What kind of backlash can you anticipate from this program? What concerns customers (e.g., privacy loss)? Why?

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Choose a retail chain where you have shopped and/or worked. Imagine that you are a VP ?

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Customer Engagement for that store.

The CEO has asked you to prepare a memo for the Board of Directors. You are asked to comment on whether the Pathmark strategy of debit/loyalty cards would be appropriate for your store. Your discussion should cover these topics. You are encouraged to use sub-headings related to each question.

(a) Would this type of card be appropriate for your target market? Why or why not?
(b) How can the program be modified to fit your particular retail chain and its target market?

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Why would your target market be especially responsive? For example, Victoria’s Secret offers its credit card holders a free gift every month with an extra on their birthdays. Their target market is women with discretionary income and a sense of fun, so gifts are appealing to them. Macy’s has sales with an extra 10% off to credit card holders. They have a much broader market than Victoria’s Secret. (Do not use these examples in your own report. Create your own example.)
(c) What kind of backlash can you anticipate from this program? What concerns customers (e.g., privacy loss)? Why?

 

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