Discussion 200 words with 3 Responses reply See the Attachments for details

Week7

Discussion main post, discussion 200 words with 2 APA References and 3 post responses

Main post-

In this discussion, pick a loyalty program that you are either part of, or research one you believe is interesting. Once you pick one answer the following question in the discussion this week: 1) What is the loyalty program? 2) From a consumer perspective, why do you believe that loyalty program is a marketing advantage for the company? 3) What is one unique thing you would recommend that loyalty program add to make it better?

Post1 – Robert

   I am a member of the Food City loyalty program, also known as the ValuCard. K-VA-T Food Stores or Food City, is a regional supermarket chain that operates 145 locations while serving areas located in Alabama, Georgia, Kentucky, Tennessee, and Virginia (Food City, n.d.).  Food City’s ValuCard loyalty program offers savings on various products throughout their stores which is only available to ValuCard members.  Additionally, this free loyalty program automatically enters customers into ValuCard sweepstakes as well as offering partnering company discounts.  Perhaps the most sought-after incentive with the ValuCard program is the fuel bucks’ program.  When ValuCard members spend $150 at Food city locations, they receive a discount of fifteen cents per gallon of gasoline or diesel full. 

            As fuel costs continue to rise, this incentive encourages individuals to shop at Food City stores to receive a fuel discount.  This creates a marketing advantage for Food City by drawing consumers into their stores to earn ValuCard points which rewards users with discounts.  Additionally, these discounts are only available at Food City locations which ensures that consumers return to store locations to utilize their earned rewards.  Food City should consider allowing consumers to use their ValuCard rewards points to receive discounts on their total grocery bill and not just fuel rewards.  Although the ValuCard system offers product discounts in Food City stores, some consumer may be unable to drive.  Therefore, this discount on a consumer’s total grocery bill would afford all users to enjoy the benefits of the reward program.

Response?

Post 2- Nancy

My favorite loyalty program would be the fuel points at Kroger. Every time I use our Kroger card, I receive points based upon the amount of my purchase.  The points on the card can be used to get a discount on fuel purchases at Kroger. I have found this loyalty program to be my favorite because I use it most often. There is nothing better than saving fifty cents or more per gallon, especially given the rising prices of fuel at the pump.

I think the Kroger card is a great loyalty program and serves as a marketing advantage over other grocery stores. First, the Kroger card gives members a discount on different items at the checkout. Also, fuel points are earned that can be used to save money on the purchase of gasoline at Kroger. In addition, you also receive special bonus coupons based on your frequently purchased items. Therefore, for these reasons, the Kroger card is a great marketing tool to promote customer loyalty.

While I think the Kroger card is great and provides savings, one can always improve something and make it better. One way to make the Kroger card better would be to add bonus points for loyal customers. For instance, each year that a person is a Kroger card member he or she earns an extra 100 bonus points for  being a loyal customer. Then, the bonus points could be used for fuel discounts or additional savings off of grocery purchases. As a result, the Kroger card would be an even greater incentive for customers to continue shopping at Kroger.

Response?