Hey all,
Its an interesting read. Retailers are competing for customer loyalty, and with new innovative methods.
The Lipstick Theory, or lipstick effect, suggests that sales of a category of less-expensive products such as lipstick go up during times of economic uncertainty.
The Lipstick Theory held true for SHopper stop, when their loyalty members shopping pattern were targeted around accessories like watches, footwear and glares.
Future Group started giving free talk time on shopping worth some money.
Van Heusen has started engaging with privilege-card consumers every month to understand why certain categories sell and others don't.
ANd there is no need to carry your Loyalty card as its getting boring, so just have your mobile and thats all to make you a loyal customer and retain point.
All major brand names offer some or the other offer as Brand loyalty is still a long way to go in Indian scenario.
Read this full article in: Economic times of 17th January, 2011
SHare your views once you read the article, why you think are the reasons companies are not able to retain their customers....Is the competition really too high?? or there is some other reason
Look forward....
CHeers!!
Archna
