by way of providing quality products at competitive prices to other competitors. Furthermore, Kudler fine foods has plans for future growth by expanding of the services by a sharpening the efficiency of their operation. Kudler Fine Foods also like to increase loyalty and profits to their organization and has been arrested in developing a system to track customer purchase through frequent shopper program to award loyalty points for redemption. Introduction In order to start this process Kudler Fine Foods we will first need certain elements that must be deployed before hand, we will be discussing the legal, ethical and security considerations for the development of this program to launch. And we will combine the separate entities into an operational system in order to track purposes of individual customers this way we are able to track the customers loyalty points for redemption for specialty foods and gift items and other products made available by our partnership companies. Ethical considerations Ethical Considerations of Frequent Shopper Program The frequent shopper program is subject to a certain degree of ethical consideration, it has been determined that the customers’ privacy will be under close evaluation in order to maintain a high degree of privacy...
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...Frequent Shopper Program Overview Kudler Fine Foods is a thriving business specializing in bakery and pastry products, fresh meat & seafood, and cheese and specialty dairy products. Recently, KFF has decided to start a frequent shopper program in order to increase revenue. Kudler is planning to track purchase behavior at the individual customer level and provide high value incentives through a partnership with a loyalty points program. By partnering with a loyalty points program company, customers will be able to redeem points for high end gifts, first-class airfare upgrades, and/or other specialty foods. Using customer data, KFF plans to compile customer purchase behavior patterns which will help them refine company processes and offerings to best satisfy their valued customers (Apollo, 2009). With all of this in mind, there are several issues that must be considered prior to executing any plans. Information security concerns like keeping their newly acquired customer information confidential and protected from unauthorized access, legal concerns regarding complying with privacy rights, and ethical concerns such as ensuring Kudler does not irritate their customers with offers, especially by email or phone communication. Information Security Concerns KFF needs to understand a few critical data security techniques. It is essential Kudler has a secure information system established. When collecting data from customers, there should be an authentication method used such as...
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...Kudler Fine Foods Frequent Shopper Program Brian Musha, Darrell Jones, David Kress, Matthew DiMare, Jason Longo, Thomas Kunis CMGT/400 February 9, 2015 Robert Quintin Introduction Team C has been tasked to develop a Customer Loyalty Program for frequent shoppers at Kudler Fine Foods. The program will consist of loyalty points that may be used by the frequent shoppers to purchase high value merchandise from the vendors of the loyalty points partner program. The team has also been tasked to insure that the information collected from the frequent shoppers is securely protected from outsiders and others that may make the system vulnerable to threats. Team C will cover each step within the system development life cycle to cover all systems affected and mitigation of risks and will at properly satisfy the needs of Kudler. Outline of Customer Loyalty Program Kudler Fine Foods prides itself on delivering the finest in specialty foods from around the world. In continuing with the tradition of providing the best for their customers Kudler has decided to develop a Customer Loyalty Program. This program will consist of a loyalty points program with said point being accrued from purchases made from Kudler. The customer will have to sign up for the program and after doing so will have their purchases tracked and with each purchase will collect loyalty points that can later be used towards high value items provided by vendors of a loyalty points partner program. The reasoning...
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...Considerations for Kudler Fine Foods Frequent Shopper Program Kulder Fine Foods is considering the development of a system that tracks customer purchases through a Frequent Shopper Program that will reward points for the loyalty of Kulder’s customers, which can then be redeemed for gift items. In doing so, there are many legal, ethical, and security aspects for Kulder Fine Foods to consider in developing such a program for its loyal customers. Kulder Fine Foods will need to employ a secure E-commerce website that will allow customers to buy items online and track reward points through a member portal using a customer identification number. Customer identification numbers or member numbers can be acquired either online through the stores E-commerce website or at a physical Kulders store location. The Security aspect of the E-commerce system that Kulder will be using, will need to be secured by a system to protect the sensitive data, such as customer names, addresses, credit card numbers, and other important data. Implementing a secure transaction platform is also a very important requirement for any E-commerce program. This will provide customers with a secured portal for their purchases and will limit financial and legal risks to both the customer, and Kulder Fine Foods from compromised transactions. There should be different levels of access security for all of the IT components making up the server system that will be storing sensitive data on mainframes and the networks...
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...Kudler Fine Foods Frequent Shopper Program Security Concerns Kudler Fine Foods is an upscale food specialty store with three locations in the San Diego metropolitan area. The needs of the customers and overall satisfaction is the main mission that Kudler strives to uphold. Kudler Fine Foods has experienced significant growth and is now focused on expanding services, improving the efficiency of its operations and increasing the consumer purchase cycle as a means to increasing the loyalty and profitability of its consumers (Apollo Group Inc., 2013). Kudler must first review the legal, ethical, and security concerns as well as any financial concerns contained within the cost of this new Frequent Shoppers Program. Legal Considerations In creating this new program, Kudler must first address any Legal issues with this new system. Protecting the customers’ privacy rights must first be researched and taken into consideration. In obtaining customer information that could be used to personalize marketing campaigns, recommendations and discounts, Kudler will need to understand that the customer must be balanced against the individual's need for privacy. In collecting the information, Kudler must fully disclose what information is collected and how it will be used by Kudler and possible third party vendors, so the customer's informed consent can be secured. Adhering to the Privacy Act of 1974, Kudler “shall not disclose any record which is contained in a system of records by any means...
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